Gearing Up For Near Term High-Grade Gold Mining Gearing Up For Near Term High-Grade Gold Mining
Poised for high-grade gold mining following a key transformation and the acquisition of the Madsen Mine, West Red Lake Gold (WRLG.v WRLGF) is gearing up for near-term and high-grade gold production, as detailed by Rocks and Stocks News: https://rocksandstocks.substack.com/p/west-red-lake-gold-gearing-up-for
- Madsen Mine Acquisition
- Acquired the Madsen Mine at a bargain, intending to bring it back into production after addressing past operational issues.
- Secured 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
- Located in Ontario's Red Lake District, an area known for gold mining due to its history of mining, political stability, and regulatory environment
- 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.
- Past Operational Failures:
- Pure Gold's operation at Madsen Mine failed due to poorly placed underground workings, avoiding high-grade zones, gold recovery problems, and insufficient drill hole spacing.
- Mine was previously valued at over a billion dollars prior to Pure Gold's operational failures
- Current Drilling:
- Conducting extensive drilling which has yielded excellent results, including a highlight hole of 13.40 g/t gold over 10 meters.
- Hitting a lot of high-grade gold, suggesting the gold mineralization is predictable and then team has a very good handle on where to drill
- Preparing for test mining and focusing on delineating high-grade gold mineralization.
- Cashed up for aggressive drilling focused on delineation to further define the high-grade gold mineralization
- Significant depth potential, with plans to drill deeper from existing underground workings to reach high-grade gold zones more cost-effectively.
- Organic Growth:
- Current grades support the Madsen Mine restart plan
- Aiming to restart production in the second half of 2025.
- Backed by legendary mining investor Frank Giustra
- Additionally exploring the nearby Rowan project, which has significant depth potential and past high-grade hits that were never fully explored.
With a strong team and a clear strategy, the company aims to make the Madsen Mine a low-cost, high-grade gold producer, setting the stage for future growth and potential acquisitions. WRLG is positioned to benefit from a predicted bull market in gold, with the second quarter of 2024 seeing the highest average gold prices ever, potentially attracting more investors to gold miners.
For more information, refer to this thread on WRLG's latest updates: https://x.com/Fantastic_MrSTX/status/1788658096912363586
Posted on Behalf of West Red Lake Gold Mines Ltd.