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www.MiningNewsNorth.com The weekly mining newspaper for Alaska and Canada's North Week of January 31, 2016
l P R O D U C T I O N
Freeman: Mining delivers morethan sector costs Alaska’s coffers
NEWS NUGGETSCompiled by Shane Lasley
NovaCopper geos nab ‘Excellence in Exploration’ award at Roundup
The Association for Mineral Exploration British ColumbiaJan. 27 awarded NovaCopper Inc. President and CEO Rick VanNieuwenhuyse and former NovaCopper Vice President ofExploration Joseph Piekenbrock the 2015 Colin Spence Awardfor Excellence in Global Mineral Exploration. Nieuwenhuyseand Piekenbrock are being recognized for their success indefining and significantly expanding the Donlin Gold deposit inwestern Alaska, the Arctic copper-zinc-silver massive sulfidedeposit in northwestern Alaska and forexploration success at the Bornite copperdeposit about 16 miles south of Arctic.“Colin Spence was a person with a superbunderstanding of the science of oredeposits; massive sulfides to porphyries,precious and base metal deposits, and adetermination to unearth mineral depositsusing a combination of technical excel-lence and systematic diligence in areas ofthe world both accessible and remote. Inmy view, there can be no better nomina-tion to exemplify this talent and successthan that embodied in the exploration suc-cess of Rick and Joe,” Alexco ResourcePresident and CEO Clynt Naumanpenned in a letter of support forNieuwenhuyse and Piekenbrock’s nomi-nation. In a separate letter of support,Pretium Resources President and CEORobert Quartermain wrote, “Rick andJoe’s success in exploration has resultedfrom recognizing opportunities, engagingwith the local communities early in the process and completingagreements that benefit all parties involved. By focusing ononly a few quality projects, their holistic approach of develop-ing coherent geological, geochemical and structural models tobuild truly predictive models of ore controls followed up withtargeted drilling to prove, disprove or further refine the model,has contributed to their success.” As part of the team atNovagold Resources Inc., Nieuwenhuyse and Piekenbrockreceived the Thayer Lindsley Award for the discovery of theDonlin Creek deposit from the Prospectors & DevelopersAssociation of Canada in 2009. AME BC has established sevenawards which are named in honor of eminent persons recog-nized for their distinguished service, leadership and contribu-tion to the mineral exploration industry. The Colin Spenceaward for excellence in global mineral exploration recognizesindividuals who have made a significant contribution toenhance mineral resources through the original application ofprospecting techniques or other geoscience technology. Theseven awards were handed out at the AME BC AwardsCelebration of Excellence Gala held on Jan. 27 during theMineral Exploration Roundup 2016 conference.
Redstar names new president, CEORedstar Gold Corp. Jan. 25 reported the appointment of
Peter Ball as president, CEO and director of the explorationcompany with gold properties in Alaska, Nevada and Ontario.Ball, who has more than 25 years of mining experience andleadership, is known to have an intense drive, passion and ener-gy required to deliver on the market's expectations. He is join-ing Redstar from Columbus Gold, where he served as seniorvice-president of business and corporate development.Columbus Gold controls the multimillion-ounce Paul Isnardgold project in French Guiana, and multiple projects in Nevada.
Pogo celebrates 10 yearsManager recounts a decade of travails and triumphs at Alaska gold mine
By SHANE LASLEYMining News
On Jan. 12, 2006, the first ore from high-gradeunderground gold reserves was fed into the
mill at the Pogo Mine located near the communityof Delta Junction in Alaska’s Interior region. Tenyears, four floods, two fires and some 3.1 millionounces of gold later, the oper-ation is seen as an example ofmining done right.
Pogo General ManagerChris Kennedy shared adecade of travails and tri-umphs, and the lessonslearned, during a presentationat the Jan. 21 ResourceDevelopment Council break-fast in Anchorage.
“The main thing that we have learned is there area lot of challenges out there but they are nothing youcan’t overcome if you spend the time, do it the rightway, and do it safely,” the mine manager told busi-ness and community leaders at the gathering.
Kennedy attributes much of Pogo’s success tothe mine’s management team and encouraged thebusiness leaders assembled to find good people tofill leadership roles.
“That’s the key for all general managers to lookfor; good individuals that can help guide the peopleunder them,” he advised.
“Get good people, get them up front as soon asyou can,” Kennedy added.
Strong leadership and conscientious employeeshas helped elevate Pogo from a fledgling mine witha tumultuous start to an efficient operation thatboasts more than two years without a lost-timeinjury and that is looking ahead to a golden futurethat could span decades.
Tumultuous startAfter more than two decades of exploration and
permitting, the startup of operation in January 2006and the pouring of the first gold bar was welcomenews for then-owners of Pogo – Teck Cominco Ltd.,operator with 40 percent interest; Sumitomo MetalMining Co. Ltd., 51 percent interest; and SumitomoCorp., 9 percent.
