High-grade Red Mountain gold project enters environmental review
In 2014, BC Hydro completed the $746 million, 344-kilometre Northwest Transmission Line to electrify the northwest corner of B.C. – known as the Golden Triangle because of all the undeveloped gold and copper deposits in that region.
The first new mine to be built in the Golden Triangle was Imperial Metals’ (TSX:III) Red Chris copper mine. It was followed by Pretium Resources Inc.’s (TSX:PVG) Brucejack gold mine. That’s two down, and about 10 more to go.
So, what is likely to be the next new mine to be built in the Golden Triangle? Although the Seabridge Gold (TSX:SEA) KSM copper-gold mine already has its environmental permits, some industry insiders say the $5.5 billion mine is a “generational” project – something so massive that it might take many years and sustained higher copper prices before it gets financed.
If Brucejack is anything to go by, smaller, high-grade gold mines stand a better chance of being built in the current market in B.C., which is why the odds seem favourable for Red Mountain – now under B.C. Environmental Assessment Office review.
Owned by IDM Mining Ltd. (TSX-V:IDM), Red Mountain is tiny compared with KSM. Its estimated capital cost is just $135 million. Some underground work already took place in the 1990s for a bulk sample, but the project was never developed, and the property changed hands numerous times before IDM CEO Rob McLeod acquired the property from Seabridge.
For the rest of this article: https://www.biv.com/article/2017/12/another-jewel-bcs-golden-triangle/