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Artemis awards mining fleet supply contract to Finning for Blackwater gold project, eyes fleet decarbonization

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(Kitco News) - Artemis Gold (TSX-V: ARTG) announced today that it has executed binding agreements with Finning (Canada), a division of Finning International for the supply of a primary and ancillary mining fleet for the company's Blackwater gold project in Central British Columbia. 

The company has also concurrently executed a credit-approved commitment letter for an equipment lease facility with Caterpillar Financial Services ("Cat Financial") associated with the primary and ancillary mining fleet, as well as an agreement with Caterpillar Inc. regarding the supply of a future zero-emission haul fleet.

Importantly, the company said that under the supply agreements, Finning has secured equipment pricing for the primary fleet until December 31, 2024, subject to minor index and foreign exchange adjustments.

Finning has further agreed to delivery dates for the primary and ancillary fleet in order to support mine development for Blackwater. The supply agreements secure the supply of equipment, as well as the supply of parts and labour, the latter of which will support the equipment availability guarantees provided by Finning.

The company added that the credit-approved equipment lease facility with Cat Financial provides for up to $140 million in equipment financing on terms consistent with the assumptions contained within the company's 2021 Feasibility Study.

Artemis noted that through the agreement with Caterpillar, the company has the option to place orders for Caterpillar's zero-emissions haul trucks, currently under development, for shipments beginning in 2029.

"The fleet transition signifies a key milestone of the project and will substantially reduce the carbon footprint of Blackwater's operations," the company said in a statement. "The project will be powered by clean electricity through the company's planned 135km long 230kV electricity transmission line which will connect to the BC Hydro grid."

Artemis Gold is a gold development company. The company indicated that its primary focus today is on advancing to construction the Blackwater gold project in central BC, Canada, a project with 10+ million ounces of gold in resources, Environmental Assessment approval and the potential to develop into one of the largest gold mines in Canada with cash costs in the lower quartile of global producers.


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