Centerra Gold Inc. (“Centerra” or the “Company”) (TSX: CG) (NYSE:
CGAU) announces its 2023 year-end estimates for mineral reserves
and mineral resources. Proven and probable gold mineral reserves
were 3.6 million ounces and proven and probable copper mineral
reserves were 961 million pounds, as of December 31,
2023. Measured and indicated gold mineral resources were 6.9
million ounces as of December 31, 2023, driven by a significant
increase at Mount Milligan. The Company is encouraged by the large
mineral endowment at Mount Milligan setting the stage for potential
future mine life growth.
Centerra Year-End Gold Mineral Reserves
and Mineral Resources(1)
|
2023 |
2022 |
Property |
Tonnes (kt) |
Grade (g/t) |
Contained Gold (koz) |
Tonnes (kt) |
Grade (g/t) |
Contained Gold (koz) |
Proven and Probable Gold Mineral Reserves |
Mount Milligan Mine |
250,025 |
0.35 |
2,822 |
223,957 |
0.37 |
2,643 |
Öksüt Mine |
25,255 |
1.01 |
819 |
27,098 |
1.08 |
941 |
Kemess Underground |
- |
- |
- |
107,381 |
0.50 |
1,868 |
Total |
275,280 |
0.41 |
3,641 |
358,436 |
0.46 |
5,452 |
Measured and Indicated Gold Mineral Resources |
Mount Milligan Mine |
259,860 |
0.27 |
2,333 |
182,734 |
0.30 |
1,740 |
Öksüt Mine |
6,752 |
0.55 |
119 |
17,377 |
0.49 |
272 |
Kemess Open Pit |
111,682 |
0.27 |
980 |
- |
- |
- |
Kemess Underground |
139,920 |
0.50 |
2,265 |
173,719 |
0.31 |
1,737 |
Kemess East |
93,454 |
0.39 |
1,182 |
177,500 |
0.40 |
2,305 |
Total |
611,668 |
0.35 |
6,880 |
551,330 |
0.34 |
6,053 |
Inferred Gold Mineral Resources |
Mount Milligan Mine |
7,795 |
0.34 |
84 |
5,685 |
0.46 |
83 |
Öksüt Mine |
348 |
0.78 |
9 |
2,329 |
0.41 |
31 |
Kemess Open Pit |
13,691 |
0.26 |
116 |
- |
- |
- |
Kemess Underground |
- |
- |
- |
47,700 |
0.34 |
529 |
Kemess East |
- |
- |
- |
29,300 |
0.30 |
283 |
Total |
21,833 |
0.30 |
209 |
85,014 |
0.34 |
926 |
1) As of December 31, 2023. Refer to Tables “Centerra Gold Inc.
2023 Year-End Mineral Reserve and Resources Summary – Gold” and
“Centerra Gold Inc. 2023 Year-End Mineral Reserve and Resources
Summary – Other Metals”, including their respective footnotes and
the “Additional Footnotes” section below.
- Mount Milligan:
Centerra entered into an additional agreement with RGLD Gold AG, a
subsidiary of Royal Gold, Inc., relating to Mount Milligan, which
immediately extends the mine life by two years to 2035 and grows
the mineral resources to 510 million tonnes, inclusive of reserves.
For additional details, please refer to the announcement entitled
“Centerra Gold Announces Mount Milligan Mine Life Extension and New
Agreements with Royal Gold”, which was issued in conjunction with
this news release on February 14, 2024.
- Kemess: The Kemess
underground block cave project is not a priority for Centerra’s
project pipeline at this time. The prior mineral reserves and
resources estimate produced for this project were completed with
costs and commodity price assumptions that are no longer
applicable. As a result, the Company has applied current capital,
operating and metal price assumptions to reclassify the historical
reserves as a blend of open pit and underground resources.
Confirmation and exploration drilling, as well as technical studies
are planned for 2024 and are expected to provide an updated mining
and processing concept which may unlock additional value. Kemess
benefits from infrastructure already on site, several permits in
place, and an impact benefit agreement with its First Nation
partners. Centerra remains optimistic that Kemess could be a future
source of gold and copper production.
Centerra Year-End Copper Mineral
Reserves and Mineral Resources(1)
|
2023 |
2022 |
Property |
Tonnes(kt) |
Grade (% copper) |
Contained Copper (Mlbs) |
Tonnes(kt) |
Grade (% copper) |
Contained Copper (Mlbs) |
Proven and Probable Copper Mineral Reserves |
Mount Milligan Mine |
250,025 |
0.17 |
961 |
223,957 |
0.18 |
902 |
Kemess Underground |
- |
- |
- |
107,381 |
0.27 |
630 |
Total |
250,025 |
0.17 |
961 |
331,338 |
0.21 |
1,532 |
Measured and Indicated Copper Mineral
Resources |
Mount Milligan Mine |
259,860 |
0.15 |
851 |
182,734 |
0.17 |
695 |
Kemess Open Pit |
111,682 |
0.14 |
337 |
- |
- |
- |
Kemess Underground |
139,920 |
0.25 |
779 |
173,719 |
0.18 |
697 |
Kemess East |
93,454 |
0.30 |
628 |
177,500 |
0.36 |
1,410 |
Berg |
- |
- |
- |
609,986 |
0.27 |
3,651 |
Total Copper |
604,916 |
0.19 |
2,595 |
1,143,939 |
0.26 |
6,453 |
Inferred Gold Mineral Resources |
Mount Milligan Mine |
7,795 |
0.14 |
24 |
5,685 |
0.07 |
8 |
Kemess Open Pit |
13,691 |
0.16 |
48 |
- |
- |
- |
Kemess Underground |
- |
- |
- |
47,700 |
0.20 |
210 |
Kemess East |
- |
- |
- |
29,300 |
0.31 |
203 |
Berg |
- |
- |
- |
28,066 |
0.22 |
138 |
Total Copper |
21,486 |
0.15 |
72 |
110,751 |
0.23 |
559 |
1) As of December 31, 2023. Refer to Tables “Centerra Gold Inc.
