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Alexco Resources is permitted, production slated for end of year

Kitco News

Alexco Resource (TSX: AXU) said Wednesday it received its water use license for its Keno Hill Silver District from the Yukon Water Board. The company anticipates production within this year.


"With the draft terms and conditions of the water license now issued and established, the Company is moving forward with final development of its mines at Keno Hill, anticipating initial concentrate production and silver sales in Q4 2020," writes Alexco Resources. 


The company also announced a $26 million bought-deal financing co-led by Cormark Securities Inc. and Cantor Fitzgerald.


According to the company's prefeasibility study, Alexco anticipates sequential production from four high-grade silver deposits (Bermingham, Flame & Moth, Bellekeno and Lucky Queen) over an eight-year mine life producing 1.18 million tonnes of ore with an average silver grade of 805 g/t, 2.98% lead and 4.13% zinc. Silver production is anticipated to be approximately 4 million ounces per year.

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