QUEBEC – Monarques Gold Corp. of Quebec City has agreed to acquire the Beacon property in Val d’Or for $3.5 million from a numbered company. The deal includes the fully permitted, 750 t/d Beacon mill and tailings pond as well as the historic Beacon underground mine.
The Beacon mill is about 60 km west of Monarques’ Croinor gold property in Vauquelin and Haig townships. The Croinor mine previous produced 13,000 oz of gold from a number of small pits between 1996 and 2005. Earlier, from 1949 to 1980, a small underground mine produced 1,000 oz.
Monarques has prepared a positive prefeasibility study for an underground mine with a five year life, including 18 months of preproduction. Croinor has proven and probable reserves of 541,534 tonnes grading 6.77 g/t Au or 117,962 contained oz of gold. The capital cost will be $42.3 million, including $15 million in sustaining and working capital.
The prefeasibility study can be read at MonarquesGold.com or by clicking here.