West Red Lake Gold Mines plans to restart the Madsen mine in Ontario this year. The mine was shut down in 2022 after its previous owner, Pure Gold Mining, entered creditor protection. West Red Lake later acquired the asset in 2023. Courtesy of West Red Lake Gold Mines.
Welcome back to your weekly mining news recap, where we catch you up on some of the news you may have missed. This week’s headlines include a Canadian company selected for BHP’s Xplor accelerator program, Northern Graphite’s plans to double its flake graphite production and Barrick Gold’s threats to suspend operations in Mali.
West Red Lake Gold Mines has secured a loan of up to US$35 million to help restart the shuttered Madsen gold mine in Ontario, as reported by Northern Ontario Business. The company released a prefeasibility study for the project on Tuesday and anticipates that it will begin production mining and milling ramp-up in the second quarter of this year.
Equinox Gold has reported record gold production, with 213,906 ounces produced in the fourth quarter of 2024 and 621,870 ounces for the full year, as reported by Engineering News. The company consolidated 100 per cent ownership of the Greenstone mine in Ontario last year, which achieved commercial production in November 2024.
Quebec’s public consultation agency has declared Ressources Falco’s proposed Horne 5 gold-silver-copper-zinc project, which would be located beneath the city of Rouyn-Noranda, to be “unacceptable,” citing a lack of sufficient data on risks and impacts, as reported by CBC News. The agency’s report highlighted concerns about blasting and seismic activity risks, which it said could affect the local population and the city’s radiation oncology centre. Ressources Falco, which is aiming to start production by 2030, pledged to address the safety concerns, which includes forming a committee tasked with ensuring that the project’s operations would not impact the radiation oncology centre.
BHP has selected eight mineral exploration companies for its 2025 Xplor accelerator program, which is focused on the discovery of new sources of critical minerals, as reported by Mining.com. Each participating company will receive an equity-free grant of up to US$500,000, along with access to industry expertise, to help advance their exploration plans. Among the recipients is Canadian company Viridian Metals, which owns two critical metals deposits in Labrador.
Northern Graphite, North America’s sole flake graphite producer, plans to double its production output to roughly 25,000 tonnes annually and is working towards opening a new pit this year at its Lac des Iles mill in Quebec, as reported by The Northern Miner. The company is aiming to restart the mill on Jan. 13, following a maintenance shutdown that began on Nov. 2, 2024. Analysts said that the price of graphite could spike in 2025 following China’s move to introduce stricter inspections on graphite exports to the U.S.
Tensions between Mali’s military junta and Barrick Gold continue to escalate. In a Jan. 6 update, Barrick Gold reported that it remains restricted from shipping gold from its Loulo-Gounkoto complex in Mali. Barrick CEO Mark Bristow stated that if the issue is not resolved within the week, the company may temporarily suspend operations at the mine. Barrick added that it is still working to secure the release of several senior employees who were detained in November.
Quebec is bumping up its funding for the Quebec Mining Institute (INMQ) from $1 million to $1.5 million for the 2024-2025 fiscal year, as reported by The Canadian Press. The institute manages the training of workers in the mining industry and also provides guidance to the Quebec government. The INMQ offers three training programs that it said are especially sought after in the industry: the Diploma of Vocational Studies in Construction Equipment Mechanics, the Diploma of College Studies in Mineral Technology and the Bachelor of Mining Engineering.
Looking ahead to the commodity landscape in 2025, uranium prices are expected to range between US$80 and US$85 per pound, supported by increasing demand from nuclear power plants, artificial intelligence data centres and the commissioning of new reactors, as reported by Trish Saywell for the December/January issue of CIM Magazine. Additionally, gold prices are forecasted to average around US$2,575 per ounce, driven by geopolitical instability and central bank purchases in 2024. Copper prices are predicted to hover around US$9,000 per tonne, fuelled by demand from the energy transition. Lithium carbonate prices are expected to decline even further, averaging US$10,775 per tonne, stemming from oversupply and plateauing electric vehicle demand.
By identifying low-cost energy-saving opportunities and encouraging a culture of conservation, mining operations can significantly reduce their energy use and associated costs, as reported by Christopher Pollon for the November issue of CIM Magazine. Turning to technologies like digital twins, as well as innovations like waste heat recovery and trolley-assist trucks, can help support energy efficiency. Collaboration across all levels of the organization, including employee engagement, is essential for achieving long-term decarbonization goals and overcoming challenges in energy management and efficiency.
Chad Sorba, vice-president of technical services at Denison Mines, spoke with Alexandra Lopez-Pacheco for the November issue of CIM Magazine about developing Canada’s first in-situ recovery (ISR) uranium mining project at its Wheeler River project in Saskatchewan. Despite challenges associated with ISR, Denison plans to utilize this recovery method for the Phoenix deposit at Wheeler River, and has completed successful tests and feasibility studies. Production is planned to begin in 2027. Sorba highlighted ISR’s sustainability and the potential for this method to help unlock the value from other uranium deposits in Saskatchewan’s Athabasca Basin.
That’s all for this week. If you’ve got feedback, you can always reach us at editor@cim.org. If you’ve got something to add, why not join the conversation on our Facebook, Twitter, LinkedIn or Instagram pages?
