Name of the Project
Troilus gold project.

Location
The project is located in Quebec, Canada.

Project Owner/s
Troilus Gold Corp.

Project Description
Troilus has total indicated resources of 177.3-million tonnes grading 0.87 g/t gold equivalent, 0.75 g/t gold, 0.08% copper and 1.17 g/t silver. Inferred resources are estimated at 116.7-million tonnes grading 0.84 g/t gold equivalent, 0.73 g/t gold, 0.07% copper and 1.04 g/t silver.

A preliminary economic assessment (PEA) has supported a combined openpit/underground mining operation at the Troilus project with low initial capital costs and a high rate of return for a 35 000 t/d operation over a 22-year mine life.

The project is forecast to produce 220 000 oz/y of gold for the first five years and about 246 000 oz/y for the first 14 years and 98 000 oz/y from Year 15 onwards.

The project will mine the 87, J and the new Southwest zones. The 87 zone will have a single-phase openpit followed by underground mining. For the purpose of the PEA the J zone has been designed as a three-phase openpit. The SW zone design comprises two openpit phases.

Underground mine development will start in Year 6 and first mill feed to the plant from underground will occur in Year 8. The underground mine will be located beneath the 87 zone pit and use sublevel caving along the edges of the openpit, and slot and mass blasting in the lower levels.

The portal will be located adjacent to the primary crusher. Trucks will bring the mill feed material and waste to the surface initially, with a transition to the RailVeyor system for the life-of-mine. The underground mine will ramp up production from its initial levels to 9 000 t/d by Year 9 and maintain that rate until the end of the mine life.

During the mining operation, a stockpile will be maintained adjacent to the primary crushing plant, which will be used as supplemental feed as and when required to meet production targets, weather events and as mill feed in the later years of the operation.

Waste rock will be hauled to dedicated waste management facilities near the openpits, backfilled into the 87 zone pit and used for lifts of the tailings management facility. The concurrent reclamation of the waste management facilities is planned. 

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
At a base case, the project has a pretax net present value, at a 5% discount rate, of $971-million and an internal rate of return of 29.6%, based on $1 475/oz gold, with an after-tax payback of four years.

Capital Expenditure
Capital expenditure is estimated at $333-million.

Planned Start/End Date
Not stated.

Latest Developments
Troilus plans to start a prefeasibility study and work towards finalising an environmental-impact study for the project while continuing to explore the geological potential of the 107 000 ha site.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Troilus Gold Corp, tel +1 647 276 0050 or email  info@troilusgold.com.