Valentine gold mine construction passes 77% mark on track for 2025 production

Calibre Mining (TSX:CXB; OTCQX:CXBMF) has reported its Q2 2024 results with the company on track to meet its full-year production guidance of 275,000 to 300,000 oz. of gold. The Valentine gold mine in central Newfoundland, a significant part of this plan, is progressing well towards completion, with construction now over 77% finished as of July 31, 2024. The project is expected to start gold production by the second quarter 2025.

Key recent developments included receiving federal environmental approval and provincial mine and surface leases for the Berry deposit. This means that all major approvals for the current life of mine plan are now in place. Additionally, the company has surpassed 2.0 million hours worked without a lost time injury at the Valentine site, marking a significant safety milestone.

The Valentine gold mine has a projected mine life of 4.3 years, with a 22% after-tax rate of return and an average gold production of 195,000 oz. per year for the first 12 years. The project’s proven and probable mineral reserves are estimated at 2.7 million oz. (51.6 million tonnes at 1.62 g/t gold) with total measured and indicated mineral resources of 4.0 million oz. (64.6 million tonnes at 1.90 g/t gold).

Exploration efforts are ongoing across all of Calibre’s assets, with a focus on expanding the current drill program at the project. Previously disclosed drilling results indicated strong growth potential below and adjacent to existing mineral resources. 

“We have expanded the current drill program with 100,000 metres of additional drilling as we begin to unlock the incredible opportunity of resource expansion and discovery potential across the 32-km-long Valentine lake shear zone,” said Calibre president and CEO Darren Hall.

In the second quarter 2024, Calibre’s consolidated gold sales reached 58,345 oz., generating $137.3 million in revenue, with an average realized gold price of $2,302 per ounce. The company’s total cash costs (TCC) were reported at $1,264 per ounce, while all-in sustaining costs (AISC) stood at $1,533 per ounce. As of the end of June, Calibre held $127.6 million in cash and restricted cash.

For the year-to-date 2024, Calibre has sold 120,122 oz. of gold generating $269.2 million in revenue. 

For more information, visit www.CalibreMining.com.