The celebration, however, was short-lived for theowners of the up-start mine.
The troubles began when the Goodpaster Riverflooded, inundating the lower camp at Pogo thatsummer. While this presented a logistics problemfor owners and a blow to employee morale, it wasnot the biggest setback for the mine that year.
In October, a high-voltage cable was severedunderground, causing a fire in the main electricalroom that connects the mine to the electrical grid.
“Huge fire, it totally destroyed ER-1 (equipmentroom), we were without power for quite a while,”said Kennedy, who was the mine’s maintenancemanager at the time.
While temporary power allowed for resumptionof underground operations, it took several months torepair the damage and get the mill back into produc-tion.
The now general manager takes a pragmaticview of such setbacks.
“You never really lose the gold, you just lose theopportunity to make it at the time,” he said.
Considering that gold prices shot up fromUS$597 per ounce at the time of the fire to a high ofUS$1,895/oz. five years later, better opportunities tomake gold was in Pogo’s future.
After recovering from the electrical room fire,things began to smooth out for Pogo’s operations.
Two more river floods occurred in 2008 and2013. However, the mine was better prepared todeal with such intermittent natural occurrences.
Mother Nature’s unruly temperament, however,did shut down production again, this time with fire.
In 2009, the Gilles Creek fire swept through theGoodpaster District where Pogo is located. While
see NEWS NUGGETS page 11
see POGO MINE page 14
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Despite a rough start, the Pogo Mine has produced roughly 3.1 million ounces of gold and has developed a workculture that has resulted in more than two years without a lost-time incident.
l C O L U M N
ISER report: Miningsector pays its wayAlaska loses longtime respected geologist Chuck Hawley; despiteflat price, gold finishes 2015 among year’s best investments
By CURT FREEMANFor Mining News
Although news from the mining indus-try is generally limited this time of
year, several items of import over the pastmonth bear discussion. Alaska suffered atragedy with the recent passing of mineralindustry giant Chuck Hawley, one ofAlaska’s most talented and respected geol-ogists.
Although Chuck loved the mineralexploration game, he was far more than ageologist to many of us and to the state.His plus-50-year love affair with Alaskaspanned some of the state’s most tumul-tuous years and his expertise, insight andopinions were widely and often sought byindustry, government and academia. Tome, he was a mentor that, during a lowpoint in the mining industry in the early1980s, counseled me not to take a job Ihad been offered in the oil patch. His well-reasoned advice helped me avoid workingfor the “dark side”, a decision I have neverregretted.
On the more uplifting side, a recentpublication by University of AlaskaAnchorage’s Institute of Social andEconomic Research brought to light somesurprisingly bright news regarding thecosts and benefits of administering themining industry here in Alaska. Authoredby Bob Leoffler and Steve Colt and titled,“Fiscal Effects of Commercial Fishing,Mining and Tourism,” the researchreviewed the State of Alaska’s costs ofadministering three economic engines aswell as the revenue generated for state cof-fers by these industries. The mining indus-try is the only one of the three industriesstudied that generates more revenue to thestate than it costs to administer. Wait.What? A profit center inside the State ofAlaska government? Yes, the miningindustry costs the state about $15 millionper year to administer, while it contributesmore than $96 million per year in revenueto the state. Compare that with almost $97million and $55 million in costs to admin-ister the fishing and tourism industries,respectively, versus revenue generation of$70 million and $54 million, respectively,for those same industries.
One last thing to get us cranked up for2016: A recent article in the FairbanksDaily News-Miner compared returns fromvarious financial instruments over thecourse of 2015 and the results surprisedme. If you invested $1,000 at the end of2014, the only two investments that gaveyou a positive return for calendar year2015 were gold, which gave you $1,045back, and investment grade bonds whichgave you $1,005 back. Everything elsereturned less than the $1,000 you invested,including utility stocks, health care stocks,copper, S&P 500 stocks, Asian stocks, oil,tech stocks, etc. So despite all the gassingand posturing by the financial talkingheads and after more than 7,000 yearssince it was first used as a store of valueby humankind, gold is still your bestinvestment!
Western AlaskaTECK ALASKA, operator of the Red
Dog mine, filed a complaint against theNorthwest Arctic Borough over a new sev-erance tax that the latter recently tried toimpose. The company estimates the newtax could more than triple the mine’s annu-al payments as of 2016. The company hadalready been operating under an negotiatedagreement to pay taxes, which averagedpayments to the Borough of about $11.5million per year over the past five years, arate more than double the Borough tax ratefor any other Alaskan mine. If enacted, thenew tax would increase the payment to anestimated $30-40 million per year over thenext five years. The complaint filed byTeck requests an injunction againstenforcement of the severance tax and arequirement for the Borough to meet withTeck to negotiate a new payment agree-ment.
