Alamos Gold (TSX: AGI; NYSE: AGI) has announced new drilling results from its Island Gold mine in Ontario. The core assayed again with very high grades, up to 56.13 g/t gold over 2.1 metres.
High-grade mineralization has been extended outside of mineral reserves and resources in the E1E and C-Zones, the main structures hosting the majority of currently defined reserves and resources, the company said.
Drilling highlights are as follows:
Island West (C-zone)
Island East (E1E-zone)
High grade mineralization was also found in the North Shear and Webb Lake stock areas, offering potential additional mill feed for the expanded Magino milling complex.
“This is expected to contribute to another year of growth in high-grade mineral reserves and resources, as Island Gold continues to establish itself as one of the highest-grade and fastest growing deposits in the world,” said CEO John McCluskey.
“This growth is supporting a longer mine life at Island Gold, which already exceeds 20 years, and additional synergies to be realized by processing Island Gold ore through the larger Magino mill,” he added.
The company said it is exploring longer-term opportunities such as expanding the Magino pit onto the larger land package within the Island Gold district and identifying near-mine, higher-grade targets like the North Shear.
Alamos has budgeted $19 million for exploration at Island Gold in 2024, up from $14 million in 2023.
The plan includes 41,000 metres of exploration drilling focused on defining new resources near existing production areas. An additional 32,000 metres of underground drilling, included in sustaining capital, will focus on converting the existing resource base to reserves.
To date, about 28,000 metres of underground exploration drilling and 5,900 metres of surface drilling have been completed.
