Alamos Gold Inc
Island Gold Mine
Austin Hemphill
General Manager
Dubreuilville, Ontario Canada
15 Goudreau Road
Dubreuilville, Ontario, Canada
P0S 1B0
TEL: 705-884-2805
The Island Gold District is comprised of the adjacent Island Gold and Magino mines, two long-life operations with a large Mineral Reserve and Resource base and significant exploration upside. Island Gold is an underground mine and one of Canada’s highest grade and lowest cost gold mines. Magino is a large open pit mining operation located within 300 metres of the Island Gold deposit. The combination of Island Gold and Magino will create one of the largest and lowest-cost gold mines in Canada.
Island Gold is a long-life, high-grade, low-cost underground gold mine located in Ontario, Canada. The operation is undergoing an expansion which will drive production higher, costs lower and strong free cash flow growth.
OVERVIEW
The Island Gold District represents a strategically significant asset for Alamos Gold, comprising the high-grade Island Gold underground mine and the recently acquired Magino open-pit operation.
Since acquiring Island Gold in 2017, Alamos has focused on expanding production capacity, which has tripled through ongoing investment. A further expansion (Phase 3+) is underway, targeting a doubling of throughput to 2,400 tonnes per day by 2026. This expansion is expected to drive higher gold production at significantly reduced costs.
The addition of the Magino mine in July 2024 provides further scale and operational diversity. Magino, a 10,000 tonne per day open-pit operation, achieved commercial production in late 2023 and boasts a substantial mill and tailings facility.
Alamos Gold anticipates realizing significant synergies exceeding $500 million by integrating the two operations. These synergies are expected to be derived from shared infrastructure, optimized processing, and economies of scale, further enhancing the district's profitability and long-term value.
LOCATION
The Island Gold Mine is located 83 kilometres northeast of Wawa, Ontario. The mine comprises 217 patented, leased and staked claims covering 7,926 hectares. It is accessible via a four-season road from Highway 519, just west of the town of Dubreuilville.
The Island Gold District is located just east of the town of Dubreuilville, 83 kilometres northeast of Wawa in Northern Ontario. The Island Gold and Magino deposits are within 300 metres of each other.
HISTORY
In 1985, drilling approximately two kilometers south of the Kremzar Mine intersected a series of sub-parallel lenses containing gold mineralization within deformed rocks of the Goudreau Lake Deformation Zone (gldz). These lenses are known as the Lochalsh, Island Gold, Shore, and Goudreau Lake Zones. Over 1989 and 1990, underground access was established into the Island deposit with an adit from the north shore of Goudreau Lake. A bulk sample weighing 4,167 tonnes was extracted and processed at the on-site Kremzar Mill.
Encouraging results were obtained from exploration work conducted from 1996 to 2002 and, in 2004, an exploration program was initiated in order to complete a resource estimate. On January 1, 2005, Richmont Mines became the operator of the project. The project began commercial production on October 1, 2007. Richmont acquired Patricia Mining’s 45% interest in December 2008, becoming 100% owner of the property and operations.
Exploration activities ramped up in 2009 with a minimum of 30,000 metres of drilling completed in each of the next several years, increasing sharply to more than 80,000 metres in 2012. This included drilling below the 400 metre level as part of the Island Gold Deep program which resulted in the discovery and initial inferred mineral resource on the high grade deep C Zone in January 2013. Over the next year, drilling in the Island Gold Deep sectors from the west, below Lochalsh, to the east and below Extension 1 confirmed the presence and continuity of the deep C Zone and some parallel zones. This drove a substantial increase in inferred mineral resources to 3.6 million tonnes grading 9.07 g/t for 1.04 million ounces of gold as of April 2014. This represented an increase of nearly one million ounces at a 46% higher grade from the end of 2012.
Ongoing exploration success continued to add higher grade inferred mineral resources over the next few years while a large portion was converted to mineral reserves. As of the end of 2019, mineral reserves had increased 62% in terms of ounces and 13% in terms of grade since the acquisition of Island Gold in November 2017.
GEOLOGY AND MINERALIZATION
This property exhibits significant potential for gold mineralization, situated within the prolific Michipicoten Greenstone Belt of the Superior Province, Ontario. The geological setting is characteristic of Archean orogenic lode gold deposits, with mineralization associated with the Goudreau Lake Deformation Zone (GLDZ). This major structural feature has provided conduits for hydrothermal fluids, leading to the deposition of gold within structurally prepared zones.