Interior AlaskaFREEGOLD VENTURES LTD. is
pleased to announce positive results of itspreliminary economic assessment preparedin accordance with National Instrument43101 guidelines for its 100 percent-owned Golden Summit project located 32kilometers (20 miles) northeast ofFairbanks.
The PEA evaluates a two-phase, 24-year open pit mine generating two gold orestreams, one from oxide ore, the otherfrom sulfide ore, each operating at 10,000metric tons per day. Using a cutoff gradeof 0.3 grams per metric ton gold, the PEAwas based on in-pit indicated oxideresources of 345,000 ounces grading 0.66g/t gold, in-pit inferred oxide resources of183,000 oz. grading 0.59 g/t gold, in-pitindicated sulfide resources of 1,018,000oz. grading 0.70 g/t gold and in-pit inferredsulfide resources of 1,401,000 oz. grading0.70 g/t gold. Processing operations for theoxide and sulfide mineralized materials areheap leach and bioxidation, respectively.Based on a gold price of $1,300/oz., thePEA concluded that the operation wouldhave a post-tax net present value, calculat-ed at 5 percent, of $188 million and aninternal rate of return on investment of19.6 percent. Over its 24-year mine life, itwould have average production of 96,000oz. per year with peak annual gold produc-tion of 158,000 oz., generating a total of2,358,000 oz. of bullion over its operatinglife. The project has a total cash operating
8NORTH OF 60 MINING PETROLEUM NEWS • WEEK OF JANUARY 31, 2016
Work ing together to s t rengthen Alaska’s economy and bui ld a br ighter future for the nex t generat ion.
Cal istaCorporation (907) 275-2800
STG, Inc. - GCI TERRA Northwest ProjectWestern, Alaska
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TheauthorThe author
Curt Freeman,CPG #6901, is awell-known geol-ogist who lives inFairbanks. He pre-pared this column CURT FREEMANJan. 25. Freeman can be reached bymail at P.O. Box 80268, Fairbanks, AK99708. His work phone number atAvalon Development is (907) 457-5159and his fax is (907) 455-8069. His emailis [email protected] and his website iswww.avalonalaska.com.
see FREEMAN page 9
NORTHERN NEIGHBORSCompiled by Shane Lasley
Yukon to invest C$900,000 to attract more explorersThe Government of Yukon Jan. 25 said it will provide nearly C$1 million to
support a three-year mining attraction initiative spearheaded by the Yukon MiningAlliance, a group of mining and mineral exploration companies focused on pro-moting Yukon’s competitive advantages as a top mineral investment jurisdiction.“In 2013, the Government of Yukon and the Yukon Mining Alliance launchedstrategically planned investment attraction initiatives in a manner that is led byindustry and supported by Yukon government,” Economic Development MinisterStacey Hassard said. “This cooperative effort has provided for strong collabora-tion and valuable global investment attraction promotion projects and is a signifi-cant component of the Yukon Mining Investment Attraction Strategy.” Buildingon this partnership, the Yukon government has committed up to C$300,000 annu-ally over the next three years towards this initiative. The Yukon Mining Alliancewill be contributing an additional C$33,500 per year annually over the same peri-od, and in consultation with the Government of Yukon, will design, deliver andmanage the promotion and advertising of a series of events from 2016 to 2019.The Yukon government said this funding allows the public-private partnership tocontinue to shape the investment landscape in Yukon for the benefit of allYukoners and position the territory for the rebound of mineral commodities.
Yukon, First Nations join forces to streamline miningThe Government of Yukon and self-governing Yukon First Nations Jan. 26
reported the development of a government-to-government protocol, establish-ment of a regular working group, and draft of a work plan to guide discussionson mining-related matters and shared priorities. “This protocol can lead us to anew and more productive way of engaging on mining-related initiatives,” saidYukon Premier Darrell Pasloski. “Our governments are working together toimprove the clarity and management of mining activity in Yukon. We are alsoensuring that Yukon’s mining regime is consistent with the final and self-gov-
cost estimated at $842/oz., including royal-ties, refining and transport. Initial and sus-taining capital costs, including contin-gency, were estimated at $88 million and$348 million, respectively, with a paybackof 3.3 years post-tax. Gold recovery wasestimated at 80 percent for oxide oreprocessed by heap leaching in years 1through 14, and 90 percent for sulfide oretreated by bioxidation followed by carbonin leach cyanide recovery in years ninethrough 24. The truck and shovel operationhas been scheduled to provide up to 3.5million metric tons per year of each oretype. Primary mine production is achievedusing 64-metric-ton payload rope shovelsalong with 227-metric-ton payload haultrucks. Gold mineralization on the projectoccurs in three main forms, including 1)intrusive-hosted sulfide-quartz stockworkveinlets (such as the Dolphin golddeposit), 2) auriferous sulfide-quartz veins(exploited by historic underground mines),and 3) shear-hosted gold-bearing veinlets.All three types are considered to be part ofa large-scale intrusive-related gold system.Freegold made the initial discovery ofwidespread gold mineralization in theDolphin stock during the initial drillingcampaign on the prospect in 1995, howev-er resource definition drilling did not com-mence until 2011. A total of 87 holes,totaling 24,156 meters, have been drilledwithin the resource area since 2011.Thecompany indicated that it will beginadvancing the project to preliminary feasi-bility-level, looking at several value-enhancing opportunities, including oxideresource expansion, leased mine equip-ment, improved metallurgical performancethrough additional testing, liquid naturalgas, local labor surveys, electrical powergeneration equipment, and local powercontracts. Additional drilling, metallurgicaltesting, and environmental/permittingactivities will be required to complete thepreliminary feasibility study.
