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Leagold Mining Corporation (TSX: LMC) (“Leagold” or the “Company”) received the environmental permit for development of the portal and ramp for the Bermejal Underground deposit, an attractive expansion project with potential to increase gold production and extend mine life at Los Filos. The permit was received on June 14, 2017 and required submission of an additional economic/technical document which was completed on July 28, 2017 such that the permit is now in effect. A portal and ramp design has been completed and is being used for tendering, and a total of six underground tunneling contractors have completed site visits. Contractor selection will be completed in August.
Expansion project has the potential to increase gold output and extend productive life of Mexico’s Los Filos, one of Latin America’s largest gold mines.
Neil Woodyer, CEO stated “Development of the exploration ramp is an important step in advancing Bermejal Underground towards production. The ramp will provide access to the eastern and central portions of the deposit. The mineralization is similar to the Los Filos Underground deposits where we are currently mining, and this development provides an opportunity to carry out additional exploration from underground as well as demonstrate the minability of Bermejal Underground. Access to the ore body will also provide a larger sample for confirmatory metallurgical testwork for heap leaching. These steps will advance the deposit towards declaration of reserves and incorporation into the mine plan.”
During Q2 2017, a trade-off study was completed to determine the optimal portal location and ramp design to provide initial access to the deposit. Multiple portal locations were analyzed based on development costs, construction schedules and geotechnical parameters. The preferred portal location is at the base of the northern end of the existing Bermejal Open Pit, where surface mining has already been completed. The selected portal location and ramp design offers the advantages of a deeper starting point, shortest distance to access an initial test stoping area, proximity to existing infrastructure, and commencement of the portal within competent carbonate wallrock.
The ramp design is 5 metres wide by 5 metres high with full underground mining infrastructure. Two ventilation raises will also be completed using a Robbins raise-bore. This location provides the shortest decline access to the eastern flank of the deposit (650 linear metres of development) and to the main body of the deposit (1,600 linear metres of development). The design provides access to the eastern flank to allow initial trial mining.
The portal design commences at 1,329 metres elevation in the bottom of the Bermejal open pit. Development is within carbonate rock in the hangingwall to mineralization and extends across
the strike length of the resources defined in the East Sector. The ramp will decline at 15% slope and extend 1,600 metres to the central, high grade portion of the Bermejal Underground mineralization.
The portal preparation work is anticipated to commence in Q3 2017, with access to the first stoping area early in 2018 and completion of the ramp to the Central Sector by Q4 2018.
Qualified Persons
Doug Reddy, P.Geo, Leagold’s Senior Vice President – Technical Services, is a Qualified Person under NI 43-101, and has reviewed and approved the technical contents of this news release on behalf of Leagold.
About Leagold Mining Corporation
Leagold is building a new mid-tier gold producer with a focus on opportunities in Latin America. Leagold is based in Vancouver, Canada and is listed on the TSX Exchange under the trading symbol “LMC”. The recent acquisition of the Los Filos Mine, a low-cost gold producer in Mexico, provides an excellent platform for growth.
On behalf of Leagold Mining Corporation
Neil Woodyer, Chief Executive Officer