2023 Year-End Mineral Reserve and Resources Summary – Gold” and
“Centerra Gold Inc. 2023 Year-End Mineral Reserve and Resources
Summary – Other Metals”, including their respective footnotes and
the “Additional Footnotes” section below.
- Berg: In December
2023, Centerra entered into an agreement to sell its 100% interest
in the Berg Property to Surge Copper Corp., which was completed in
January 2024. Surge had been earning into a 70% interest in the
Berg Property, and following the sale, Centerra holds approximately
15% of Surge’s outstanding common shares. As a result, Berg is not
included in Centerra’s overall copper resources at the end of
2023.
Exploration Update
Exploration activities in the fourth quarter of
2023 included drilling, surface rock and soil sampling, geological
mapping, and geophysical surveying, targeting gold and copper
mineralization at the Company’s projects and properties in Canada,
Türkiye, and the United States.
2023 Exploration Highlights
- Significant mineral endowment at
Mount Milligan sets the stage for potential future resource
additions, including possibilities for near-surface additions and
depth extensions.
- Resource delineation for oxide and
transition material continued at the Goldfield project, with
emphasis on extending known mineralization from the Gemfield
deposit.
- Positive initial results at the
Oakley project early in 2023 warranted a follow up drilling
campaign.
- Fourth quarter of 2023 drilling
program included 7,967 metres of drilling.
- Full year 2023 drilling totalled
94.7 kilometres, including greenfield projects.
2024 Exploration Outlook
- Pursue further exploration
activities to identify potential extensions and enhancements to
existing resources at Mount Milligan.
- Commence drill test programs at all
identified target areas in Canada, United States, and Türkiye.
- Continue with advanced exploration
activities at Goldfield and Oakley.
- Exploration expenditures in 2024 are expected to be $35 to $45
million, including $17 to $22 million of brownfield exploration,
and $18 to $23 million of greenfield and generative exploration
programs.
Mount Milligan Mine (“Mount Milligan”)
- Ongoing exploration drilling
program at Mount Milligan aimed at expanding the mineral resource
base significantly.
- In 2023, 80% of exploration
drilling focused on the pit and three brownfield areas, revealing
mineralization in tested areas west of the pit margin and below the
ultimate pit boundary.
- Goldmark, Boundary and South
Boundary present possibilities for near-surface additions, while
North Slope, DWBX Extension, and Saddle West are being tested for
depth extensions.
- Encouraged by the significant
mineral endowment and potential future resource additions at Mount
Milligan, Centerra plans to invest approximately $5 to $7 million
in exploration at Mount Milligan in 2024.
Mount Milligan Brownfield Drilling and
Exploration
Figure 1: Plan view of Mount Milligan pits (2022
and 2023) showing major porphyry corridors.
Figure 2: Long section view of Mount Milligan
pits (2022 and 2023), looking north, showing gold and copper grade
contours.
Figure 3: Long section view of Mount Milligan
pits (2022 and 2023), looking northwest, showing gold and copper
grade contours.
The DWBX zone is the depth
extension of the WBX porphyry-style gold-copper mineralization
currently mined in the pit. Mineralization is associated with
potassic alteration and early quartz veins within the DWBX stock
and stock margins. Results received to-date show the depth
extension of the mineralization and potential to extend the pit to
mine DWBX and DWBX Extension. Some selected significant results
received during the year include:
Hole #23-1475 : 51.6m
@ 0.73 g/t Au, 0.047% Cu from 335mHole #23-1484 : 50.7m @ 1.60 g/t
Au, 0.177% Cu from 173mHole #23-1484 : 72.0m @ 0.65 g/t Au, 0.202%
Cu from 447mHole #23-1487 : 157.6m @ 0.23g/t Au, 0.035% Cu from
271m
The Goldmark zone is directly
west of the current Mount Milligan pit design, situated above the
high grade DWBX zone. Drilling during the year aimed to test the
western extent of the Goldmark mineralization that had been
intersected in previous drilling programs. Shallow porphyry-style
gold and copper mineralization is hosted at the margins of dykes
and the Goldmark stock. High gold-low copper (“HGLC”) style
mineralization occurs throughout the zone. The results show
potential for shallow resource addition and the extension of
mineralization west of the existing pit boundary. Significant
results include:
Hole #23-1480 : 55.5m
@ 1.55 g/t Au, 0.026% Cu from 13mHole #23-1481 : 90.2m @ 0.49 g/t
Au, 0.054% Cu from 419mHole #23-1485 :132.0m @ 0.25 g/t Au, 0.192%
Cu from 366m
The North Slope zone is
approximately 1.5 kilometres from the western margins of the
existing pit boundary. Assays returned show localized shallow zones
of low-grade gold and copper mineralization related to the North
Slope stock, with higher-grade porphyry-style gold and copper
mineralization at depth. Significant results include:
Hole #23-1491 : 58.0m
@ 0.17 g/t Au, 0.102% Cu from 443mHole #23-1493 : 50.5m @ 0.19 g/t
Au, 0.219% Cu from 489mHole #23-1503 : 43.8m @ 0.21 g/t Au, 0.303%
Cu from 439m
The Saddle zone and the
Saddle West zone are south of Goldmark, along the
western margins and within one kilometre of the current pit
boundary. The program was designed for resource expansion,
targeting extension of deep HGLC mineralization below the current
pit. Results returned show potential for deep resource addition
adjacent to and below the current pit boundary. Significant results
include:
Hole # 23-1470 :
61.0m @ 0.895 g/t Au, 0.005% Cu from 476mHole # 23-1467 :
106.7m @ 0.259 g/t Au, 0.023% Cu from 344mHole #23-1471 :
12.3m @ 1.45g/t Au ; 0.022% Cu from 498m
The Boundary zone is within 500
metres of the western margins of the Southern Star pit boundary.
