TSX-V-listed Fireweed Zinc has hailed the agreement about road upgrades that the Yukon government and the Ross River Dena Council (RRDC) First Nation reached as a “major step” forward towards the eventual development of the Macmillan Pass zinc, lead and silver project.
The agreement centres on the North Canol road and Campbell highway components of the Yukon Resource Gateway Project.
The RRDC is collaborating with the government of Yukon on the development, environmental and regulatory aspects of the two road component upgrades. The work will include bridge replacement and safety improvements on North Canol Road and construction and resurfacing part of the Robert Campbell Highway.
The project has an estimated capital cost value of about C$71-million. “[The] announcement of initial near term funding under the Yukon Resource Gateway Project and potential access to additional future funding is a big step forward toward eventual mine development at Macmillan Pass,” Fireweed CEO Brandon Macdonald said on Tuesday.
Upgrading of the North Canol Road to carry heavy truck traffic was a major cost item in Fireweed’s 2018 preliminary economic assessment (PEA), comprising 25% of capital expenditure (capex) to build the project.