Kaminak Gold to Commence Feasibility Study at Coffee Gold Project, Yukon

Kaminak Gold Corp. (TSXV:KAM) announced that its board of directors has given approval to commence a feasibility study for the company’s Coffee gold project, located in Canada’s Yukon. The decision to move directly to feasibility follows positive results from Kaminak’s preliminary economic assessment for the project last month.

As quoted in the press release:

Given the positive findings in the PEA, which indicate that Coffee is a robust project at current gold prices, Kaminak’s Board of Directors has elected to advance directly to Feasibility. As follow-on to the work undertaken during the PEA, Kaminak has designed an initial Feasibility study program to be undertaken over the next 12-18 months that will incorporate the following elements:

• Infill drilling: Approximately 70,000 metres of diamond core and reverse circulation drilling to bring the open pit resource to ‘Indicated’ category
• Additional metallurgical testwork to confirm and expand characterization of both Oxide and Transitional resources
• Condemnation program comprising drilling, soil sampling and trenching
• Geotechnical work to examine pit wall stability, heap leach facility and waste dump foundations
• Environmental Baseline work
• First Nations and Community Engagement
• Feasibility study of a permanent all weather access road

Kaminak CEO Eira Thomas said:

Following the announcement of a private placement by Ross Beaty and Zebra Holdings on July 14, Kaminak’s Board of Directors have approved the commencement of an approximately $30 million Feasibility study for the Coffee Gold Project, to be completed by the end of 2015. Coffee represents a low-risk, high-return development-track gold project in Yukon, Canada where there is a long history of and strong support for gold mining. The completion of a Feasibility study is the next major milestone on our path towards a production decision.

Click here to read the Kaminak Gold Corporation (TSXV:KAM) press release.