Frank Giustra-backed upstart company more than a year away from Red Lake mine restart
Shane Williams and West Red Lake Gold Mines are in no big rush to put the dormant Madsen Mine back into production. The Vancouver gold company intends to take a methodical approach to set things right and deep dive into the deposit before resuming production at the shuttered underground mine, southwest of the town of Red Lake.
Months and months of underground drilling is on the docket to get a more accurate picture of the ore body and a better impression of the area’s geology, before they’ll even entertain the thought of a restart.
When they bring people back to work, it’ll be in batches, said Williams, the company’s newly appointed president-CEO, starting with an underground development contractor. “You’re still 18 to 24 months before we even think about switching the thing back on.”
Williams expects his company is likely a year out from doing a “big hire.” Once they find their footing, Williams said their intention is build a mining company “of scale” in the prolific northwestern Ontario gold camp and restore confidence in a deposit that was mismanaged.