Toronto-based Kinross bought the property about 500 km northwest of Thunder Bay, Ontario, and 25 km southeast of Red Lake last year for C$1.8 billion in cash and shares. It has drilled more than 250 km in exploration holes on top of some 300 km done by previous owners. The results show the LP Fault zone is expected to host a long-life, high-grade, open-pit and underground mine, Kinross said.
“The drilling results have continued to prove out our thesis that the project could host a multi-decade high grade open pit and underground mining complex,” J. Paul Rollinson, Kinross president and chief executive officer, told a conference call on Monday.
“We have made excellent progress on drilling out this world class deposit and releasing a substantial initial resource.”
The project may cost $1 billion to develop in capital costs, in line with similar projects in the Canadian north, with an all-in sustaining cost of “well below”…
