ONTARIO – Toronto-based LAKE SHORE GOLD anticipates initial deliveries of ore from its Timmins West gold project to its Bell Creek mill by early 2009. Production will be ramped up until it reaches 200,000 oz annually by 2011. The Bell Creek complex includes a 1,500-t/d gravity and CIP plant as well as the former Bell Creek gold mine. It is located in Timmins and 18 km east of the new mine.
Lake Shore acquired the Timmins West property in 2003 when it acquired Holmer Gold Mines. The technical study produced in October 2007 based its recommendations on probable reserves of 3.4 million tonnes grading 7.6 g/t Au. Including advanced exploration, the project will need an injection of $143.8 million ($49.4 million for exploration, $91.7 million to develop the mine, $2.7 million to rehabilitate the mill and 1.0 million for other expenses). Operating costs were estimated at $47 per tonne for mining and $24 per tonne for milling and others for a total cost of $83 per tonne, or $319/oz (cut) of gold.
Lake Shore continues to explore its Bell Creek, Vogel and Schumacher properties close to the mill. For the latest news visit www.LSGold.com.