While gold miners have been making substantial profits in recent quarters thanks to rising gold prices and better operational and financial discipline, they continue to seek new ounces via the drill bit to fill their production pipeline. A look at eight majors and juniors exploring for gold worldwide.
Barrick Gold
The world’s largest gold miner, Barrick Gold is also heavily invested in gold exploration, with the company noting that since 1990, it has found 129 million oz. gold at an overall discovery cost of $29 per oz., or roughly half the average finding cost across the industry.
With its merger with Randgold Resources now completed, Barrick said its investment criteria for greenfield gold projects include a “critical mass of 3 million mineable oz. gold capable of delivering an internal rate of return of 20% at $1,000 per oz. gold.”
Today, its most prominent greenfield exploration projects are: The 83.3%-owned Massawa gold project in Senegal, where a feasibility study is underway towards a final development decision; the 50%-owned, 39 million oz. gold Donlin Gold project in Alaska, which the company said “represents one of the world’s largest undeveloped gold deposits at an advanced stage of permitting in a stable jurisdiction, underscoring its unique potential”; the Norte Abierto fifty-fifty joint venture in Chile’s Atacama region, where work is advancing an optimized project design, including an updated geological model for the Cerro Casale, Caspiche and Luciano deposits; the Pascua-Lama project at the Chile-Argentina border; and the Alturas project in Chile’s El Indio belt, where the company has completed a scoping-level study for a conventional open-pit, heap-leach operation.
Columbus Gold
Vancouver-based Columbus Gold is exploring and developing gold assets in French Guiana in South America, which politically is a department of France.
Columbus’ flagship asset is its major interest in the Montagne d’Or gold deposit, which hosts proven and probable reserves of 54.11 million tonnes grading 1.58 grams gold per tonne, or a contained 2.75 million oz. gold.
A 2017 feasibility study envisioned an open-pit mining operation with average annual gold production of 237,000 oz. gold over the first decade of mine life at an average head grade of 1.73 grams gold, and an all-in sustaining cost of $749 per oz. gold.
Columbus notes there is “considerable expansion potential on strike and at depth,” and that permitting is underway.
In January, Columbus closed a private placement that raised gross proceeds of $2 million, with the funds earmarked for general working capital purposes. Existing shareholder Nordgold of Russia participated in the financing and now holds an undiluted 9.96% interest in Columbus (11.18%, fully diluted).
Firefox Gold
Vancouver-based junior FireFox Gold is focused on exploring for gold in Finland, and has a CEO and technical team based in the country.
FireFox notes that “Finland is one of the top mining jurisdictions in the world, as indicated by its number-one ranking in the 2017 Fraser Institute Annual Survey of Mining companies. Having a strong mining law and long mining tradition, Finland remains underexplored for gold.”
In January at its wholly owned Mustajarvi gold project in the Central Lapland greenstone belt, FireFox reported that initial drill results for its 1,095-metre, first-phase drilling programme include hole 18MJ10, with a 2-metre-thick massive pyrite zone from 126 metres downhole that assayed 45.1 grams gold per tonne.
FireFox has also entered into option agreements with Magnus Minerals, a private, Finnish prospect generator, through which it has options to acquire 100% interests in several printerests in several projects that encompass 1,040 square kilometres. To complete the combined options, FireFox must spend $4 million exploring the properties and make cash payments to Magnus totalling up to $450,000 over the course of the two separate three-year option periods.
FireFox also controls over 260 sq. km of exploration reservations and exploration permits held directly by its Finnish subsidiary.
Gran Colombia Gold
Toronto-based, mid-tier gold miner Gran Colombia Gold has as its primary focus Colombia, where it is the largest underground gold and silver producer with several mines in operation at its Segovia and Marmato operations.
The company produced 218,000 oz. gold in 2018, up 25% over 2017. It also strengthened its balance sheet in 2018, and brought it down to $83.4 million as of Jan. 31, 2019, with a cash position of $33 million as of Dec. 31, 2018, up from $3 million at the end of 2017.
Gran Colombia said it is “continuing to focus on exploration, expansion and modernization activities at its high-grade Segovia operations,” and that there is “blue sky potential with Marmato, Zancudo and Sandspring in the pipeline.”