Assays returned show shallow and deep porphyry-style gold and
copper mineralization associated with dykes in the Boundary zone
and the extension of the Southern Star stock at depth.
Mineralization is associated with potassic and propylitic
alteration, often overprinted by quartz-sericite-pyrite alteration,
with early quartz veins and chalcopyrite ± pyrite veins.
Significant results include:
Hole #23-1514 : 25.0m
@ 0.152 g/t Au, 0.181% Cu from 129mHole #23-1509 : 73.7m @ 0.336
g/t Au, 0.066% Cu from 215.3mHole #23-1510 : 42.4m @ 0.202 g/t Au,
0.322% Cu from 511.6mHole #23-1507 : 35.6m @ 0.219 g/t Au, 0.216%
Cu from 455m
In addition to the east-west corridor, drill
testing was carried out within the southwest-northeast corridor at
M6 and Orica, both targets were interpreted as linking to the
Southern Star pit. M6 and Orica drill testing zones are
approximately 1.5 kilometre west and southwest respectively from
the western margins of the Southern Star ultimate pit boundary.
Results received show mineralization potential in a relatively
underexplored area, especially to the southwest. The porphyry-style
gold and copper mineralization in these target areas are expected
to be part of the focus in 2024.
Goldfield Project
(“Goldfield”)
- Goldfield achieved 49 kilometres of
drilling in 2023.
- Fourth quarter exploration program
totalled 4,024 metres in 16 core drill holes and 23,160 metres in
103 reverse circulation holes.
- Three satellite prospects east of
the Gemfield deposit (Jupiter, Callisto, Kendall) were drill
tested, with Jupiter and Callisto indicating a transition from
deeper sulfide to shallow oxide mineralization in the up-dip
projection.
Gemfield deposit and its
immediate satellite target areas are geologically characterized by
gently-dipping, intermediate and felsic volcanic units
unconformably overlain by unconsolidated pebble to cobble
conglomerate and down-dropped by post-mineral normal faults.
Mineralization is typically hosted in stratabound Sandstorm
rhyolite, although lower grade mineralization can be found in
several of the felsic units, and is associated with a large,
widespread blanket of quartz - alunite alteration dominated by
pyrite in a high sulfidation environment. The Jupiter and Callisto
prospects represent deeper sulfide mineralization transitioning to
shallow oxide mineralization in the up-dip projection of the host
stratigraphy. Exploration activities focused on defining the extent
of the oxide mineralization, and additional exploration activities
are planned at both Jupiter and Callisto in 2024. Significant
results received during the year include:
Hole #GEM-23-R122 :
80.0m @ 6.94g/t Au from 65mHole #GEM23D26 : 173.5m @ 1.82 g/t Au
from 441mHole #GEM23R170 : 190.0m @ 1.20 g/t Au from 370mHole
#GEM23R170 : 170.0m @ 0.47 g/t Au from 595mHole #GEM-23-R112 :
80.0m@ 1.41 g/t Au from 315mHole #GEM23R175 : 85.0m@ 1.18 g/t Au
from 435mHole #GEM23R157 : 170.0m @ 0.47 g/t Au from 605mHole
#GEM-23-R125 : 50.0m @ 1.55 g/t Au from 250mHole #GEM-23-R102 :
40.0m @ 1.79 g/t Au from 290mHole #GEM-23-R116 : 200.0m @ 0.35 g/t
Au from 125m
Oakley Project (“Oakley”)
In 2023, Centerra earned into a 70% interest in
Oakley and subsequently acquired the remaining 30% interest from
Excellon Resources Inc., bringing the Company’s total interest in
the project to 100%. Exploration activities in the second half of
2023 continued to define a near-surface, structurally controlled,
low sulfidation epithermal gold occurrence at the Blue Hill
prospect. Additional epithermal style gold prospects were
identified in the fourth quarter in other parts of the project
area. These targets will be drill tested during 2024. Significant
results received during the year include:
Hole #BHC-23-10 :
46.5m @ 0.55 g/t Au from 27.5mHole #BHC-23-10 : 64.0m @ 0.40 g/t Au
from 78.0mHole #BHC-23-11 : 32.9m @ 0.34 g/t Au from 45.2mHole
#BHC-23-11 : 25.0m @ 0.94 g/t Au from 102.0mHole #BHC-23-17 : 39.8m
@ 0.28 g/t Au from 35.5mHole #BHC-23-20 : 45.5m @ 0.43 g/t Au from
79.0mHole #BHC-23-21 : 32.1m @ 0.32 g/t Au from 61.5mHole
#BHC-23-21 : 38.5m @ 0.49 g/t Au from 159.0mHole #BHC-23-27 : 34.1m
@ 0.34 g/t Au from 91.5mHole #BHC-23-27 : 47.0m @ 0.39 g/t Au from
129.4m
Öksüt Mine (“Öksüt”)
In the fourth quarter of 2023, five core drill
holes were completed at Öksüt, aimed to test for a potential deep
porphyry target beneath the Keltepe and Güneytepe pits. The
exploration for deep porphyry deposits was initiated based on
historical drill holes confirming potassic alteration related to
porphyry intrusive on the Öksüt license. In 2024, a detailed
alteration analysis is expected to be carried out using 2023 and
deep historical holes drilled in and around Öksüt.
