Prodigy Gold's revised scoping study for a Wawa area gold project is promising more ounces and more production from a proposed open pit operation.
The Vancouver junior miner released an updated preliminary economic assessment (PEA) of its Magino gold play on Dec. 22, which boosts the capital costs to build a mine from $242 million to more than $405 million.
Gold production over the 11-year mine life will increase by 1.1 million ounces to more than 2,614,000 ounces.
In a statement, company president Brian Maher said Magino stands to be one of the larger gold operations in North America with a proposed mill expansion that will allow them to produce 249,000 ounces annually. A full feasibility study is scheduled for completion sometime in 2012.
“The results of the PEA validate our operational model for Magino and the company looks forward to rapidly advancing the project in the coming year,” said Maher.
The total mineable gold resources are pegged at 74,234,00 tonnes, grading 1.15 grams per tonne gold.
Magino is a past producing underground gold mine located 40 kilometres northeast of Wawa and 14 kilometres southeast of Dubreuilville. The property has been the site of several exploration and test-mining attempts since the mid-1930s until Muscacho Exploration put it into production from 1988 to 1992, producing 105,543 ounces of gold.
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