The following is a bit off topic but very relevant to the mining industry. Those who follow it will be impressed. Kidd Creek has been an amazing story. There will be others...
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• Thursday, 20 July, 2000
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Kidd deep mine project gets OK
$640-million development will extend life of the mine through to 2020
Christmas came early this year for Timmins as joy is sweeping the city at the news its biggest employer and taxpayer will spend $640 million to extend the life of the Kidd Creek Mine to at least 2020.
It is also the biggest single capital project in the history of Timmins and it will unlock an estimated 26.2 million tonnes of ore containing zinc, copper and silver.
Although the news was long awaited and development crews have been working at Kidd Creek for some time, formal approval by the board of directors of Falconbridge Ltd. was required.
That approval came Wednesday and caused excitement across the community.
The companys announcement was quickly faxed and phoned throughout the business sector, especially to those who provide supplies and services to the base metal mine.
Timmins Mayor Vic Power calls it terrific news for the city.
The mayor adds there are immediate benefits, such as the 200 jobs created by the need for shaft sinking and ramp development work, and long-term benefits, such as guaranteeing the more than 500 jobs in the mine and 1,100 jobs in the Kidd Metallurgical Division.
Timmins Chamber of Commerce president Ross Stringer says it means the local economy will remain healthy and vibrant for many years to come.
It also means residents can make long-term plans and business people can have confidence in the city's future.
Sandra Deem, co-owner of ClaimPost Realty Ltd., the largest real estate firm in Timmins, says the announcement will give the local real estate market a shot in the arm.
Banks, credit unions and other lending institutions feel secure financing mortgages when there is a 20-year time frame for the economy.
The project is being called Mine D or the Deep Mine, which will go from the 2,100-metre (6,930-foot) level to 3,100 metres (10,230 feet), and full production is expected to begin in 2004.
Development of Mine D will take place in two stages, says Dan Gignac, general manager of the Kidd Mining Division.
Stage 1 will take the mine to approximately 2,700 metres (8,910 feet) in depth.
Stage 2, which will begin development in 2009, will extend the mine down to 3,100 metres.
This will make Kidd the deepest base metal mine in the world.
According to the company's feasibility study which was completed in June 2000, Mine D will contribute two million tonnes of ore annually when full production levels are achieved.
The majority of the $640 million, which includes a provision for inflation, will be spent during stage one.
This will include a number of start-up components, such as the sinking of a new internal shaft ($13 million), the installation of a new ventilation and refrigeration system ($42 million) and the acquisition of new mobile underground equipment ($35 million).
Power says the news confirms our belief that the Timmins area is indeed the richest mineral deposit in the world with a great future.
In fact, the Falconbridge announcement alone brings us at least to the year 2020., the mayor says. It behooves all of us to have 20-20 vision.
Deem says confidence in the future is necessary for any community to prosper and improve.
Falconbridges announcement will send a tidal wave of confidence throughout not only Timmins but Northeastern Ontario, she predicts. |