A full listing of the drill results has been
filed on SEDAR+ at www.sedarplus.ca, EDGAR at www.sec.gov/edgar,
and is available on the Company’s website at
www.centerragold.com.
Centerra Gold Inc. 2023 Year-End Mineral
Reserve and Resources Summary – Gold
(1)as of December 31, 2023 (see additional
footnotes below)
Proven and Probable Gold Mineral Reserves |
|
Proven |
Probable |
Total Proven and Probable |
Property |
Tonnes |
Grade |
Contained Gold (koz) |
Tonnes |
Grade |
Contained Gold (koz) |
Tonnes |
Grade |
Contained Gold (koz) |
(kt) |
(g/t) |
(kt) |
(g/t) |
(kt) |
(g/t) |
Mount Milligan (4) |
215,640 |
0.34 |
2,387 |
34,386 |
0.39 |
435 |
250,025 |
0.35 |
2,822 |
Öksüt |
1,140 |
1.10 |
40 |
24,116 |
1.00 |
779 |
25,255 |
1.01 |
819 |
Total |
216,780 |
0.35 |
2,427 |
58,502 |
0.64 |
1,214 |
275,280 |
0.41 |
3,641 |
|
Measured and Indicated Gold Mineral Resources
(2) |
|
Measured |
Indicated |
Total Measured and Indicated |
Property |
Tonnes |
Grade |
Contained Gold (koz) |
Tonnes |
Grade |
Contained Gold (koz) |
Tonnes |
Grade |
Contained Gold (koz) |
(kt) |
(g/t) |
(kt) |
(g/t) |
(kt) |
(g/t) |
Mount Milligan (4) |
118,289 |
0.25 |
966 |
141,571 |
0.30 |
1,367 |
259,860 |
0.27 |
2,333 |
Öksüt |
907 |
0.45 |
13 |
5,844 |
0.56 |
106 |
6,752 |
0.55 |
119 |
Kemess Open Pit |
|
|
|
111,682 |
0.27 |
980 |
111,682 |
0.27 |
980 |
Kemess Underground |
- |
- |
- |
139,920 |
0.50 |
2,265 |
139,920 |
0.50 |
2,265 |
Kemess East |
- |
- |
- |
93,454 |
0.39 |
1,182 |
93,454 |
0.39 |
1,182 |
Total |
119,197 |
0.26 |
979 |
492,471 |
0.37 |
5,901 |
611,668 |
0.35 |
6,880 |
|
Inferred Gold Mineral Resources
(3) |
|
Property |
Tonnes |
Grade |
Contained Gold (koz) |
(kt) |
(g/t) |
Mount Milligan (4) |
7,795 |
0.34 |
84 |
Öksüt |
348 |
0.78 |
9 |
Kemess Open Pit |
13,691 |
0.26 |
116 |
Kemess Underground |
- |
- |
- |
Kemess East |
- |
- |
- |
Total |
21,833 |
0.30 |
209 |
1) Centerra’s equity interests as of this news release are as
follows: Mount Milligan 100%, Öksüt 100%, Kemess Open Pit, Kemess
Underground and Kemess East 100%. Mineral reserves and resources
for these properties are presented on a 100% basis. Numbers may not
add up due to rounding.2) Mineral resources are in addition to
mineral reserves. Mineral resources do not have demonstrated
economic viability. 3) Inferred mineral resources have a great
amount of uncertainty as to their existence and as to whether they
can be mined economically. It cannot be assumed that all or part of
the inferred mineral resources will ever be upgraded to a higher
category. 4) Production at Mount Milligan is subject to a streaming
agreement with RGLD Gold AG and Royal Gold, Inc. (collectively,
“Royal Gold”) which entitles Royal Gold to 35% of gold sales from
the Mount Milligan Mine. Under the stream arrangement, Royal Gold
will pay a reduced price per ounce of gold delivered. Mineral
reserves and resources for the Mount Milligan property are
presented on a 100% basis.
