Sage Gold has inked a toll milling agreement with Primero Mining’s Black Fox-Stock Mill in Timmins to process up to 200,000 tonnes annually from its advanced Clavos gold project over the estimated seven-year span of the future mine.
The Stock Mill is 10 kilometres from Clavos and is accessed by a private haul road between the two properties.
The mill is a 2,500-tonne-per-day carbon-in- leach mill, formerly owned by St. Andrew Goldfields when it was running the Clavos Mine in the mid-2000s.
Starting next July, Sage will start trucking mine material to the mill with the aim of running the first batch through the mill by September.
Since the haul road is not part of the provincial highway system, Sage said in a Nov. 17 that it can use larger trucks.
The Ministry of Northern Development and Mines has also given the mining company notification that it has changed the status of its Clavos gold project from ‘Inactivity’ to ‘Mine Production and Development.’
Sage can now start dewatering the mine, do some rehabilitation, and set things up to produce up to a maximum daily tonnage of 700 tonnes per day.
The company is finishing a reserve estimate for Clavos and a prefeasibility study.
Sage’s main properties are the Clavos property and its Onaman copper, gold, silver property in the Beardmore-Geraldton Gold Camp of northwestern Ontario.
