Why Red Mountain Stands Out
Why It Matters
Ensuring a dependable 2,000‑tpd ore feed from Red Mountain underpins the mill’s economics and accelerates the project’s route to profitability, directly impacting shareholder value.
Key Takeaways
- •Red Mountain holds 540,000 ounces measured resources in deposit
- •Scissor drilling confirms grade and tonnage reliability throughout the project
- •Existing underground development supports immediate mining operations at Red Mountain
- •First two years target 25‑meter wide ore bodies
- •Red Mountain ore will blend with Premier to meet 2,000‑tpd feed
Summary
The video outlines the strategic focus on Red Mountain, the flagship asset among four deposits, highlighting its 540,000‑ounce measured resource base. The company emphasizes that the deposit has been thoroughly validated through scissor drilling from both directions and an underground bulk sample, eliminating doubts about grade or tonnage. Key operational details include substantial existing underground development and a mining plan that targets a 25‑meter wide ore body for the first two years. This geometry exceeds the ceiling height, allowing high‑tonnage extraction that can be trucked to the nearby mill. Red Mountain’s output will be blended with material from the Premier mine to achieve a minimum feed of 2,000 tons per day, the threshold required for efficient mill operation. The presenter stresses, “There is no questioning the grade and tonnage of the resource because it has sufficient drilling,” and notes that the first two years’ production will provide the necessary ore volume. The blend strategy ensures a consistent feed rate, mitigating variability and supporting steady cash flow. By securing a reliable, high‑grade feedstock, the project de‑ridges the mill’s economics, shortens the path to profitability, and positions the company to meet investor expectations while reducing operational risk.
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