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Message: Re: Permitting - ANSWER
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Apr 19, 2010 12:40PM
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Apr 19, 2010 01:01PM

Apr 19, 2010 02:50PM

Re: Permitting - ANSWER

in response to by
posted on Apr 19, 2010 04:53PM

From what I understood when I asked DW about this in person more than a year ago:

The EA process restarted in 2008, with open pit and underground mining of the Ore ant Nicholas Lake and Ormsby/ Bruce was based on the resource as it had been defined and identified (NI43-101) at that time. Moving this through the permit stage was considered a sufficient althogh modest mine, and the resource was large enough as well as having demonstrated in the EA that it would be economical.

When I asked about adding in tonnage from other discoveries, such as Goodwin Lake and Clan Lake, DW explained:

1. The additional costs to move the ore from Goodwin Lake and Clan lake are very small, per tonne. The higher cutoff grades used for those deposits more than takes care of the added trucking costs.

2. Applying to add these tonnes to the permit process already underway for the YGP would be done once those deposits are fully drilled off, and somewhat down the road. That the tailings pond at Wintere Lake could become maxed out is not an issue, as there would be lots of volume in the underground stopes and tunnels in the ormsby site to store additional tailings.

Annyhow, adding more tonnage to extend the mine life is not a huge issue. Getting the mine into operations is the first step, while continuing to add ounces through the exploration of the many discoveries in the constellation.

The MVLWB / GNWT must assess the DAR and issue the permit based on known quantities, submitted with the application at the start of the process, so adding tonnage yet to be drilled off would not have been possible at that time. Nor would be adding the 2 to 5 million ounces I belive underly the Goodwin, Ormsby, Bruce & Nick deposits, which won't be drilled off until underground mining extends deeper.

SKELEG


Apr 19, 2010 10:18PM
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