Centerra Gold Inc. 2023 Year-End Mineral
Reserve and Resources Summary - Other Metals
(1) as of December 31, 2023 (see
additional footnotes below)
|
Tonnes(kt) |
CopperGrade(%) |
ContainedCopper(Mlbs) |
MolybdenumGrade(%) |
ContainedMolybdenum(Mlbs) |
SilverGrade(g/t) |
ContainedSilver(koz) |
|
Proven Mineral Reserves |
Mount Milligan (4) |
215,640 |
0.17 |
828 |
- |
- |
- |
- |
Probable Mineral Reserves |
Mount Milligan (4) |
34,386 |
0.18 |
134 |
- |
- |
- |
- |
Total Proven and Probable Mineral Reserves |
Mount Milligan (4) |
250,025 |
0.17 |
961 |
- |
- |
- |
- |
Total Copper |
250,025 |
0.17 |
961 |
- |
- |
- |
- |
|
|
|
|
|
|
|
|
Measured Mineral Resources
(2) |
Mount Milligan (4) |
118,289 |
0.17 |
433 |
- |
- |
- |
- |
Kemess Open Pit |
- |
- |
- |
- |
- |
- |
- |
Kemess Underground |
- |
- |
- |
- |
- |
- |
- |
Kemess East |
- |
- |
- |
- |
- |
- |
- |
Thompson Creek |
57,645 |
- |
- |
0.07 |
92 |
- |
- |
Endako |
47,100 |
- |
- |
0.05 |
48 |
- |
- |
|
Indicated Mineral Resources
(2) |
Mount Milligan (4) |
141,571 |
0.13 |
418 |
- |
- |
- |
- |
Kemess Open Pit |
111,682 |
0.14 |
337 |
- |
- |
1.19 |
4,262 |
Kemess Underground |
139,920 |
0.25 |
779 |
- |
- |
1.90 |
8,544 |
Kemess East |
93,454 |
0.30 |
628 |
- |
- |
1.66 |
5,000 |
Thompson Creek |
59,498 |
- |
- |
0.07 |
85 |
- |
- |
Endako |
122,175 |
- |
- |
0.04 |
118 |
- |
- |
|
Total Measured and Indicated Mineral Resources
(2) |
Mount Milligan (4) |
259,860 |
0.15 |
851 |
- |
- |
- |
- |
Kemess Open Pit |
111,682 |
0.14 |
337 |
- |
- |
1.19 |
4,262 |
Kemess Underground |
139,920 |
0.25 |
779 |
- |
- |
1.90 |
8,544 |
Kemess East |
93,454 |
0.30 |
628 |
- |
- |
1.66 |
5,000 |
Total Copper and Silver |
604,916 |
0.19 |
2,595 |
- |
- |
1.61 |
17,806 |
Thompson Creek |
117,143 |
- |
- |
0.07 |
177 |
- |
- |
Endako |
169,275 |
- |
- |
0.04 |
166 |
- |
- |
Total Molybdenum |
286,418 |
- |
- |
0.05 |
343 |
- |
- |
|
Inferred Mineral Resources
(3) |
Mount Milligan (4) |
7,795 |
0.14 |
24 |
- |
- |
- |
- |
Kemess Open Pit |
13,691 |
0.16 |
48 |
- |
- |
1.40 |
615 |
Kemess Underground |
- |
- |
- |
- |
- |
- |
- |
Kemess East |
- |
- |
- |
- |
- |
- |
- |
Total Copper and Silver |
21,486 |
0.15 |
72 |
0 |
- |
- |
- |
Thompson Creek |
806 |
- |
- |
0.04 |
1 |
- |
- |
Endako |
47,325 |
- |
- |
0.04 |
44 |
- |
- |
Total Molybdenum |
48,131 |
- |
- |
0.04 |
45 |
- |
- |
1) Centerra’s equity interests as of this news release are as
follows: Mount Milligan 100%, Kemess Open Pit, Kemess Underground,
and Kemess East 100%, Thompson Creek 100%, and Endako 75%. Mineral
reserves and resources for these properties are presented on a 100%
basis. Numbers may not add up due to
rounding. 2)
Mineral resources are in addition to mineral reserves. Mineral
resources do not have demonstrated economic
viability. 3) Inferred
mineral resources have a great amount of uncertainty as to their
existence and as to whether they can be mined economically. It
cannot be assumed that all or part of the inferred mineral
resources will ever be upgraded to a higher
category. 4) Production
at Mount Milligan is subject to a streaming agreement which
entitles Royal Gold to 18.75% of copper sales from the Mount
Milligan Mine. Under the stream arrangement, Royal Gold will pay a
reduced percentage of the spot price per metric tonne of copper
delivered. Mineral reserves and resources for the Mount Milligan
property are presented on a 100%
basis.
Additional Footnotes
General
- A conversion factor of 31.1035
grams per troy ounce of gold is used in the mineral reserve and
mineral resource estimates.
Mount Milligan Mine
- The mineral reserves have been
estimated based on a gold price of $1,500 per ounce, copper price
of $3.50 per pound and an exchange rate of 1USD:1.30CAD.
- The open pit mineral reserves are
estimated based on a Net Smelter Return (“NSR”) cut-off of $8.65
per tonne (C$11.25 per tonne) that takes into consideration
metallurgical recoveries, concentrate grades, transportation costs,
and smelter treatment charges to determine economic viability.
- The mineral resources have been
estimated based on a gold price of $1,800 per ounce, copper price
of $3.75 per pound, and an exchange rate of 1USD:1.30CAD.
- The open pit mineral resources are
constrained by a pit shell and are reported based on a NSR cut-off
of $8.46 per tonne (C$11.00 per tonne) that takes into
consideration metallurgical recoveries, concentrate grades,
transportation costs, and smelter treatment charges to determine
economic viability.
- Further information concerning the
Mount Milligan deposit, operation, as well as environmental and
other risks is described in Centerra’s most recently filed Annual
Information Form and in the Mount Milligan Mine Technical Report
(“TR”), each of which has been filed on SEDAR+ at www.sedarplus.ca
and EDGAR at www.sec.gov/edgar. Sample preparation, analytical
techniques, laboratories used, and quality assurance-quality
control protocols used during the exploration drilling programs are
consistent with industry standards and were carried out by
independent, certified assay labs.
- The resource tables above do not
include the 2023 exploration drill results.