The property's stratigraphy consists of intermediate to felsic volcanic rocks of the Wawa Assemblage, intruded by a tonalitic stock. Gold mineralization is hosted within quartz-carbonate veins and associated alteration zones, spatially related to the GLDZ. The presence of multiple known gold deposits within the district, including the high-grade Island Gold deposit, underscores the prospectivity of this region.
The structural complexity inherent in orogenic gold systems necessitates a comprehensive exploration approach, incorporating detailed geological mapping, structural analysis, and geochemical sampling. A thorough understanding of the interplay between lithology, structure, and alteration is crucial for effectively targeting high-grade mineralization.
The property's geological context, combined with the presence of known gold occurrences, suggests a favorable environment for the discovery of further economic gold mineralization.
MINING AND PROCESSING
The strategic integration of the Island Gold and Magino mining operations is poised to unlock significant operational synergies and enhance overall productivity.
At Island Gold, a transition from ramp access to a state-of-the-art shaft and skip system is underway. This pivotal infrastructure enhancement, coupled with ongoing development and the Phase 3+ Expansion, is projected to elevate production to 2,400 tonnes per day by 2026.
Concurrently, the Magino operation, characterized by its open-pit mining methodology and substantial processing capacity, will serve as a centralized milling hub for both sites. This strategic consolidation obviates the need for costly expansions at Island Gold's existing Kremzar mill, optimizing capital allocation and streamlining operational workflows.
The Magino mill is slated for progressive optimization and expansion, targeting a throughput capacity of 12,400 tonnes per day by 2026 to accommodate the augmented ore volumes from both mines.
This integrated operational model yields a multitude of advantages:
- Enhanced Cost Efficiency: Centralized processing at the Magino mill leverages economies of scale, driving down per-tonne processing costs.
- Production Growth: Strategic investments in infrastructure and process optimization position both Island Gold and Magino for substantial production increases.
- Extended Mine Life: With considerable reserves and exploration potential at both sites, the integrated operation enjoys a robust long-term outlook.
By capitalizing on the inherent strengths of each operation and fostering operational synergies, this strategic integration creates a compelling platform for sustained growth, value creation, and enhanced profitability.
Source: https://www.alamosgold.com/mines-and-projects/producing-mine/island-gold-canada/default.aspx
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Development Boomtruck Operator
- Safely move material as directed. Report and document all material moved accurately to his/her Supervisor;
- Accurately report to supervisor the material needed in storage areas U/G
Rock Breaker Operator
- Operate rock-breaker;
- Perform pre-op and post-op inspections on equipment
Scissordeck Bolter
- Install ground support as per company standard;
- Install and maintain services;
- Load development rounds
Ground Control Engineer
- QAQC of shotcrete, ground support installation, grouting, ground support auditing and paste fill;
- Document inspections of underground stoping and development;
- Rock mass characterisation and classification
Mine Engineer
- Assist with blast improvement investigations;
- Look for opportunities to improve efficiencies;
- Provide guidance to EIT’s
Construction Miner - Transmixer
- Operate equipment such as transmixer and shotcrete sprayer;
- Assist in installation, modification and repairs of UG infrastructures
Geological Technician/or Junior Geologist
- 3D digitizing of underground geological mapping and integration into 3D mining software.
- Digitize geological surface geological mapping lithology, structure and mineralization
- Digitize chip sampling of ore development headings as required
Mill Operator/Labourer
- Works and ensure all workers work in compliance with the Occupational Health & Safety Act, Regulations for Mines and Mining Plants and all other applicable government standards and regulations;
- Adheres to and enforces all safety and environmental considerations
Document Control Coordinator - Phase III
- Implement document and data management solutions with a primary focus on workflow, document control, information security and records management.
- Provide ongoing training and support to end users in the use of the document management system.
- Ensure project and operations teams comply with the document management requirements and procedures
Project Controls Manager - Phase III
- Development and implementation of project controls systems and procedures.
- Working with accounting personnel to ensure accurate reporting and approval of accruals, forecasts, and project status.
- Early identification and notification of deviations and variances to project baseline schedule and spend