GOLD: Wesdome guides for up to 100,000 oz. in 2020

ONTARIO – Gold miner Wesdome has issued production guidance of 90,000 oz. to 100,000 oz. for this year; last year’s production of 91,688 […]
Drilling at Eagle River. Credit: Wesdome Gold Mines
[caption id="attachment_1003733083" align="aligncenter" width="450"]Drilling at Eagle River. Credit: Wesdome Gold Mines Drilling at Eagle River. Credit: Wesdome Gold Mines[/caption] ONTARIO – Gold miner Wesdome has issued production guidance of 90,000 oz. to 100,000 oz. for this year; last year’s production of 91,688 oz. was in line with prior guidance for 88,000 oz. to 93,000 oz. The bulk of the company’s current production is from its Eagle River underground mine near Wawa. Output from this asset has been steadily increasing, with 88,617 oz. produced last year, compared to 67,315 oz. and 50,996 oz. contributed in 2018 and 2017, respectively. This year, Wesdome is forecasting 87,000 oz. to 96,000 oz. of gold from the mine. The company plans to continue with underground exploration and development at Eagle River to generate higher-grade feed for the mill. The most recent all-in sustaining cost guidance for 2019 was at US$985 to US$1,040 per oz. with no changes to these figures expected this year. The Eagle River complex also includes the Mishi open pit which is currently Wesdome’s only other gold contributor. Wesdome also holds the Kiena past-producing underground mine in Quebec. Work is ongoing on a preliminary economic assessment for this asset with results expected in the first half of the year. Drilling, drifting and ramp development are ongoing as the company prepares for a potential restart of the mine. Upon positive results, it will lead start a pre-feasibility study of the operation. This year’s capital budget for Kiena stands at $44.8 million which includes both exploration and mine development. A further $14 million to $17 million is allocated for capital development at Eagle River and $9.8 million is planned for exploration. Wesdome started this year with $35.7 million in cash and equivalents and $41.5 million available in a credit facility. For more information, visit www.Wesdome.com.

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