QUEBEC - IAMGOLD CORP. of Toronto says that its recently completed scoping study of the Westwood project paints a positive economic outlook for development. The deposit has inferred resources of more than 3.0 million oz of gold recoverable at a rate of 200,000 oz/year beginning in 2012.
The study considered a 2,800 tonne/day processing facility and estimated total operating costs of US$360/oz. Pre-production capital expenses are expected to total US$316 million, of which US$146 million will be spent on shaft sinking and surface infrastructure. Approximately US$80 million would be spent on deferred development to ensure sufficient working positions. Diamond drilling would total US$25 million, and US$28 million would be required for underground mining equipment. The remaining US$37 million is allocated for other costs including corporate expenses and insurance. IamGold expects shaft sinking to begin in 2009.
The Westwood deposit is being explored from IAMGOLDs Doyon gold mine 40 km east of Rouyn-Noranda, Que. Readers might want to learn more at www.IamGold.com.