On Jan. 12, 2016, SUMITOMOMETAL MINING’S Pogo gold mine cele-brated its 10th anniversary since ore wasfirst processed at the mill. On Feb. 12, itwill celebrate the 10th anniversary of itsfirst gold pour. During that period, themine had poured well over 3 million oz. ofgold and taken its place as one of Alaska’slargest mines and one of Alaska’s best cor-porate citizens. Congratulations to every-one that has helped Pogo reach this goal!
Alaska newcomer GOLD RESERVEINC. announced the signing of a sales andpurchase agreement on CORVUS GOLD’SLMS gold project in the GoodpasterDistrict. The property was sold for$350,000 and is subject to a 3 percent netsmelter return production royalty on pre-cious metals and a 1 percent net smelterreturn production royalty on base metals,both of which were retained by a sub-sidiary of Corvus. Discovered in 2004, theCamp zone at the project contains aninferred resource, at a cut-off grade of 0.5
g/t gold, of 8.32 million metric tons ofmaterial estimated to contain 267,000ounces of gold at an average grade of 1.00g/t gold. The main resource is developedin stratiform siliceous breccias in schistwhich contains abundant pyrite and minorgalena, arsenopyrite and graphite. Thesemineralized low-angle zones are cut by aseries of later, extremely high-grade, possi-bly mesothermal, stockwork vein systemsemplaced along a general east-west trend.The discovery of the gold-bearing outcropwhich returned 6.2 g/t gold led to furthersampling and drilling in 2006 which delin-eated a shallow-dipping planar zone ofmineralization that has been followeddown-dip for more than 300 meters. Thisfeature is situated at the southeast end of asix-kilometer- (3.72 miles) long, north-west-trending zone of aligned surface geo-chemical samples containing anomalousgold and arsenic and lesser silver and cop-per. Welcome to Alaska Gold Reserve Inc.!
Southeast AlaskaHECLA MINING announced prelimi-
nary fourth quarter and annual productionresults from its Greens Creek mine onAdmiralty Island. During the fourth quar-ter, the mine produced 2,568,025 oz. of sil-ver and 17,198 oz. of gold, constituting 4.4percent and 12.5 percent increases, respec-tively, over fourth-quarter 2014 productionlevels. Annual production was 8,452,153million oz. of silver and 60,566 oz. ofgold, representing 8 percent and 3.1 per-cent year-on-year increases over 2014 lev-els. The mill operated at an average rateof 2,231 tons per day during 2015, almostidentical average throughput when com-pared with 2014.
COEUR MINING presented fourthquarter and annual production on itsKensington gold mine north of Juneau.The mine produced 126,266 oz. of gold in2015 compared to 117,823 oz. of gold for2014. The mined produced 33,714 oz. ofgold in the fourth quarter of 2015, upslightly from the 33,533 oz. of gold in thefourth quarter of 2014. The mineprocessed 161,927 short tons of ore in thefourth quarter at an average grade of 0.22oz. per ton. Average recovery was 96 per-cent. Record operating results were due toa 16 percent increase in the average gradeas well as a higher recovery rate. The mineis expected to produce 115,000-125,000oz. of gold in 2016. Development of theJualin decline has advanced roughly 1,500feet and remains on-schedule.Underground drilling of the high-gradeJualin deposit is expected to begin duringthe first quarter of 2016.
UCORE RARE METALS INC.announced that two high net-worth US-based investors have exercised their rightto convert their investments in royalties onthe sale of products and services from theBokan-Dotson rare metal project to com-mon shares of the company. The investorspaid a total of $5.3 million for the royal-ties, and the conversion will result in atotal of 30,470,760 shares being issued. l
9NORTH OF 60 MINING
PETROLEUM NEWS • WEEK OF JANUARY 31, 2016
Shane Lasley PUBLISHER & NEWS EDITOR
Rose Ragsdale CONTRIBUTING EDITOR
Mary Mack CEO & GENERAL MANAGER
Susan Crane ADVERTISING DIRECTOR
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Curt Freeman COLUMNIST
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North of 60 Mining News is a weekly supplement of the weekly newspaper, Petroleum News.
