Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Last year Artemis Gold (TSXV: ARTG) released the pre-feasibility study for its Blackwater gold project 150 km southwest of Prince George, BC. Now the company is pressing forward with completion of the definitive feasibility study for what may be one of Canada’s largest gold mines. Construction could start in 2022.
Artemis purchased the property for C$190 million in August 2020 from New Gold (TSX: NGD), which retains a gold stream should the project go into commercial production.
According to the prefeasibility, Blackwater will be a phased development with a 23-year reserve. The planned over pit proven and probable reserves are 334.0 million tonnes grading 0.75 g/t gold and 3.8 g/t silver. In reserves alone the project contains 8.0 million oz. of gold.
Resources (including reserves) at a 0.20 g/t gold cut-off are 596.8 million measured and indicated tonnes grading 0.62 g/t gold, containing 11.7 million oz. The inferred portion is 16.9 million tonnes at 0.45 g/t gold, containing 7.0 million oz.
The feasibility study and updated resource estimate is due by the end of June 2021. Meanwhile, Artemis continues with permitting activities, engagement with Indigenous communities, engineering and project financing.
(This article first appeared in the Canadian Mining Journal)
