
First reported on MINING.com
30 Second Briefing
Maritime Resources has poured its first gold at the Hammerdown project in Newfoundland, marking the mine's first production since 2004. The gold was processed from stockpiled material at the Pine Cove mill, which was recently brought back into operation after two years of care and maintenance. Hammerdown is expected to ramp up to full production early next year, with an annual output of 50,000 ounces at an all-in sustaining cost of $912 per ounce, supported by proven and probable reserves of 1.9 million tonnes grading 4.46 grams gold per tonne.
Technical Brief
- Maritime Resources has achieved its first gold pour at the Hammerdown project, marking the site's first production since 2004.
- Gold was processed at the Pine Cove mill, which resumed operations after two years of care and maintenance.
- Hammerdown's ramp-up to full production is scheduled for early next year, targeting 50,000 ounces annually.
- The project has proven and probable reserves of 1.9 million tonnes with a grade of 4.46 grams gold per tonne.
- All-in sustaining costs are projected at $912 per ounce, based on a 2022 feasibility study.
- The feasibility study values Hammerdown at C$251 million after-tax NPV, assuming a $2,500 per ounce gold price.
- New Found Gold's acquisition of Maritime for C$292 million is set to close in Q4, integrating Hammerdown with the Queensway project.
- The combined entity will leverage shared infrastructure, including the Pine Cove mill and Nugget Pond plant.
- Historical production at Hammerdown by Richmont Mines yielded 143,000 ounces from 2000 to 2004, with an average grade of 15.7 grams per tonne.
Context From Recent Coverage
- Maritime Resources' Hammerdown project in Newfoundland, with a proven and probable reserve of 1.9 million tonnes at a gold grade of 4.46 g/t, positions it as a significant regional asset in a market where gold projects are relatively few, with only a small number of related stories tracked in the last 90 days.
- The planned annual production of 50,000 ounces at the Hammerdown project, combined with an all-in sustaining cost of C$912 per ounce, reflects a competitive operational profile in the Canadian gold mining sector, which has seen several mining stories recently.
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