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see NORTHERN NEIGHBORS page 10
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Geologists examine outcrop at the Kaminak Gold’s Coffee gold project, a 2010 YukonTerritory gold discovery that is on-track to gain permits to develop a 181,000-ounceper year gold mine by 2018.
ernment agreements and respectsAboriginal and treaty rights and inter-ests.” The Yukon and First Nation gov-ernments are working to modernize vari-ous aspects of Yukon’s mining regime,including matters related to mine licens-ing and mining activity on settlementland and within First Nation TraditionalTerritories. “We haven’t had this kind offocused engagement on management ofmining for a long time, so it’s a goodopportunity for First Nations and Yukonto work together and find solutions toissues that affect all Yukoners,” Councilof Yukon First Nations Grand Chief RuthMassie said. The working group hasbeen discussing potential improvementsto Yukon’s mine licensing and explo-ration regime. The Yukon governmentexpects to consult industry on some ofthe potential changes before the 2016exploration season. “First Nations havelong supported responsible mining, andthis means having a strong regulatorysystem that makes sure projects are car-ried out in a responsible and respectfulway,” Tr’ondëk Hwëch’in Chief RobertaJoseph said.
BCGold to acquireGorilla’s gold project
BCGold Corp. Jan. 25 said it hasentered into a definitive agreement topurchase full ownership, subject to a 3percent net smelter return royalty, ofGorilla Minerals’ Wels gold property inwestern Yukon Territory. A pre-conditionfor this acquisition will be a corporaterestructuring and the completion of aC$600,000 financing. Insiders and majorshareholders from BCGold and Gorillaare expected to participate in this financ-ing. To acquire the Wels property,BCGold will pay C$60,000 in cash andissue 8 million of its shares to Gorilla,following a 5-1 consolidation of BCGoldshares. BCGold currently has 41.8 mil-lion shares outstanding, which will bereduced to 8.4 million shares subsequentto the share rollback. At the closing ofthe Wels property transaction, BCGold isrequired to complete a private placementof at least C$600,000 at a minimumprice of C5 cents per unit, with each unitcomprised of one share and one warrant.BCGold also has agreed to add Gorilla
President and CEO Scott Sheldon andRanj Pillai, an independent director ofGorilla, to the BCGold board of direc-tors. This transaction requires two-thirdsapproval from Gorilla shareholders.Gorilla is a tightly held, unlisted report-ing issuer with 80 percent of its 10.6million-share float held by three direc-tors and one major shareholder. BCGoldis in receipt of written shareholder vot-ing approval from these four sharehold-ers. The Wels gold property is located 50kilometers (31 miles) east of the commu-nity of Beaver Creek, located on theAlaska-Yukon border. The property hostsa newly discovered reduced intrusion-related gold mineralizing system, similarin age and style to Kinross Gold’s FortKnox deposit in Alaska (6 millionounces gold production to date) andVictoria Gold’s Eagle Gold project (2.3million ounces gold reserve) in centralYukon. Gorilla picked up the Wels prop-erty in 2011 and since has been carryingout early-stage exploration, includingmapping, soil and rock sampling, geo-physics and trenching. This work hasidentified a number of promising zones,including North Ridge, Southwest Spurand Saddle. Rock sampling results from
four trenches excavated over a portion ofthe Saddle zone in 2014 averaged 2.63grams per metric ton gold over 19meters; 5.3 g/t gold over 18 meters; 0.56g/t gold over 25.5 meters; and 1.27 g/tgold over 25.5 meters. In 2015, Gorillacompleted five holes at the Saddle zone,the first holes drilled at Wels. The bestintercept of this drilling cut 25.5 metersaveraging 2.41 g/t gold in the first holeof the program. “This is a totally new,very exciting discovery, on ground thatwas first staked in 2011,” said BCGoldPresident and CEO Brian Fowler.“BCGold is very excited to acquire theWels Property, and we look forward tofurther defining and enlarging the knownlimits of this intrusion-related gold sys-tem through deliberate explorationefforts.” BCGold plans to carry out aprogram of geological mapping,prospecting, and further trenching todefine the limits of the Saddle zone atWels in 2016, as well as develop drilltargets on the North Ridge andSouthwest Spur zones. The company isseeking companies wishing to earn intothe property through a significant explo-ration commitment.
