Nearly two years since the Northern Territory's Cosmo gold mine near Pine Creek suspended production, leaving more than 100 workers out of a job, plans to restart operations are back on track.
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Owner of the mine, Canadian-based company Kirkland Lake Gold shifted from underground production to exploration on June 30, 2017 as reserves diminished.
But in the time since have maintained up to six operational rigs extensively exploring and scoping out viability to reopen.
Kirkland Lake Gold intend to invest over $100 million on advanced exploration this year in their NT Operations, reopening their Union Reefs Mill being the first step.
Tony Makuch, chief executive officer of Kirkland Lake Gold says advanced exploration work continues to accelerate in the Northern Territory.
"With initial processing of Lantern deposit material at the Union Reefs Mill commencing in October, we continue to work towards a potential restart of operations in the Northern Territory as early as the beginning of next year."
The mill will be reopened to test the mineralisation mined from the Cosmo and Lantern deposit, following a mill refurbishment.
Plans are underway to produce around 10,000 ounces of gold in the few weeks left in the year, 100,000 ounces in 2020, and over 200,000 ounces in the future.
"We are extremely pleased to be reopening the Union Reefs Mill here in the Northern Territory with a plan for significant investment into the NT," Kirkland Lake Gold VP of Australian operations Ian Holland said.
"Our Northern Territory operations are only set to expand, and the EIS that is underway for Union Reefs North Underground Mine is an important part of the long term strategy."
Minister for Primary Industry and Resources, Paul Kirby says the reopening of the Kirkland Lake Gold Union Reefs Mill is a significant nod to investor confidence.
"It is an exciting time for gold as a commodity and seeing a private sector investment such as Kirkland Lake Gold hone in on the potential of the Northern Territory creates strong economic growth and more local jobs."
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