Mining News: Northern Neighbors: Deep Kerr copper-gold deposit tops 1 billion MT

Seabridge Gold Inc. March 8 reported an updated resource estimate for the Deep Kerr deposit at its KSM Project in northwestern British Columbia that includes an inferred resource of 1.01 billion metric tons grading 0.53 percent (11.8 billion pounds) copper and 0.35 grams per metric ton (11.3 million ounces) gold, an increase of 3.2 million oz. of gold and 2.1 billion lbs. of copper over last year’s estimate. Seabridge Chairman and CEO Rudi Fronk said, “In the three years since its discovery, Deep Kerr has taken its place among the world’s largest gold-copper deposits. The shape of the deposit continues to support cost-effective block-cave underground mining methods and the updated resource estimate has been carefully constrained by this mining method.” Seabridge is currently updating a 2012 preliminary feasibility study for KSM, which is expected to be completed later this year. This update will restate mineral resources for all of the zones at KSM using both open pit and block-cave mining methods to constrain the resources. The updated PFS also will include changes to key input parameters since 2012 including metal prices, currency exchange rates, labor rates and energy costs as well as incorporate technology improvements and engineering studies realized since 2012. Additionally, the study will incorporate a preliminary economic assessment of the potential economic improvements resulting from the inclusion of the Deep Kerr and Lower Iron Cap zones into KSM mine sequencing. Seabridge expects the updated PFS to provide direction to exploration and delineation drilling, engineering and optimization studies and identify areas where continuing research could create new value for the project.

–Shane Lasley