Golden Predator postsencouraging recoveries
Golden Predator Mining Corp. Jan. 25reported results from preliminary testingin advance of a bulk sampling programexpected to begin later in the first quar-ter at its 3 Aces gold project in southernYukon Territory. The company said aconventional gravity facility has recov-ered 90.8 percent of the gold from a 108-kilogram (238 pounds) composite rocksample from the property. A second sam-ple consisting of 61.5 kilograms (135.6pounds) of material composited fromrejects from rotary air blast drillingreturned a calculated gold recovery of79.9 percent. The calculated head gradesof these samples are 82.03 grams permetric ton gold and 40.49 g/t gold,respectively. “We are encouraged by thevery high recoveries indicated in thesepreliminary processing tests,” saidGolden Predator CEO Janet Lee-Sheriff.“These tests have enabled us to sourcean economical processing plant to beused for the upcoming bulk samplingprogram. We look forward to refiningour understanding of the mineralization,its distribution and its potential for
recovery from the high-grade veins pres-ent at 3 Aces.”
North Arrow sellsRedemption royalties
North Arrow Minerals Inc. Jan. 25reported an agreement has been reachedto sell royalty interests in its Redemptiondiamond project to Umgeni HoldingsInternational Ltd. for C$800,000.Redemption is located in the Lac deGras region of the Northwest Territories,roughly 32 kilometers (20 miles) south-west of the Ekati diamond mine. “Thisagreement with Umgeni represents anon-dilutive hard-dollar financing thatstrengthens North Arrow’s treasury andallows North Arrow to immediatelymove ahead with exploration drillingprograms at both the Redemption andPikoo diamond projects. We expectdrilling at the Pikoo project to com-mence in mid-February and planning isunderway to conduct a drilling programat Redemption starting in mid-March,”said North Arrow President and CEOKen Armstrong. Under the terms of theagreement, Umgeni has agreed to payNorth Arrow C$800,000 to acquire: a 1.5percent gross overriding royalty on dia-monds and a 1.5 percent net smelterreturns royalty on base and preciousmetals for three Redemption mineralclaims owned by North Arrow; and a1.25 percent GOR and 1.25 percent NSRon 12 mineral claims and five miningleases that make up the ADD claims,currently under option from Arctic StarExploration Corp. The ADD royaltieswill be payable from North Arrow's ulti-mate interest in the claims. Under theoption agreement with Arctic Star, NorthArrow can earn a 55 percent interest inthe properties by spending C$5 millionon exploration by July 1, 2017. If NorthArrow decides not to proceed beyond2016 with further exploration under theoption agreement with Arctic Star,Umgeni has the right to acquire NorthArrow’s interest in the option. ArcticStar has consented to the granting ofthese 1.25 percent royalties on the ADDclaims and the possible future transfer toUmgeni of North Arrow’s interest in theoption agreement. Under the agreementwith Umgeni, North Arrow must investat least C$800,000 on exploration atRedemption before August 2016.Umgeni is a private company of whichChristopher Jennings, a director of NorthArrow, is a beneficiary of the sole share-holder.
Crystal readies NUdiamond projects
Crystal Exploration Inc. Jan. 25 saidit has submitted samples from theMuskox kimberlite pipe in Nunavut tothe Saskatchewan Research Council dia-mond laboratory for processing. Thesamples – totaling roughly 12 metrictons of whole core kimberlite represent-ing five previously un-sampled drillholes from Muskox – will be tested fordiamond content. “The pending resultsand the data acquired during 2015 willallow Crystal to re-evaluate the potentialat the Muskox project and focus effortson new and existing kimberlite targetsthroughout the project areas,” saidCrystal President and CEO Jim Greig.Following the results from this sampling,expected during the second quarter ofthis year, Crystal will select additionalmaterial from 13 remaining unsampleddrill holes and begin a thorough evalua-tion of the Muskox kimberlite pipe.Future programs may include a mineral
10NORTH OF 60 MINING PETROLEUM NEWS • WEEK OF JANUARY 31, 2016
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NORTHERN NEIGHBORS
see NORTHERN NEIGHBORS page 11
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Gorilla Minerals encountered 5.3 grams permetric ton gold over 18 meters of a trenchdug across the Saddle zone of the Welsproperty located near the Alaska border inwestern Yukon Territory.
resource estimate based on historical andnew results and drill testing of prioritykimberlite targets. This will include adetailed plan and budget with respect tofurther sampling and drilling at Muskox.A technical report for Muskox is expect-ed to be completed later in the first quar-ter. In addition to Muskox, Crystal saidnumerous unsourced diamond indicatormineral trains have been identified at itsContwoyto and Hood River projects,located in the vicinity of Muskox. Thecompany said it is isolating additionaltargets for drill testing derived from his-torical work across the entire 1,150square kilometers (444 square miles) ofprospective land that makes up the threeprojects. A comprehensive explorationprogram that includes: ground geophysi-cal surveys; till sampling; prospectingand drilling will be designed, budgetedand completed for 2016 and beyond.
