In the summer of 2016, Goldcorp, one of the biggest gold-mining companies in the world, bought the Coffee Gold project in the Yukon from Kaminak for $530 million. Though the proposed mine, 130 kilometres south of Dawson City, has an estimated life of ten years, Goldcorp CEO David Garofalo believes that’s just the beginning. There’s a lot more gold waiting to be found.
Where does the Yukon figure into Goldcorp’s plans?
Whenever we’re looking at new opportunities, there are a couple things we’re looking at. We’re looking for a good mining history—receptivity to mining. Obviously the Yukon has that in spades. And what we’re also looking for is the potential for assets that can be scaled geologically and, ultimately, operationally.
While Kaminak did a tremendous job of outlining a resource of 5 million ounces on that property, they really only did exploration work on a small fraction of the overall [property.] We believe this deposit could at least double in size based on the geological prospectivity, the soil sampling done to date and the geophysical work.
We bought it with a view that we could increase the size of it geologically and then ultimately look at a much larger operation over time. Initially, build it to the scale that’s been defined in the feasibility study Kaminak did, but hopefully with some exploration success over time, we could at least extend the mine life.
We see district potential here as opposed to just a distinct, one-off mine. We see the potential to build an industrial complex there and leverage that over many, many decades.
For the rest of this interview: https://uphere.ca/articles/qa-david-garofalo