Artemis Gold approves $1B Phase 2 expansion of Blackwater mine

Artemis Gold (TSXV: ARTG) has actually accepted a C$ 1.44 billion ($ 1 billion) Stage 2 growth of its Blackwater mine, an action the firm states would certainly put the British Columbia procedure amongst Canada’s 3 biggest solitary gold manufacturers.

The task– described as EP2– entails additional updating the Blackwater plant’s handling plant ability, from 8 million tonnes per year (mtpa) visualized in the Stage 1A growth to a mixed 21 mtpa. Blackwater is presently running at 6 mtpa with the existing Stage 1 plant.

The Stage 1A growth, consisting of the enhancement of an upright mill, is currently unfinished and is anticipated to be finished prior to completion of 2026. Stage 2, created as a different center situated beside the Stage 1 plant, would certainly take one more 2 years and be finished by late 2028.

As soon as total, the EP2 task is anticipated to take Blackwater’s ordinary yearly manufacturing to 500,000-525,000 oz. over the very first complete one decade, Artemis claimed, while approximating all-in suffering prices to drop within the $800-$ 1,100/ oz. variety within that duration.

” Our constant long-lasting vision for the Blackwater mine has actually been to expand low-priced manufacturing to a minimum of 500,000 gold ounces annually with organized, capital-efficient growths moneyed mainly by capital from procedures,” chief executive officer Dale Andres claimed in a news release today.

Transformational growth

According to Artemis, the resulting manufacturing and expense account from EP2 would certainly seal Blackwater’s setting as “among the lowest-cost and highest-margin gold procedures around the world”, and change the mine right into among the 3 biggest solitary cash cow in Canada.

The mine situated 450 kilometres northeast of Vancouver entered commercial production in May, coming to be the very first brand-new golden goose in the district considering that 2017. For the 8 months to Dec. 31, it is anticipated to generate 160,000 to 200,000 oz. at AISC of $670-$ 770 per oz.

Throughout the Stage 2 growth duration, its manufacturing is anticipated to be 275,000-425,000 oz. at AISC of $800-$ 900/oz.

Very first gather Q3 2028

The EP2 task is anticipated to be moneyed mainly from running capital and annual report, the Vancouver-based gold miner claimed.

The handling plant for EP2 has a layout throughput ability of 13 mtpa, which is bigger in range contrasted to the 9-mtpa plant detailed in its 2024 growth strategy.

Front-end design of the EP2 plant has actually currently been finished this month, along with implementation strategies, Artemis kept in mind, including that its monitoring is preparing for early functions following month, once it protects authorization for adequate hydro-electricity supply from the district.

Significant jobs are anticipated to start in the 3rd quarter of 2026 and last around 2 years, with the very first gold put anticipated in Q3 2028, it included.

” We are being disciplined in our technique to preparing for the effective distribution of EP2, enabling adequate time with Q3 2026 to progress design and purchase along with very early jobs tasks,” Artemis’ head of state Jeremy Langford claimed.

At top building and construction, the EP2 task is anticipated to produce 1,500 straight building and construction tasks, plus extra indirect tasks and indirect and caused financial task, according to firm quotes.

Much more upside

At the EP2 handling price, the mine life at Blackwater is anticipated to be with to 2043, with the last 5 years of handling from accumulations.

Along with Stage 2, Artemis has actually likewise intended a Stage 3 growth, to be greatly accomplished with proceeded debottlenecking and optimization of the Stage 1/1A and EP2 handling plants. According to the 2024 growth research study, Stage 3 would certainly lead to a complete handling ability of 25 mtpa, with prospective to boost as a result of re-optimization of the mine strategy and source growth.

The EP2 task is based upon Blackwater’s existing mineral books, amounting to 8 million oz. consisted of within 334 million tonnes rating 0.75 gram per tonne. These are consisted of within a wider gauged and shown source quote of 11.7 million oz. (597 million tonnes at 0.61 g/t gold). Artemis claimed it anticipates to offer an upgrade to these quotes next year.