The Vancouver Sun published an interview with Eira Thomas, CEO of Kaminak Gold Corp. (TSXV:KAM), which is focused on the Yukon-based Coffee deposit. Thomas is the daughter of famed diamond explorer D. Grenville Thomas and was involved in the discovery of the Diavik diamond mine.
As quoted in the market news:
The gold at Coffee is near-surface and — importantly — not too expensive to extract. The report assumes a gold price of $1,250 US an ounce and projects all-in production costs of less than $700 per ounce, compared to a current spot price of about $1,320.
‘There is this view, or misnomer, that if you’re anywhere but southern Ontario in Canada, your costs are going to be very high, particularly in the North,’ Thomas said during a recent interview at the Kaminak office in downtown Vancouver. ‘We’ve been able to demonstrate with our study that is not necessarily the case.’
Coffee would produce a total of 450,000 ounces of gold in the first two years, with average annual production of 167,000 ounces over an 11-year mine life.