Updates on gold producers in the Maritimes

There are only three gold mines in production in the Maritimes: Ming copper-gold and Point Rousse gold mines in Newfoundland and Touquoy gold mine in Nova Scotia. In this article, the key facts about each of the three mines are discussed along with the most recent updates.

Since 2004, under Rambler’s direction, the mine’s mineral resource base has quadrupled in size with further potential to grow. Rambler’s goal is to replace depleted mineral reserves each year while optimizing its growing mineral resource and reserve base. On April 4, 2022, Elemental Royalties announced it had completed a gold purchase and sale agreement (the “Ming Gold Stream”) with Rambler Metals and Mining Canada, a wholly owned subsidiary of Rambler Metals and Mining PLC, the owner of the Ming copper-gold mine in Newfoundland. Elemental will receive 50% of payable gold production from Ming until 10,000 oz. are delivered when the stream steps down to 35% of payable gold production and then 25% once 15,000 oz. are delivered.

Elemental received its first deliveries of 408 oz. of gold from the Ming gold stream after June 30, 2022. This translates to a gross value of approximately US$734,000 at a US$1,800/oz. gold price.

Signal Gold exploration programs at Point Rousse continue to identify new areas of exploration potential. The company announced recent exploration drill results from Point Rousse operation in the Baie Verte mining district of Newfoundland. The diamond drill program included 4,222 metres in 29 holes testing five main exploration targets. Holes at the Corkscrew and Big Bear targets continue to demonstrate the presence of a strong gold mineralized system within the Goldenville trend, building on the previous results. The company also completed and received data for a total of 90.1-line km of induced polarization (IP) ground geophysical surveys on three grid areas, Corkscrew-Big Bear, Animal Pond and Goldenville, outlining several new targets for follow-up drill testing.

Selected composited highlights from the exploration program include the following:

> 0.91 g/t gold over 17.0 metres (54.0 to 71.0 metres) including 5.18 g/t gold over 1.0 metre in hole CS-21-005.

> 1.49 g/t gold over 3.8 metres (134.2 to 138.0 metres) in hole BB-22-003.

> 0.81 g/t gold over 4.9 metres (42.4 to 47.3 metres) in hole AP-21-011.

> 4.09 g/t gold over 1.0 metre (52.0 to 53.0 metres) in hole AP-21-010.

Nova Scotia Department of Environment and Climate Change (NSECC) has issued the final conditions for the industrial approval to allow for the tailings management facility (TMF) lift enabling construction to commence in the coming weeks. The capital cost for the tailings lift is $5.4 million and will extend the life of the Touquoy operation until the end of 2023.

St Barbara’s Atlantic operations team and the company’s recent interactions with key stakeholders in Nova Scotia improved the co-ordination and communication with the Nova Scotian government and the Canadian federal government. The new collaborative approach with the government helped with the delivery of the permit.

The TMF lift should provide sufficient time for the company to work with the provincial government to resolve NSECC’s queries on the environmental assessment for in-pit tailings deposition. Upon receipt of the in-pit tailings deposition permit, the Touquoy site will have sufficient tailings capacity to support the company’s longer term Atlantic plan, which is also proposed to include Beaver Dam and Fifteen Mile Stream projects.