The program is scheduled to run for four months, with bulk samples stockpiled in batches on-site. The company expects to process these stockpiles after restarting the mill.
According to the miner, this program is a critical de-risking step in the effort to prepare the Ontario mine for a targeted restart in 2025. Test mining has already begun, with crews developing top and bottom access (sills) ahead of long hole stoping in the Austin 1099/1100 area. The company plans to report on stoping progress in the next site update, expected in early October.
“Test mining will provide data on the best methods for mining at Madsen, bulk samples will allow us to compare modeled and actual resources, and the process will give our team additional operational experience,” said West Red Lake CEO Shane Williams.
Last month, the company reported drill results as high as 17.77 grams gold per tonne across 5.5 meters.
That intercept in the McVeigh zone, from 44.5 metres depth in hole MM24D-01-4081-025, included 2.2 metres grading 38.56 grams gold and 0.5 metre at 19.15 grams gold from 49.5 metres depth.
In the Austin zone, west of McVeigh, hole MM24D-09-4796-025 cut 12.1 metres at 7.35 grams gold from 92.9 metres depth, including 2.5 metres grading 19.39 grams gold from 93.5 metres depth.
Madsen hosts 1.65 million indicated oz. of gold grading 7.4 grams gold, and 370,000 inferred oz. gold at 6.3 grams gold, based on a cut-off grade of 3.38 grams gold and a gold price of $1,800 per oz. according to a 2021 resource estimate.
The Red Lake Gold District of Northwest Ontario has produced over 30 million ounces of gold from high-grade zones and hosts some of the world’s richest gold deposits.
Shares in West Red Lake gained 2.5% to C$0.82 apiece on Thursday morning in Toronto, valuing the company at C$221 million ($163 million).
