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Mount Milligan Mine report expected next month

Kitco News

(Kitco News) - Centerra Gold said today that a comprehensive technical review of the Mount Milligan Mine will be published next month.

Centerra announced the news in its year end production update.

In the company’s 3Q from 2019 Centerra recorded a $231 million impairment at Mount Milligan due to a reduction in gold recoveries and higher costs.

The company warned that mineral reserves and resources are expected to be “materially reduced.”

“The extent of any change in reserves and resources cannot be precisely determined until all of the relevant studies and modelling are completed, including studies to optimize the economics of the mine and further work to incorporate results of the Company’s exploration drilling in 2019,” wrote the company.

“However, based upon the work performed in connection with the impairment test, the Company’s expectation is that Mount Milligan’s mineral reserves and resources will be materially reduced.”

Mount Milligan is located in central B.C., nearly 90 km northwest of Prince George. It is a conventional truck-shovel open-pit copper and gold mine and concentrator with a 62,500 tpd design capacity.

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