A Preliminary Economic Assessment for the Red Mountain Gold Project describes a proposed underground mining and processing operation based on historical production data and metallurgical testwork.
Report context
This Preliminary Economic Assessment (PEA) technical report, with an effective date of July 23, 2014, and a report date of September 3, 2014, was prepared for IDM Mining Ltd. The property is located in northwestern British Columbia, Canada, at approximately 55°57’ North latitude and 129°42’ West longitude. The report presents a proposed mine and processing plant design; it does not constitute a feasibility study. The mineral reserves disclosed in Section 15.0 are noted as non-compliant with NI 43-101 reserve definitions, and the PEA is preliminary in nature, including inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves.
Processing route
Proposed processing plant design
Section 17.0 Recovery Methods describes the proposed processing methods and flow sheet. The plant design is based on a conventional gold recovery process. The flow sheet is presented in Section 17.2. Plant design and equipment characteristics are described in Section 17.3. Reagents handling and storage are addressed in Section 17.4. Energy, water, and process materials requirements are covered in Section 17.5.
Historical operating data and testwork
Section 6.4 Historic Production reports that the Red Mountain property has historic production, though specific operating parameters are not detailed in the processing sections provided. Section 13.0 Mineral Processing & Metallurgical Testing describes the testing and procedures (13.1), relevant results (13.2), and recovery estimate assumptions (13.3). Section 12.1 NAMC Metallurgical Composites documents a metallurgical composite program used for data verification. Section 11.4 1993-1994 Bulk Samples describes bulk sample collection and testing from that period.
Recovery methods
The report Section 1.9 Recovery Methods provides a summary-level description of the proposed recovery approach. Detailed recovery method descriptions are found in Section 17.0 Recovery Methods, including processing methods (17.1), flow sheet (17.2), plant design and equipment characteristics (17.3), reagents handling and storage (17.4), and energy, water, and process materials (17.5).
Key reported parameters
| Parameter | Value | Basis |
|---|---|---|
| Property coordinates | 55°57’ N, 129°42’ W | Reported location |
| Effective date | July 23, 2014 | Report date |
| Report date | September 3, 2014 | Report date |
| Mineral reserve compliance | Non-compliant with NI 43-101 | Section 15.1 |
| Metallurgical testing | Completed | Sections 13.0, 12.1 |
| Historic bulk samples | 1993-1994 | Section 11.4 |
| Historic production | Recorded | Section 6.4 |
| Proposed processing method | Conventional gold recovery | Section 17.0 |
| PEA status | Preliminary, includes inferred resources | Report classification |
Project website: https://projects.eao.gov.bc.ca/p/5885120aaaecd9001b829d45/project-details
Project website: https://amebc.ca/red-mountain/
Technical qualifications
The report is classified as a Preliminary Economic Assessment under NI 43-101. Section 15.1 Mineral Reserve Non-Compliance explicitly states that the mineral reserve estimates do not comply with NI 43-101 definitions. The report includes inferred mineral resources, which are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. The PEA is preliminary in nature and does not represent a feasibility study. The processing design is based on proposed methods supported by metallurgical testwork and historical operating data, but the report does not present final engineering or construction-level design details.
Source: Preliminary Economic Assessment NI 43-101 Technical Report, Red Mountain Gold Project, Northwestern BC, Canada, effective July 23, 2014, report date September 3, 2014. Sections 1.5, 1.6, 1.7, 1.8, 1.9, 1.10, 1.11, 1.12, 1.13, 1.14, 1.15, 6.4, 11.4, 12.1, 13.0, 13.1, 13.2, 13.3, 15.1, 17.0, 17.1, 17.2, 17.3, 17.4, 17.5.