Öksüt Mine
- The mineral reserves have been
estimated based on a gold price of $1,425 per ounce and an exchange
rate of 1USD:18.5TL.
- The open pit mineral reserves are
estimated based on 0.16 grams of gold per tonne cut-off grade.
- Open pit optimization used a
tonne-weighted LOM metallurgical recovery of 77% (Keltepe Pit 76%,
Güneytepe Pit 86%).
- The mineral resources have been
estimated based on a gold price of $1,800 per ounce.
- Open pit mineral resources are
constrained by a pit shell and are estimated based on 0.16 grams of
gold per tonne cut-off grade.
- Further information concerning the
Öksüt deposit, operation, as well as environmental and other risks
is described in Centerra’s most recently filed Annual Information
Form which is available on SEDAR+ at www.sedarplus.ca and
EDGAR at www.sec.gov/edgar and the Technical Report on
the Öksüt Project, dated September 3, 2015, which is available on
SEDAR+ at www.sedarplus.ca. Sample preparation, analytical
techniques, laboratories used, and quality assurance-quality
control protocols used during the exploration drilling programs are
consistent with industry standards and were carried out by
independent, certified assay labs.
Kemess Main
- The mineral resources have been
estimated based on a gold price of $1,800 per ounce, copper price
of $3.75 per pound and an exchange rate of 1USD:1.30CAD.
- The mineral resources are estimated
based on a NSR cut-off of C$12.92 open pit and a NSR shut-off value
of C$22.92 per tonne for underground block cave mining option that
takes into consideration metallurgical recoveries, concentrate
grades, transportation costs, and smelter treatment charges.
- Further information concerning the
Kemess Underground and Open Pit deposits are described in the
technical report dated July 14, 2017, and filed on SEDAR+ at
www.sedarplus.ca by AuRico Metals Inc. The technical report
describes the exploration history, geology, and style of gold
mineralization at the Kemess Main deposit. Sample preparation,
analytical techniques, laboratories used, and quality
assurance-quality control protocols used during the exploration
drilling programs are consistent with industry standards and were
carried out by independent, certified assay labs.
Kemess East
- The mineral resources have been
estimated based on a gold price of $1,800 per ounce, copper price
of $3.75 per pound, and an exchange rate of 1USD:1.30CAD.
- The mineral resources are estimated
based on a NSR shut-off of C$22.92 per tonne for underground block
cave mining option that takes into consideration metallurgical
recoveries, concentrate grades, transportation costs, and smelter
treatment charges.
- Further information concerning the
Kemess East project is described in the technical report dated July
14, 2017, and filed on SEDAR+ at www.sedarplus.ca by AuRico Metals
Inc. The technical report describes the exploration history,
geology, and style of gold mineralization at the Kemess East
project. Sample preparation, analytical techniques, laboratories
used, and quality assurance-quality control protocols used during
the exploration drilling programs are consistent with industry
standards and were carried out by independent, certified assay
labs.
Thompson Creek Mine
- The mineral resources have been
estimated based on a molybdenum price of $14.00 per pound.
- The open pit mineral resources are
constrained by a pit shell and are estimated based on a 0.030%
molybdenum cut-off grade.
- Further information concerning the
Thompson Creek deposit is described in the technical report dated
February 2011 and filed on SEDAR+ at www.sedarplus.ca by
Thompson Creek Metals Company Inc. The technical report describes
the exploration history, geology, and style of molybdenum
mineralization at the Thompson Creek deposit. Sample preparation,
analytical techniques, laboratories used, and quality
assurance-quality control protocols used during the exploration
drilling programs are consistent with industry standards and were
carried out by independent, certified assay labs.
Endako Mine
- The mineral resources have been
estimated based on a molybdenum price of CAD14.00 per pound and an
exchange rate of 1USD:1.25CAD.
- The open pit mineral resources are
constrained by a pit shell and are estimated based on a 0.025%
molybdenum cut-off grade.
- Further information concerning the
Endako deposit is described in the technical report dated September
12, 2011, and filed on SEDAR+ at www.sedarplus.ca by Thompson
Creek Metals Company Inc. The technical report describes the
exploration history, geology, and style of molybdenum
mineralization at the Endako deposit. Sample preparation,
analytical techniques, laboratories used, and quality
assurance-quality control protocols used during the exploration
drilling programs are consistent with industry standards and were
carried out by independent, certified assay labs.
Qualified Person – Mineral Reserves and
Resources
Jean-Francois St-Onge, Professional Engineer,
member of the Professional Engineers of Ontario (PEO) and
Centerra’s Senior Director, Technical Services, has reviewed and
approved the scientific and technical information related to
mineral reserves at Mount Milligan and mineral resources at Kemess
Open Pit, Kemess Underground and Kemess East contained in this news
release. Mr. St-Onge is a Qualified Person within the meaning of
Canadian Securities Administrator’s NI 43-101 Standards of
Disclosure for Mineral Projects.
Andrey Shabunin, Professional Engineer, member
of Professional Engineers of Ontario (PEO) and General Manager of
Öksüt Mine, has reviewed and approved the scientific and technical
information related to mineral reserves at Öksüt contained in this
news release. Mr. Shabunin is a Qualified Person within the meaning
of Canadian Securities Administrator’s NI 43-101 Standards of
Disclosure for Mineral Projects.
AC (Chris) Hunter, Professional Geoscientist,
member of the Engineers and Geoscientists of British Columbia
(EGBC) and Centerra’s Senior Geologist, has reviewed and approved
the scientific and technical information related to mineral
resources estimates at Mount Milligan contained in this news
release. Mr. Hunter is a Qualified Person within the meaning of
Canadian Securities Administrator’s NI 43-101 Standards of
Disclosure for Mineral Projects.
