Integra Gold Corp. is pleased to announce that it has awarded Promec Mining Inc. with the contract to construct the Triangle Deposit exploration ramp on the Lamaque-South Gold Project in Val-d'Or, Québec. Promec has mobilized all required equipment on site and hired more than 90% of its team. The first rock blast for the exploration ramp took place earlier this week.
Val-d'Or, Québec based Promec Mining was selected following a detailed bid evaluation process conducted by the Company. Promec specializes in contract underground mining, development, construction and operations. Promec has worked on numerous projects throughout Eastern Canada, including contracts with Agnico-Eagle, Hecla, Glencore, and others.
Langis St-Pierre, Integra's Chief Operating Officer remarked, "By awarding this contract to Promec Mining, an experienced Val-d'Or based mining contractor with a long history of successful contract mining in the Abitibi, our Lamaque project enters an exciting and important new phase of its evolution. The transition to underground exploration at Triangle is an important milestone for Integra's technical team and the Company's shareholders. We have been looking forward to the first rock blast of the ramp construction as it represents the culmination of five years of focussed exploration at Triangle. Our decision to construct this exploration ramp also reflects the Company's on-going commitment to the community of Val-d'Or through job creation and the economic stimulus generated by the project."
Jos Deschenes, Promec Mining's General Director commented, "Promec Mining is extremely proud to be part of the initiation of this new project in the Val-d'Or area. We are excited to work with a dynamic company like Integra Gold, whose hard work and dedication have made this project possible. In collaboration with the Integra team we will make this project a success and one that will continue the proud mining tradition of Val-d'Or and the Abitibi-Temiscamingue region."
Exploration Ramp Objective, Details and Plans
The exploration ramp construction specifications are designed to be 5.1 metres ("m") in width and 5.0 m in height and will include 420 m of lateral development in mineralized zones contained in C1 and C2 zones. The exploration ramp development will reach an estimated vertical depth of 180 m and Promec is projecting the ramp will advance at a rate of 175 m per month. Promec will be utilizing Integra's facilities built at the Triangle site for equipment maintenance and, if required, its own facilities located 3 km from the portal allowing for timely maintenance and repairs to equipment with minimal downtime.
The objective of the underground exploration program is to conduct close-spaced drilling from within the upper portions of the Triangle deposit (C1 and C2 zones) as well as exploration drilling in order to continue growing the resource base. The proposed underground exploration program will also include a bulk sample of more than 20,000 tonnes of gold mineralized rock required for the purposes of reconciling gold content versus resource estimates as well as to allow for detailed metallurgical test work to be conducted. The ultimate size, location and timing of the bulk sample will be determined using information gathered from the results of the ongoing surface exploration drilling and from underground drilling as results become available.
Budget and Timeline
The budget for the underground exploration ramp is approximately C$26 million with work estimated to take between 12 months and 15 months. The contract with Promec includes the provision of an experienced underground work force and a modern mining fleet while Integra will supply the required construction materials. Having recently hired 65 skilled miners to complete the task, Promec will work in conjunction with Integra's technical team throughout ramp construction. The Company is fully funded to see this work through to completion and all necessary permits are currently in place.
Surface Infrastructure Installed in 2015 to Help Expedite Timeline
The surface infrastructure and ramp collar required for the exploration ramp was completed in the fall of 2015 at a cost of C$5.6 million. As a result of this work surface infrastructure already in place includes site management offices, maintenance facilities, site services (25 kV powerline, industrial and dewatering mine water lines, potable and waste water lines, etc). In addition, a new road from the Triangle site to the Sigma Mill was built which will allow for more efficient transportation of mineralized material and personnel in the future.
Project and Company Profile
Integra Gold is a junior gold exploration company advancing projects in Val-d'Or, Québec, one of the top mining jurisdictions in the world. The Company's primary focus is its high-grade Lamaque South project. In 2014, Integra completed the accretive acquisition of the Sigma Mill and Mine Complex, a fully permitted 2,200 ton per day mill and tailings facility. With major federal and provincial permits in place, existing infrastructure and exploration potential, this acquisition removed major costs and shortened timelines typically associated with mine projects. With a current market capitalization of approximately $300 million, Integra has raised over $100 million since 2013, at successively higher share prices, despite depressed gold prices. In August 2015, Eldorado Gold Corporation completed a strategic investment in Integra, acquiring 15% of the outstanding common shares. Integra was recently named to the TSX Venture top 50 performers in 2015 and the OTCQX Best 50 award for 2015.