The underground mine was acquired by Canadian company Kirkland Lake Gold in 2016, and in February this year a merger was completed with another big Canadian company, Agnico Eagle, which has mines in Canada, Finland and Mexico.
The Fosterville mine is Australia’s third largest gold mine and in 2021 produced a total of 509,601 ounces of gold.
Agnico Eagle is a Canadian gold mining company, producing precious metals from operations in Canada, Australia, Finland and Mexico.
The company, in a quarterly statement released in February, reported it intends to spend about $34.6 million for 121,400 metres of capitalised drilling and the development of exploration drifts to replace mineral reserve depletion and to add mineral resources in the Cygnet, Lower Phoenix and Robbin's Hill areas.
Another $19.7 million is budgeted for 62,000 metres of underground and surface exploration with the aim of discovering additional high-grade mineralisation at Fosterville.
The company says it expects to spend an additional $2.9 million for 20,000 metres of regional exploration drilling on properties surrounding the Fosterville mine.
Forecast gold production for 2022 in the Fosterville mine is between 390,000 and 410,000 ounces.
“Based on current exploration results, the company's long-term goal for Fosterville is to establish the mine as a long-life asset through success in replacing mineral reserves,” the company said.
33°C