Lars Weiershäuser, PhD, P.Geo., and Centerra’s
Director, Geology, has reviewed and approved the scientific and
technical information related to mineral resources estimates
contained related to Öksüt in this news release. Dr. Weiershäuser
is a Qualified Person within the meaning of Canadian Securities
Administrator’s NI 43-101 Standards of Disclosure for Mineral
Projects.
All other scientific and technical information
presented in this document were prepared in accordance with the
standards of the Canadian Institute of Mining, Metallurgy and
Petroleum and NI 43-101 and were reviewed, verified, and compiled
by Centerra’s geological and mining staff under the supervision of
W. Paul Chawrun, Professional Engineer, member of the Professional
Engineers of Ontario (PEO) and Centerra’s Executive Vice President
and Chief Operating Officer and Anna Malevich, Professional
Engineer, member of the Professional Engineers of Ontario (PEO) and
Centerra’s Senior Director, Projects each of whom is a qualified
person for the purpose of NI 43-101.
All mineral reserve and resources have been
estimated in accordance with the standards of the Canadian
Institute of Mining, Metallurgy and Petroleum and NI 43-101.
Mineral reserve and mineral resource estimates
are forward-looking information and are based on key assumptions
and are subject to material risk factors. If any event arising from
these risks occurs, the Company’s business, prospects, financial
condition, results of operations or cash flows, and the market
price of Centerra’s shares could be adversely affected. Additional
risks and uncertainties not currently known to the Company, or that
are currently deemed immaterial, may also materially and adversely
affect the Company’s business operations, prospects, financial
condition, results of operations or cash flows, and the market
price of Centerra’s shares. See the section entitled “Risk That Can
Affect Centerra’s Business” in the Company’s annual Management’s
Discussion and Analysis (MD&A) for the year-ended December 31,
2022, available on SEDAR+ at www.sedarplus.ca and EDGAR at
www.sec.gov/edgar and see also the discussion below under the
heading “Caution Regarding Forward-looking Information”.
Qualified Person & QA/QC –
Exploration
Exploration information and related scientific
and technical information in this document regarding the Mount
Milligan Mine were prepared, reviewed, verified, and compiled in
accordance with the standards of NI 43-101 by Cheyenne Sica, Member
of the Association of Professional Geoscientists Ontario and Member
of Engineers and Geoscientists British Columbia, and Exploration
Manager at Centerra’s Mount Milligan Mine, who is the qualified
person for the purpose of NI 43-101. Sample preparation, analytical
techniques, laboratories used, and quality assurance and quality
control protocols used during the exploration drilling programs are
done consistent with industry standards while independent certified
assay labs are used. The Mount Milligan Mine’s deposit is described
in the Company’s most recently filed annual information form and a
technical report dated November 7, 2022 (with an effective date of
December 31, 2021) prepared in accordance with NI 43-101, both of
which are available on SEDAR+ at www.sedarplus.ca and EDGAR at
www.sec.gov/edgar.
Exploration information and related scientific
and technical information in this document regarding the Öksüt
Mine, the Goldfield District Project, Oakley Project, and all other
exploration projects were prepared, reviewed, verified, and
compiled in accordance with the standards of NI 43-101 by Richard
Adofo, Member of the Professional Association of Geoscientists
Ontario and Vice President, Exploration & Resource at Centerra,
who is the qualified person for the purpose of NI 43-101. Sample
preparation, analytical techniques, laboratories used, and quality
assurance and quality control protocols used during the exploration
drilling programs are done consistent with industry standards while
independent certified assay labs are used. The Öksüt deposit is
described in the Company’s most recently filed annual information
form, which is available on SEDAR+ at www.sedarplus.ca and EDGAR at
www.sec.gov/edgar, and in a technical report dated September 3,
2015 (with an effective date of June 30, 2015) prepared in
accordance with NI 43-101, which is available on SEDAR+ at
www.sedarplus.ca. The Goldfield District Project is described in in
the Company’s most recently filed annual information form, which is
available on SEDAR+ at www.sedarplus.ca and EDGAR at
www.sec.gov/edgar.
All other scientific and technical information
presented in this document were prepared in accordance with the
standards of the Canadian Institute of Mining, Metallurgy and
Petroleum and NI 43-101 and were reviewed, verified, and compiled
by Centerra’s geological and mining staff under the supervision of
W. Paul Chawrun, Professional Engineer, member of the Professional
Engineers of Ontario (PEO), who is a qualified person for the
purpose of NI 43-101.
About Centerra Gold
Centerra Gold Inc. is a Canadian-based gold
mining company focused on operating, developing, exploring and
acquiring gold and copper properties in North America, Türkiye, and
other markets worldwide. Centerra operates two mines: the Mount
Milligan Mine in British Columbia, Canada, and the Öksüt Mine in
Türkiye. The Company also owns the Goldfield District Project in
Nevada, United States, the Kemess Project in British Columbia,
Canada, and owns and operates the Molybdenum Business Unit in the
United States and Canada. Centerra’s shares trade on the Toronto
Stock Exchange (“TSX”) under the symbol CG and on the New York
Stock Exchange (“NYSE”) under the symbol CGAU. The Company is based
in Toronto, Ontario, Canada.
