Alamos Gold supersizes its expansion plans for Island Gold, forecasts 18 year mine life
The Island Gold Mine outside Dubreuilville is poised to become one of Canada’s most prolific and profitable mines for decades to come.
Over the next four years, Alamos Gold’s underground operation will get larger in scale, mine at a higher rate, deliver more ounces, and become one of the industry’s lowest cost producers over a longer mine life.
“This is going to be an absolute juggernaut of an asset for Alamos in the years to come,” said company president-CEO John McCluskey in a June 29 presentation to industry analysts. McCluskey and senior management discussed the new mine plan, released this week, for the fast-growing operation now undergoing its third wave of expansion since Alamos bought it off Richmont in 2017.
Over the next four years, Alamos will be pouring US$756 million into the development, up from the US$538 million price tag of two years ago. Making the mine a bigger and lower cost operation will make it more efficient and productive, the company said.