Marathon provides project development update

This decision has been made following the recent successful completion of the Project’s provincial and federal environmental assessments, an updated cost to complete assessment, and an evaluation of the overall investment merits of the Project.

Matt Manson, President and CEO, commented: “Valentine is one of Canada’s best undeveloped gold deposits located in one of the world’s best mining jurisdictions. This is a Project blessed by its location, by the simplicity of its design and operation, by the strong support of its stakeholders and community partners, and by its rich endowment of gold mineralisation. After more than three years of environmental assessment we have now been approved by the regulators to move forward with its development. The company’s decision to proceed with construction of the Valentine Gold Project considers the impact of almost two years of market inflation on the project’s costs, as well as a necessarily cautious approach to project management, contingency and scheduling. We currently assess that the project’s construction cost to complete, including early works being carried out in 4Q22, will be in the range of CAN$470 to CAN$490 million. However, we are also recognising the potential value of the project as it continues to grow. The future addition of the new Berry Deposit, which forms the centre of our ongoing mine planning, offers an extension to the project’s mine life and an improved gold production profile, even as we manage the increased cost-of-entry to the business. This formal decision to proceed to a build, made by the Board of Directors, reflects our confidence in the significant value that the Valentine Gold Project offers to Marathon’s shareholders, and its many stakeholders in the province of Newfoundland and Labrador.”

George Faught, Chairman of the Board of Directors of Marathon, commented: “The Board of Directors is pleased to support management’s recommendation to proceed with construction of a mine at the Valentine Gold Project and we are firmly convinced that this is a mine that needs to be built. The detailed work completed by the Marathon team over the past two years, combined with the number of successful permitting milestones achieved, including the full release from provincial and federal environmental assessment, supports our collective decision to build the largest gold mine in Atlantic Canada. We are also convinced of the exploration upside and longterm potential that the Valentine Gold Project holds and are grateful for the support of all the stakeholders involved with us as we commence with this much anticipated capital project.”

Read the article online at: https://www.globalminingreview.com/mining/07092022/marathon-provides-project-development-update/