Overview
Stage | Permitting |
Mine Type | Open Pit |
Commodities |
|
Mining Method |
|
Mine Life | 15 years (as of Jan 1, 2015) |
The Kitsault Mine Project is one of the largest and highest-grade primary molybdenum deposits in the world.
Permitting well advanced with 4 of 5 key permits in place: - EA certificate (M13-01 issued March 2013); - Mines Act (M10 issued in June 2014); - Environmental Management Act Effluent Discharge Permit (PE – 107129 issued October 2014); - Environment Assessment Decision Statement (June 2014); - Federal Fisheries Act Authorization (pending). |
Source:
The Kitsault Mine Project is owned by Avanti Kitsault Mine Ltd., in which New Moly has an 100% interest.
Contractors
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Deposit Type
- Breccia pipe / Stockwork
- Vein / narrow vein
Summary:
Kitsault is a cylindrical deposit, dipping steeply to the north. Approximate dimensions are 700 m on the x-axis, and 600 m on the y-axis, with the “sides” of the cylinder ranging from 100 – 300 m wide; the z-axis has been defined to depths of 500 m below surface. The deposit remains open at depth. The southern margin and other local arcs such as the north and northwestern areas of the deposit require additional infill drilling.
A number of vein phases have been identified at the Kitsault deposit:
- 0.25 cm to 1.50 cm wide quartz–molybdenite veins and veinlets forming stockworks.
- More widely-spaced, sub-parallel, 3–20 cm wide, sheeted, milky quartz veins containing fine-grained molybdenite. Veins have been termed "ribbon banded" quartz–molybdenite veins. These irregularly-developed, sheeted vein zones are best developed in close proximity to the aplite dikes. Where these veins are less than 1.5 cm wide, molybdenite is confined to vein borders. Where the veins are wider, there are multiple epitaxial bands of molybdenite within the quartz vein as well as on its margin.
- 0.50 to 2.0 cm pyrite veins containing subordinate molybdenite and trace amounts of quartz. The molybdenum contribution of this vein type, which is largely confined to the hornfels, is negligible.
- Steeply-dipping, 4 cm to 1 m or more in width, quartz–carbonate veins that contain sphalerite, galena, chalcopyrite, a variety of Pb–Bi sulphosalt minerals (ak ........
Summary:
The mine plan envisages a single open pit, consisting of four phases, based on nested LG shell guidance, molybdenum grade, Patsy Creek diversion requirements, strip ratio, access considerations, and operational constraints.
Under the project master plan, construction and pre-stripping are scheduled over a 15-month period. The primary objective of preproduction mining is to supply material for the South Embankment of the tailings management facility (TMF) and other construction projects. Pre-production mining will also focus on developing mine access roads suitable for large mining equipment.
The plan assumes that the mine will operate 365 d/a, with 10 days allowed for delays due to fog and winter conditions. The plant was scheduled to operate 365 d/a with sufficient materials stockpiled at the crusher and coarse ore stockpile to accommodate mine outages resulting from weather constraints.
The mining sequence is constrained by a maximum vertical advance per phase per year targeted to ten 10 m benches.
Mining equipment is conventional, consisting of a truck–shovel–loader configuration, and appropriate auxiliary equipment. The strategy for repair and maintenance of the mobile equipment fleets at the Kitsault Project will be an Owner-managed maintenance program.
Source:
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Flow Sheet:
Summary:
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Projected Production:
Commodity | Units | Avg. Annual |
Molybdenum
|
t
| 11,448 |
Silver
|
M oz
| ...... |
All production numbers are expressed as metal in concentrate.
Operational Metrics:
Metrics | |
Daily milling capacity
| 45,500 t * |
Waste tonnes, LOM
| 228,305 kt * |
Ore tonnes mined, LOM
| 231,094 kt * |
Tonnes milled, LOM
| 231,094 kt * |
* According to 2015 study.
Reserves at March 14, 2014:
Mineral Reserves: 0.032% Mo cut-off grade
Mineral Resources are reported inclusive of Mineral Reserves.
Category | Tonnage | Commodity | Grade | Contained Metal |
Proven
|
129.5 Mt
|
Molybdenum
|
0.092 %
|
263.6 M lbs
|
Proven
|
129.5 Mt
|
Silver
|
5.2 ppm
|
21.5 M oz
|
Proven
|
129.5 Mt
|
Lead
|
252 ppm
|
|
Probable
|
101.6 Mt
|
Molybdenum
|
0.07 %
|
156.7 M lbs
|
Probable
|
101.6 Mt
|
Silver
|
5.4 ppm
|
17.7 M oz
|
Probable
|
101.6 Mt
|
Lead
|
264 ppm
|
|
Proven & Probable
|
231.1 Mt
|
Molybdenum
|
0.082 %
|
420.3 M lbs
|
Proven & Probable
|
231.1 Mt
|
Silver
|
5.3 ppm
|
39.2 M oz
|
Proven & Probable
|
231.1 Mt
|
Lead
|
257 ppm
|
|
Measured & Indicated
|
321.8 Mt
|
Molybdenum
|
0.071 %
|
505.5 M lbs
|
Measured & Indicated
|
321.8 Mt
|
Silver
|
4.8 ppm
|
49.5 M oz
|
Measured & Indicated
|
321.8 Mt
|
Lead
|
236 ppm
|
|
Inferred
|
317.6 Mt
|
Molybdenum
|
0.041 %
|
286.3 M lbs
|
Inferred
|
317.6 Mt
|
Silver
|
4.6 ppm
|
47.3 M oz
|
Inferred
|
317.6 Mt
|
Lead
|
237 ppm
|
|
Commodity Production Costs:
| Commodity | Units | Estimated |
Site cash costs (produced)
|
Molybdenum
|
USD
|
5.24 / lb *† USD
|
Total cash costs
|
Molybdenum
|
USD
|
7.32 / lb *† USD
|
Assumed price
|
Molybdenum
|
USD
|
14.9 / lb * USD
|
Assumed price
|
Silver
|
USD
|
18.3 / oz * USD
|
* According to 2015 study / presentation.
† Net of By-Product.
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Operating Costs:
| Units | 2023 |
Total operating costs ($/t milled)
|
CAD
| 11.7 * CAD |
* According to 2015 study.
2015 Study Costs and Valuation Metrics :
Metrics | Units | LOM Total |
Pre-Production capital costs
|
$M CAD
|
......
|
Sustaining CapEx
|
$M CAD
|
......
|
Pre-tax NPV @ 8%
|
$M CAD
|
......
|
After-tax NPV @ 8%
|
$M CAD
|
......
|
Pre-tax IRR, %
|
|
......
|
After-tax IRR, %
|
|
......
|
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Mine Management:
Job Title | Name | Profile | Ref. Date |
.......................
|
.......................
|
|
Dec 8, 2023
|
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Corporate Filings & Presentations:
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