NORTHWEST ONTARIO NORTH AMERICAN PALLADIUM has announced plans to create an underground mine at the Lac des Iles palladium producer near Thunder Bay. The feasibility study was prepared by ROSCOE POSTLE ASSOCIATES of Toronto.
Mine development will begin in May 2004, and the first ore production is anticipated in the third quarter of 2005. About 750,000 tonnes will be mined annually. Capital costs and working capital are estimated at $40 million. Another $15 million is earmarked for leasing underground equipment. Development will include a portal in the wall of the open pit, and development for longhole open stoping at a rate of 2,000 tonnes/day. Proven and probable reserves recoverable from the proposed underground workings are estimated to be 3.54 million tonnes grading 6.62 g/t Pd.
The project includes a $10-million secondary crusher that will be installed at the 15,000 tonnes/day mill. Yearly production will be about 300,000 oz of palladium for the next seven years from combined open pit and underground mining. Platinum, gold, copper and nickel are also produced.
Lac des Iles is North America's only primary palladium producer. Learn more about this unique operation by visiting www.napalladium.com.