Evolution receives regulatory approval for its Cowal underground gold project in Australia
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(Kitco News) - Evolution Mining (ASX: EVN) announced Thursday that its Cowal gold operation near West Wyalong in NSW, Australia, has been granted regulatory approval to develop the underground mine, extending the operation's permitted mine life to 2040.
The company said that the underground mine is a key contributor to Evolution's goal of safely and reliably producing in excess of 350,000 ounces of gold per annum from Cowal with the addition of a new higher grade underground ore source to blend with ore from the E42 open pit.
The investment of A$380 million in the underground mine delivers economic benefits to the Central West NSW region and generates approximately 160 new jobs during the peak of the construction phase, and approximately 230 new long-term jobs created when the mine is in full operation, the company added.
In a statement, Evolution pointed out that the Galway decline development will be completed in the December 2021 quarter, with approximately 37km of diamond drilling planned during for the remainder of FY22 to optimize early production.
Commenting on the approval, Executive Chairman Jake Klein said, “The approval of this new underground mine at Cowal is a significant milestone for this world class operation. We have a bright future at Cowal with permitted mine life extended to 2040, and further job security for our local employees and contractors."
Evolution Mining operates five wholly-owned mines – Cowal in New South Wales, Mungari in Western Australia, Mt Rawdon and Mt Carlton in Queensland, and Red Lake in Ontario, Canada. In addition, Evolution holds an economic interest in the Ernest Henry copper-gold mine in Queensland.