At the end of last year, Alamos Gold (TSX: AGI; NYSE: AGI) reported it has completed four consecutive years of growth, thanks to higher grade additions at Island Gold in Ontario and Mulatos in Mexico.
Global proven and probable mineral reserves total 10.5 million oz. of gold, a 2% increase from 10.3 million oz. at the end of 2021. Grades increased 3%. This more than offset mining depletion of 591,000 oz. in 2022.
Island Gold’s reserve base increased 9%, net of depletion, to 1.5 million oz. The grade also increased 6% to 10.78 g/t gold with the conversion of higher-grade resources in Island East, Main and West. Reserves have increased at Island Gold for 10 consecutive years and this trend is expected to continue.
Mulatos District reserves for all properties including Puerto Del Aire (PDA) increased 9% to 1.7 million oz., net of depletion, with grades increasing 19% to 1.95 g/t gold. This was driven by a 70% increase in the higher-grade underground reserves at PDA to 728,000 oz. in material grading 4.84 g/t gold. This more than offset depletion of lower grade open pit ore from the Mulatos Main pit, stockpiled ore, as well as La Yaqui Grande. A development plan for PDA is expected to be completed in the second half of 2023.
Young-Davidson’s reserves decreased slightly (59,000 oz.) to 3.3 million oz., with grades declining 3% to 2.35 g/t Au. Despite completing limited drilling primarily due to contractor personnel challenges, more than 70% of mining depletion was replaced in 2022. An expanded exploration program is planned for 2023 including extending drill platforms on multiple levels to improve access. With the deposit open at depth and to the west, the focus is on expanding gold mineralization.
Global measured and indicated Resources (exclusive of reserves) increased 14% to total 3.9 million oz. with grades also increasing 3%. This reflected additions at Mulatos and Young-Davidson, as well as an initial resource estimate at the Golden Arrow project. Golden Arrow is an open pit project that is expected to provide supplemental ore feed to the mill at Young-Davidson.
Global inferred resources increased 2% to total 7.1 million oz. through additions at Island Gold and Golden Arrow.
Grades are unchanged from a year ago.More information about all of Alamos’ producing mines and project is posted at www.AlamosGold.com.