Gwen Preston & Kitco Mining on the Madsen Restart In joining Kitco Mining at The Mining Investment Event of the North, West Red Lake Gold's (WRLG.v WRLGF) VP if Investor Relations, Gwen Preston, detailed the Madsen Mine Restart plan, emphasizing that "a huge amount of this mine is already built": https://www.kitco.com/news/article/2024-06-19/huge-amount-mine-already-built-west-red-lake-golds-gwen-preston-madsen
Located in Ontario's Red Lake Gold District, WRLG's 100% owned Madsen Mine boasts an NI 43-101 indicated resource of 1.65M oz of gold grading 7.4 g/t Gold, an inferred resource of 0.37Moz of gold grading 6.3g/t.
Previously owned by the now-defunct PureGold, WRLG secured the debt-free and fully permitted Madsen Mine for only $6M with a $273 million tax write-off and a new $350M, 800+ tonne per day mill, despite its previous valuation of over a billion dollars, about 8x the current market cap of WRLG, due to previous mismanagement.
Preston detailed a range of shortcomings from the previous operators including mining in an area that they didn't understand well resulting is misspaced drill holes and excess dilution.
The Madsen Mine Restart
"The Madsen project is unusual since a lot of work can be done in parallel, speeding up time to production"
Working on a pre-feasibility study to detail the mine restart plan, targeted for release in early 2025, WRLG is on track for a busy 12 months, executing a range of work leading up to the Madsen Mine restart projected for the second half of 2025.
Taking a methodical approach to "deep dive into the deposit before resuming production", WRLG has confirmed and extended multiple high-grade zones at the Madsen project during its aggressive 12-month drill program.
With another 50,000m of drilling planned over the next year, a third of which will be on exploration and the rest on making sure they know where the gold is, WRLG is focused on methodically understanding the geology behind the deposit.
For the rest of 2024, WRLG plans to have two diamond drills operating regularly in a program totaling up to 39,000m with two primary objectives:
- Resource Definition Drilling: 70% of drilling to increase resource confidence across all known resource domains
- Resource Expansion Drilling: 30% of drilling to test top targets including Austin extension & 8 Zone down plunge extension target
For more information, check out this detailed Twitter thread providing a deep dive into WRLG's restart plan: https://x.com/Fantastic_MrSTX/status/1801349923654262848
Posted on Behalf of West Red Lake Gold Mines Ltd.