For more
information:
Lisa Wilkinson Vice President, Investor Relations &
Corporate Communications (416)
204-3780 lisa.wilkinson@centerragold.com
Lana Pisarenko Senior Manager, Investor
Relations lana.pisarenko@centerragold.com
Additional information on Centerra is available on the
Company’s website at www.centerragold.com, on SEDAR+ at
www.sedarplus.ca and EDGAR at www.sec.gov/edgar.
Caution Regarding Forward-Looking
Information
This news release contains or incorporates by
reference “forward-looking statements” and “forward-looking
information” as defined under applicable Canadian and U.S.
securities legislation. All statements, other than statements of
historical fact, which address events, results, outcomes or
developments that the Company expects to occur are, or may be
deemed to be, forward-looking statements. Such forward-looking
information involves risks, uncertainties and other factors that
could cause actual results, performance, prospects and
opportunities to differ materially from those expressed or implied
by such forward-looking information. Forward-looking statements are
generally, but not always, identified by the use of forward-looking
terminology such as “assume”, “continue”, “estimate”, “expect”,
“ongoing”, “plan”, “potential”, “target” or “update”, or variations
of such words and phrases and similar expressions or statements
that certain actions, events or results “may”, “could”, “would” or
“will” be taken, occur or be achieved or the negative connotation
of such terms. Such statements include but may not be limited to:
mineral reserve and mineral resource estimates; life of mine
estimates and operating and capital costs; future exploration
potential; timing and scope of future exploration (brownfields or
greenfields); and other statements that express management’s
expectations or estimates of future plans and performance,
operational, geological or financial results, estimates or amounts
not yet determinable and assumptions of management.
The Company cautions that forward-looking
statements are necessarily based upon a number of factors and
assumptions that, while considered reasonable by the Company at the
time of making such statements, are inherently subject to
significant business, economic, technical, legal, political and
competitive uncertainties and contingencies. Known and unknown
factors could cause actual results to differ materially from those
projected in the forward-looking statements and undue reliance
should not be placed on such statements and information.
Market price fluctuations in gold, copper, and
other metals, as well as increased capital or production costs or
reduced recovery rates may render ore reserves containing lower
grades of mineralization uneconomic and may ultimately result in a
restatement of mineral reserves. The extent to which mineral
resources may ultimately be reclassified as proven or probable
mineral reserves is dependent upon the demonstration of their
profitable recovery. Economic and technological factors, which may
change over time, always influence the evaluation of mineral
reserves or mineral resources. Centerra has not adjusted mineral
resource figures in consideration of these risks and, therefore,
Centerra can give no assurances that any mineral resource estimate
will ultimately be reclassified as proven and probable mineral
reserves.
Mineral resources are not mineral reserves, and
do not have demonstrated economic viability, but do have reasonable
prospects for economic extraction. Measured and indicated mineral
resources are sufficiently well defined to allow geological and
grade continuity to be reasonably assumed and permit the
application of technical and economic parameters in assessing the
economic viability of the resource. Inferred mineral resources are
estimated on limited information not sufficient to verify
geological and grade continuity or to allow technical and economic
parameters to be applied. Inferred mineral resources are too
speculative geologically to have economic considerations applied to
them to enable them to be categorized as mineral reserves. There is
no certainty that mineral resources of any category can be upgraded
to mineral reserves through continued exploration.
Centerra’s mineral reserve and mineral resource
figures are estimates, and Centerra can provide no assurances that
the indicated levels of gold or copper will be produced, or that
Centerra will receive the metal prices assumed in determining its
mineral reserves. Such estimates are expressions of judgment based
on knowledge, mining experience, analysis of drilling results, and
industry practices. Valid estimates made at a given time may
significantly change when new information becomes available. While
Centerra believes that these mineral reserve and mineral resource
estimates are well established, and the best estimates of
Centerra’s management, by their nature mineral reserve and mineral
resource estimates are imprecise and depend, to a certain extent,
upon analysis of drilling results and statistical inferences, which
may ultimately prove unreliable. If Centerra’s mineral reserve or
mineral reserve estimates for its properties are inaccurate or are
reduced in the future, this could have an adverse impact on
Centerra’s future cash flows, earnings, results, or operations and
financial condition.
Centerra estimates the future mine life of its
operations. Centerra can give no assurance that mine life estimates
will be achieved. Failure to achieve these estimates could have an
adverse impact on Centerra’s future cash flows, earnings, results
of operations, and financial condition.
Additional risk factors and details with respect
to risk factors that may affect the Company’s ability to achieve
the expectations set forth in the forward-looking statements
contained in this news release are set out in the Company’s latest
40-F/Annual Information Form and Management’s Discussion and
Analysis, each under the heading “Risk Factors”, which are
available on SEDAR+ (www.sedarplus.ca) or on EDGAR
(www.sec.gov/edgar). The foregoing should be reviewed in
conjunction with the information, risk factors and assumptions
found in this news release.
The Company disclaims any intention or
obligation to update or revise any forward-looking statements,
whether written or oral, or whether as a result of new information,
future events or otherwise, except as required by applicable
law.
Photos accompanying this announcement are
available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/8b93d132-3314-484f-a1c9-524607d8fd46
https://www.globenewswire.com/NewsRoom/AttachmentNg/d4c5b748-fb3b-470e-b4d8-5cb8e8321492
https://www.globenewswire.com/NewsRoom/AttachmentNg/a7a5d594-9768-497a-9494-84ba337ace91
A PDF accompanying this announcement is available at
http://ml.globenewswire.com/Resource/Download/a73c967f-de0b-4b8c-84d1-37aca33bc48d
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