Kaminak Gold touts feasibility of mine near Dawson City
Company says proposed Coffee Gold project would be in the black within 2 years
The Kaminak Gold Corporation says a feasibility study into its Coffee Gold project south of Dawson City shows the proposed mine could easily turn a profit.
Kaminak president Eira Thomas said the study confirms the Coffee property as "one of the world's best undeveloped gold projects by value and margin, that works in the current gold-price environment."
The feasibility study, which began in 2014, determined that the project would be profitable enough for Kaminak to recover construction and start-up costs within two years.
The company is proposing an open pit mine at the site 130 kilometres south of Dawson. According to Kaminak, the 10 year project would generate more than $2 billion in gross revenues, and employ close to 500 people.
The site will be accessed from Dawson by existing roads, and an additional 37 kilometres of new road. The Stewart and Yukon rivers will be crossed by barge in summer and ice road in winter.
Kaminak intends to have its permitting applications ready to submit to the Yukon Environmental and Socio-economic Assessment Board (YESAB) by this summer.