AME BC seeks fixfor dwindling access
The Association for MineralExploration British Columbia Jan. 20called on the provincial government totake action in the wake of a new reporthighlighting the shrinking land baseavailable for the exploration of hiddenand valuable minerals in BritishColumbia as well as the increasinglycomplex government policies that explo-ration companies are forced to navigate.Without ongoing exploration there canbe no new discoveries, and without newdiscoveries, the future of the industrywill be limited. As a result, thousands ofjobs and hundreds of millions of dollarsin annual economic impact could be putat risk. AME BC says the report,“Framing the Future of MineralExploration in British Columbia,” pre-pared by environmental consultant firm,Hemmera, paints a troubling pictureabout a lack of clarity in land access anduse rules as well as the overlappingnature of government regulations. Itfinds land access for mineral explorationhas decreased in B.C., reaching a criticalthreshold threatening the survival of theindustry and by extension, the jobs, fam-ilies and communities that rely on it.“Despite a perception that only a smallpercentage of land is designated as offlimits to mineral exploration, the realityis that more than half the province isseverely constrained to the industry dueto layers of restrictive and sometimesredundant regulations,” said AME BCPresident and CEO Gavin Dirom. “Webelieve that it is possible to have both astrong and active mineral explorationand development industry and a sustain-able, healthy environment.” If notaddressed, the mining organization wor-ries that this situation could be devastat-ing for the more than 30,000 BritishColumbians employed by mineral explo-ration and development and the manycommunities around the province thatrely on it. This includes MetroVancouver, which has become a globalcenter for the industry and headquartersto roughly 800 exploration and miningcompanies as well as many others pro-viding a range of technical, legal,accounting and supply services. “Mineralexplorers and developers have a proudhistory of finding critical metals, likecopper, and building British Columbiaover the past 150 years,” said Dirom.“The innovative and always evolvingexploration industry forms an importantR&D (research and development) func-tion, designing and using technologies
and developing expertise that results innot only finding new mineral deposits,but also expanding the world’s geologi-cal knowledge base for everyone’s bene-fit.” Since 2010, roughly C$2.2 billionhas been spent on mineral exploration inBritish Columbia. AME BC says a cool-ing of this industry would leave a largehole in the provincial economy. Themining association is calling on theprovincial government to address the sit-uation, including streamlining and clari-fying land use regulations and plans aswell as developing a modern decision-making process. These changes need torecognize the hidden nature and value ofmineral resources compared with surfacelevel natural resource activities andensure these different values are takenfully into account in land use decisions.“In order to thrive in B.C., the mineralexploration and development industryrequires access to land to discover hid-den and valuable mineral resources andcertainty to develop those resourcesshould a deposit be found,” said GregDawson, vice president of exploration,Colorado Resources. “These two princi-ples of access and certainty should beintegrated into all government land plan-ning processes.”
Evrim seeks GoldenTriangle partner
Evrim Resources Corp. Jan. 25 saidits exploration and targeting work hasidentified a number of untested drill tar-gets at its Ball Creek copper-gold projectin northwestern British Columbia. The520-square-kilometer (200 square miles)Ball Creek property hosts significanteconomic high-grade epithermal gold-silver, precious metal-enriched vol-canogenic, and porphyry copper-goldsystems. Exploration of the property’sMain zone has been explored with geo-logical mapping, geochemical surveys,airborne and ground geophysical surveysand roughly 11,000 meters of drilling.Drilling at Main zone by previous opera-tors cut 231 meters grading 0.21 percentcopper and 0.54 grams per metric tongold, including 45.72 meters grading0.31 percent copper and 0.69 g/t gold.Evrim said its own exploration has betterdefined the controls on mineralization.“The controls on mineralization sharemany key characteristics with other sig-nificant porphyry copper-gold deposits in
the region and what we have learned inthe Main Zone can direct exploration ofother mineralized zones on the property,”said Stewart Harris, vice president, tech-nical services. These targets includestrike extensions of the Main zone; acluster of mineralized centers that liewithin a 5,000-meter by 2,000-meterarea that encompasses the Main zone;and a number of early staged targets
across the property. Evrim said it is seek-ing a partner to collaborate on advancingthe copper-gold targets identified at theprospective property with BritishColumbia’s Golden Triangle. “The newtargets at Ball Creek are drill-ready andrepresent an excellent opportunity for thecompany to add to the mineral endow-ment of this productive region,” saidHarris. l
11NORTH OF 60 MINING
PETROLEUM NEWS • WEEK OF JANUARY 31, 2016
www.foss.com
Always Safe. Always Ready.
