Apr 4 2017
Midas Gold Corp. today provided an update on the Feasibility Study ("FS") to be carried out on its Stibnite Gold Project ("Project"), which is located in Idaho, USA. M3 Engineering & Technology Corp. ("M3") has been awarded a contract to lead the FS. Additional FS support will be provided by Blue Coast Metallurgy Ltd., Tierra Group International Ltd., SRK Consulting, Kirkham Geosystems Ltd., STRATA, and others, as necessary. The target completion date for the FS is Q3 2018, which parallels the advancement of the regulatory process for mine development.
"The commencement of a definitive Feasibility Study for Midas Gold's Stibnite Gold Project represents another milestone in the advancement of this important gold-antimony development project in Idaho," said Stephen Quin, President & CEO of Midas Gold Corp. "The objective for the study is to optimize design and costs for the restoration, redevelopment, operation and closure of this brownfields, heavily impacted former mine site. As laid out in the Plan of Restoration and Operations filed with the U.S. Forest Service in 2016, Midas Gold has fully integrated and incorporated its plans to 'Restore the Site' by addressing a century of legacy impacts from prior mining-related activities into the redevelopment of the area as a modern mining operation that prioritizes protection of the environment, allows salmon migration to the headwaters of a branch of the Salmon River for the first time since the 1930s, delivers employment and economic benefits to the region and leaves behind a sustainable ecosystem."
Feasibility Study
With the Prefeasibility Study ("PFS") and Plan of Restoration and Operations ("PRO") complete and the regulatory process for permitting of a mine underway (see news release dated March 28, 2017), Midas Gold has initiated the FS, to be completed concurrent with environmental permitting. The focus of the FS is on optimizing the Project to maximize financial returns based on current metal price conditions and ongoing work being completed in support of the FS that began in mid-2016. Ongoing work, including the mineral resource optimization drilling program (see news release dated March 30, 2017) and metallurgical testing program (see news release dated February 14, 2017) will be incorporated into the FS. With the results of the recently reported mineral resource optimization drilling program now available, geological modelling has commenced; updated geological models will not only incorporate the results of this recent drilling, but will also include detailed geological and structural data from re-logging of prior Midas Gold drilling, additional assays collected from previously drilled holes, plus additional legacy technical data recovered subsequent to the completion of the PFS. These new geological models will be used as the basis for updated mineral resource estimates to be completed over the next several months. Metallurgical testing to support the FS continues, primarily focused on pressure oxidation of concentrates and subsequent gold recovery, and is scheduled to be completed in Q3 2017. Geotechnical field work in support of the FS is also currently in progress and expected to continue through Q1 2018. Additional field and desk top studies will also be undertaken in support of the FS.
M3 Engineering
M3 is a privately held architecture, engineering, and construction management firm founded in 1986 in Tucson, Arizona providing continuous design and construction services from project conception to final testing and integration. M3 was the lead consultant for the PFS completed on the Stibnite Gold Project, the results of which were announced on December 15, 2014. M3 offers a diverse field of services to a broad international client base with offices in Arizona, North Carolina, Mexico, Argentina, Peru and is incorporated in Guatemala, Chile and Canada. M3 has recently completed engineering, procurement and construction management ("EPCM") contracts for the Haile gold mine development in South Carolina and the Morelos gold mine in Guerrero, Mexico, both of which mine developments were based on NI 43-101 Feasibility Studies completed by M3. M3 also recently completed the EPCM for the Buenavista copper mine in Cananea, Mexico.
Additional Information
Details of the previous news releases, the Project and the 2014 PFS can be found filed under Midas Gold's profile on SEDAR (www.sedar.com) or at www.midasgoldcorp.com.
Quality Control and Quality Assurance
The technical information in this news release has been prepared in accordance with Canadian regulatory requirements set out in National Instrument 43-101 ("NI43-101") and reviewed and approved by Stephen P. Quin, P. Geo., President and CEO of Midas Gold Corp., and a Qualified Person.