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.
Talisker Resources (TSX: TSK) and New Gold (TSX: NGD; NYSE: NGD) have struck a deal for the sale of gold-bearing ore from Talisker’s Bralorne project in British Columbia. The agreement will be carried out by Talisker’s subsidiary Bralorne Gold Mines.
The initial agreement is for New Gold to purchase up to 350,000 tonnes of ore mined at Bralorne and process it at their mill located at the New Afton mine. The agreement may be extended by mutual consent.
Terry Harbort, Talisker’s president and CEO, said: “Talisker is very pleased to have signed this important ore purchase agreement with New Gold. Having completed the portal and decline construction and our resource conversion drilling, this agreement clears the pathway for our planned 2024 production at Bralorne.”
The company has completed over 150,000 metres of drilling at Bralorne, identifying 86 veins, 75 of which are open in all directions. The resources are given as 117,300 indicated tonnes grading 8.85 g/t gold, containing 33,400 oz., and 8.0 million inferred tonnes at 6.32 g/t gold, containing 1.6 million ounces. Mineralization is known to extend to 2,000 metres below surface.
Underground test mining is planned to a depth of 700 metres. The Mustang adit has been enlarged, and the decline is complete. New development is underway to gain access to the Alhambra and BK-9870 veins on levels 3700, 3800 and 3900. Ore removal is to begin by the middle of 2024.
Talisker noted that there is district-scale potential at Bralorne. There are seven historical mines and 47 known mineral occurrences along a 33-km belt. Two of the historic resources include 186,000 oz. of gold at the Congress mine and grades as high as 329 g/t gold during first-pass drilling at the BRX mine.
