Falco Resources’ Horne 5 Project – More gold found beneath the former Horne Mine

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Falco Resources

The Horne 5 Project, a Falco Resources property, is located north of the city of Rouyn-Noranda in the Abitibi-Témiscamingue region. It lies directly beneath the former Horne Mine, operated by Noranda from 1926 to 1976.

The Horne Project includes the former Horne and Quémont mines as well as the Horne 5 deposit. Falco holds a 100% interest in 74,000 hectares of land in the historic Rouyn-Noranda mining camp. This places 70% of the entire camp under its control, including the world-class Horne Mine, along with 13 former gold and base metal mines.

Promising potential

In a press release dated October 3, 2016, Falco Resources released an updated estimate of the project’s mineral resources, which increased the total gold-equivalent resources by 32%:

  • Measured resources: 736,000 gold equivalent ounces;
  • Indicated resources: 6,336,000 gold equivalent ounces;
  • Inferred resources: 1,710,000 gold equivalent ounces.

In addition to gold, the Horne 5 Project contains silver, zinc and copper. The deposit remains open at depth, adding to its development potential.

Studies

On May 9, 2016, Falco Resources released the results of its Preliminary Economic Assessment (PEA), which indicates that “the Horne 5 Project represents a robust, high margin, twelve year underground mining project with attractive economics in the current gold price environment”. The highlights of the project are presented in this information sheet.

Falco Resources plans to invest around $1.34 billion to develop the Horne 5 project and generate gross revenue of $6.8 billion.

The mine will produce 236,000 ounces of gold annually for 12 years, and employ around 525 people.

Over 12 years of operation, the mine could produce 3.1 million ounces of gold, 807 million pounds of zinc, 194 million pound of copper and 23.8 million ounces of silver.

The on-site plant would process between 10,000 and 15,000 tonnes of ore per day.

The site restoration costs are estimated at $51.6 million.

Falco Resources estimates that the mine will begin operating in 2020 and reach full capacity in 2021.

After publishing its PEA, Falco Resources began work on the feasibility study and environmental impact assessment for the project. The results are scheduled to be released in 2017.

Falco ResourcesFalco Resources

Watch a 3D animation of the Horne 5 Project.

  • Operator: Falco Resources
  • Region: Abitibi-Témiscamingue
  • Substance: gold, silver, zinc and copper
  • Status: underground mine project

Notes

The information in this information sheet comes from public, verifiable sources.

References