Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Mining News of Note -- Ignore unavailable to you. Want to Upgrade?

To: LoneClone who wrote (148304)	12/12/2020 3:01:07 PM
From: LoneClone	Read Replies (1) \| Respond to of 196260

Kirkland Lake unveils growth plans miningweekly.com 11th December 2020 By: Esmarie Iannucci Creamer Media Senior Deputy Editor: Australasia PERTH (miningweekly.com) – Triple-listed gold miner Kirkland Lake will be investing heavily in its growth plans for Australia in 2021, with the miner on Friday revealing its production guidance for the full year. The ASX-, TSX- and NYSE-listed Kirkland Lake has set a production target of between 1.3-million and 1.4-million ounces for the full 2021, driven by strong growth at its Detour Lake mine, in Canada. All-in sustaining costs (AISC) per ounce of gold sold would remain unchanged from the 2020 levels at between $790/oz and $810/oz, the company said. Leading up to 2023, Kirkland Lake is hoping to grow its annual production to between 1.4-million and 1.54-million ounces, with the miner telling shareholders that it would continue to work towards achieving a number of significant, and potentially transformational, milestones, including completing the current $50-million drilling programme at Detour Lake and releasing a new mine plan in 2022. The company noted that drilling to date at Detour Lake provided increasing evidence that the Main, West and North pit locations involve one large, continuous deposit that can support the transition to a “super pit” concept and can lead to substantially higher levels of production. “Looking at our cornerstone assets, Detour Lake is set to significantly grow in 2021, with production for the year targeted at 680 000 oz 720 000 oz at all-in sustaining costs per ounce better than $900/oz,” said CEO and president Tony Makuch. “We regard the 2021 production level as a benchmark to be sustained and ultimately increased going forward. Under current assumptions, including receiving required permits and approvals, we expect production to grow to approximately 800 000 oz in 2025 within the current mine plan. “Having said that, we plan to present a new mine plan in 2022, following completion of the current drilling programme, which we believe could transform and significantly improve the longer-term outlook for Detour Lake, with the establishment of a “super pit” concept based on the potential existence of a much larger, continuous deposit around the existing pit locations and Mineral Reserves.” At Macassa, the #4 Shaft project is continuing and remains on track for completion in late 2022, when production is expected to increase to 400 000 oz, at improved unit costs, in 2023. “Production at Macassa is expected to ramp up over the next three years, reaching 400 000 oz in 2023 following completion of the #4 Shaft. Production in 2021 is targeted at 220 000 oz to 255 000 oz at an AISC per ounce sold averaging below $750. With completion of the #4 Shaft on track for late 2022 and production commencing from near surface zones using a surface ramp, we anticipate production rising to 295 000 oz to 325 000 oz in 2022 before increasing to between 400 000 oz and 425 000 oz in 2023,” said Makuch. In Australia, Kirkland Lake is planning its largest exploration programme at Fosterville since acquiring the mine in 2016, including $85-million to $95-million of drilling and development. The primary objective of the programme is to identify additional high-grades zones to provide future high-grade production. The 2021 exploration plan will largely follow up on existing drill results that included the intersection of quartz with visible gold, found in large concentrations and at exceptional grades in the Swan zone, in multiple other locations. “Production at Fosterville in 2021 will be lowered from the levels achieved in 2019 and 2020. We have a large orebody at Fosterville, but the high-grade components of the existing mineral reserve involve a short production life,” said Makuch. “When you consider that we have identified a number of large mineralized systems, all including intersections containing quartz with visible gold, we remain optimistic that additional high-grade zones can be identified. “Our challenge is to maintain a sustainable and economic operation while we continue to drill to identify the next high-grade area for future mining. The result of our work is a production profile that includes 400 000 oz to 425 000 oz in 2021, moving to a range of 325 000 oz to 400 000 oz in 2022 and 2023. “Longer term, we will work to sustain operations at that level of production for a number of years, subject to continued drilling success. Our budget for exploration at Fosterville in 2021 is $85-million to $95-million, by far our largest commitment since we acquired the mine in November 2016.” Makuch said that the company’s business plan for 2021 positioned Kirkland Lake Gold for another year of strong operating and financial results and continued industry-leading financial strength. “The plan also includes higher levels of investment, reflecting the significant growth potential and exploration upside at all three of our cornerstone assets, as well as the payment of over $200-million in dividends to shareholders. We have made significant progress returning capital to shareholders in 2020, and plan to continue this trend in the coming year at the same time as we build our cash position.”