Gran Colombia executive co-chairman Serafino Iacono said in a release that his firm “got off to a good start in 2019, with almost 18,000 oz. gold production in January, in line with our expectations. Our drilling programmes at Segovia continue to yield encouraging results, with the identification of two new zones at Providencia and the down-plunge extension of the main ore shoots at Sandra K, both of which have the potential for additional resource growth. Our 2019 drilling campaign at Segovia will focus more on step-out drilling at Providencia and Sandra K, deep-zone drilling to extend El Silencio another 200 metres below its currently delineated mineral resource, and brownfield drilling on the Cogote vein system, as we increasingly shift our attention towards the blue-sky potential within our Segovia mining title to add production and mine life.”
Iamgold
Toronto-based Iamgold is another international gold major that is heavily invested in exploration and development activities.
During 2018, Iamgold’s attributable gold production was 882,000 equivalent oz. gold, including record gold production of 405,000 oz. at Essakane in Burkina Faso, at all-in sustaining costs of $1,057 per oz. sold.
As for its gold-exploration criteria, Iamgold said it will “focus only on projects with a target threshold potential of at least 1 million oz. of mineral resources, capable of reaching 100,000 oz. in annual production.”
At year-end 2018, Iamgold’s attributable proven and probable gold reserves were 17.9 million oz. — up 23% from the end of 2017 — while attributable measured and indicated resources (including reserves) were 27.9 million oz. gold. Attributable inferred resources were 8.7 million oz., up 13%, and down 1% from the end of 2017.
Iamgold’s most prominent grassroots exploration projects include: the 1.6 million oz. Boto gold project in Senegal; the Pitangui gold project in Brazil’s Iron Quadrilateral; the Siribaya gold project in Mali; and several joint ventures, such as Monster Lake in Quebec with Toma Gold, and Eastern Borosi in Nicaragua with Calibre Mining.
Nexus Gold
Vancouver-based Nexus Gold is developing several gold projects in Burkina Faso, including the 178 sq. km Niangouela gold concession on the Boromo greenstone belt; the 39 sq. km Bouboulou gold concession (previously explored by Riverstone Resources and Roxgold); and the 250 sq. km Rakounga gold concession, which is contiguous to Bouboulou.
In Canada, Nexus has newly acquired the New Pilot gold-copper project in B.C.’s Bridge River Mining Camp and McKenzie gold project in Ontario’s Red Lake camp.
Nexus said it is “concentrating its efforts on establishing a National Ina National Instrument 43-101 compliant resource at one or more of its four current Burkina Faso projects, which total over 560 sq. km of land located on active gold belts and proven mineralised trends.”
“Burkina Faso is a mining friendly jurisdiction that has a relatively recent history in modern mining. It is one of the reasons we chose to work here. Another significant reason is that it’s a place where a smaller company like Nexus can find and work highly prospective ground that hasn’t already been picked over and ‘drilled out’ by others.
“Another perhaps equally important reason we work in West Africa is that we have the requisite experience there. Our management and geological teams bring significant experience and successful track records in Burkina Faso and neighbouring countries in all aspects of exploration, including discovery, project development, mine operations, and much more.”
Oceana Gold
OceanaGold has major gold mines on three continents: the Didipio gold-copper mine on Luzon Island in the Philippines; the Macraes Goldfield mine on New Zealand’s South Island; the Waihi gold mine on New Zealand’s North Island of New Zealand; and the Haile gold mine in South Carolina.
It said it also has a “significant pipeline of organic growth, and exploration opportunities in the Australasia and the Americas.”
On the exploration front, OceanaGold announced the tabling in February of a high-grade mineral resource at its greenfield WKP prospect, located 10 km north of its Waihi mine.
Indicated resources at WKP stand at 0.41 million tonnes grading 18.0 grams gold per tonne and 22.7 grams silver per tonnes for a contained 234,000 oz. gold and 296,000 oz. silver on the East Graben vein. Inferred resources tally 1.05 million tonnes grading 11.9 grams gold and 16.8 grams silver for 401,000 oz. gold and 568,000 oz. silver on the East Graben and T-Stream veins.
Source: Mining.com
