Artemis closes $175 million financing for Blackwater gold project

Marilyn Scales | October 17, 2022 | 1:04 pm News Precious Metals Canada Gold 
The Cat 793 is one of many vehicles included in the order for Blackwater. Artemis Gold photo

Last week, Artemis Gold (TSXV: ARTG) closed its previously announced equity financing of $175 million. The company issued approximately 38.9 million common shares at a price of $4.50 per share.

The net proceeds of the offering will be used primarily to fund permitting and development costs for the Blackwater gold project. The 100%-owned property is located in central British Columbia, midway between Bella Coola and Prince George.

Using a conservative gold price of US$1,400/oz., Blackwater has proven and probable reserves of 334.3 million tonnes grading 0.75 g/t gold (8.0 million oz. gold) and 5.8 g/t silver (62.2 million oz. silver. Using a US$2,000/oz. gold price, additional measured and indicated resources are 156 million tonnes grading 0.61 g/t gold and 11.7 million g/t silver.

Gold production will be about 320,000 oz./year in each of the first five years, rising to 440,000 oz. in years 11 to 17.

Artemis is planning a 22-year mine life with open pit methods and using gravity and conventional cyanidation methods for gold recovery. Life-of-mine capital costs are estimated at $2.25 billion, beginning with $645.2 million to be spent before production begins.

In addition to the bought deal offering mentioned earlier, certain management, insiders and shareholders, purchased, pursuant to a separate non-brokered offering, about 19.8 million common shares for additional gross proceeds of $89 million.

Visit www.ArtemisGoldInc.com for more information about the Blackwater mine.

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