MORE THAN A CENTURY IN ALASKA AND COUNTING
continued from page 10
NORTHERN NEIGHBORS
Ball has held various senior management roles with international precious metalsmining companies in corporate finance, securities trading, mine engineering, busi-ness development, corporate communications, public relations and marketing func-tions throughout North and South America, Asia, and Europe. “We know and lookforward to Peter bringing the same energy, professionalism and diligence that hecontributed to Columbus Gold, which helped make it one of the best-performinggold companies in the Canadian equity markets in 2014 and into 2015,” saidRedstar Executive Chairman Jacques Vaillancourt. “The Redstar portfolio of proj-ects, including our district-scale Unga gold project, are very encouraging and requirethe type of leadership that Peter is capable of offering. We believe that Unga, withits dual trends of epithermal low to intermediate sulphidation mineralization andgold showings … is currently amongst the most exciting and prospective gold proj-ects in North America.” Ball succeeds Ken Booth, who has served as interim presi-dent and CEO of Redstar since February 2015. Vaillancourt said Booth’s “contribu-tion was very valuable and appreciated at a critical time for the company.” Booth isto remain on Redstar’s board of directors.
Teck earns fourth top ranking for mining sustainabilityTeck Resources Ltd. has won recognition as one of the Global 100 Most
Sustainable Corporations for the fourth consecutive year by media and investmentresearch company Corporate Knights. Teck is the top-ranked company in the met-als and mining category and the second-ranked Canadian company on this year’sGlobal 100 list. “Our focus on sustainability is an important part of our overallefforts to improve efficiency and reduce costs to ensure we emerge stronger fromcurrent challenging market conditions,” said Teck President and CEO DonLindsay. “We are proud of the hard work of our employees whose commitment tosustainability is directly responsible for Teck being included in the Global 100 forthe fourth consecutive year.” Teck’s environmental and social performance isguided by a company-wide sustainability strategy that includes short and long-term goals designed to enhance the company’s sustainability performance. Aftercompleting its 2015 short-term sustainability goals, Teck recently updated its strat-egy, including establishing new goals for 2020 and ensuring the strategy focuseson the greatest risks and opportunities related to Teck’s sustainability performance.This strategy centers on the health, safety and wellbeing of its people and includesinitiatives to improve biodiversity, water, air and the company’s carbon footprint.All of these focus areas are encompassed in Teck’s vision of building strong rela-tionships and creating lasting mutual benefits based on respect for the values ofthe communities where the company works. Teck has also been named to theDow Jones Sustainability World Index for the last six years, which ranks the com-pany’s sustainability practices in the top 10 percent of the world’s 2,500 largestpublic companies. l
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NEWS NUGGETS
Mining Companies
Kinross Fort Knox/Fairbanks Gold Mining Inc.Fairbanks, AK 99707Contact: Anna Atchison, Manager, Community and Government RelationsPhone: (907) 490-2218 Fax: (907) 490-2290E-mail: [email protected]: www.kinross.comLocated 25 miles northeast of Fairbanks, Fort Knox isAlaska’s largest producing gold mine; during 2011, FortKnox achieved 5 million ounces of gold produced, a mod-ern record in Alaska mining.
Usibelli Coal MineFairbanks, AK 99701Contact: Bill Brophy, VP Customer RelationsPhone: (907) 452-2625 • Fax: (907) 451-6543Email: [email protected]: www.usibelli.comOther OfficePO Box 1000Healy, AK 99743Phone: (907) 683-2226Usibelli Coal Mine is headquartered in Healy, Alaska andhas 700 million tons of coal reserves. UCM produces anaverage of 2 million tons of sub-bituminous coal each year.
Service, Supply & Equipment
Alaska Analytical Laboratory1956 Richardson HighwayNorth Pole, AK 99705Phone: (907) 488-1266ax: (907) 488-077E-mail: [email protected] analytical soil testing for GRO, DRO, RRO,and UTEX. Field screening and phase 1 and 2 site assess-ments also available.
Alaska Rubber & Rigging Supply5811 Old Seward Hwy.Anchorage, AK 99518Contact: Mike Mortensen, General ManagerPhone: (907) 562-2200Fax: (907) 561-7600E-mail: [email protected]: www.alaskarubber.com.Alaska’s largest supplier of hydraulic and industrial hosesold in bulk or assembled to spec. We also stock a large
selection or wire rope, crane rope, lifting and transporta-tion chain, sold in bulk or assembled to spec. We fabricatesynthetic lifting slings, and supply shackles & rigging hard-ware. We sell and perform field installs of conveyor belt-ing. We are Arctic Grade product specialists. We sell andservice a wide variety of hydraulic, lubrication, fueling andpressure washing equipment. We sell high pressure stain-less instrumentation fittings and tube, sheet rubber, v-belts, pumps, Enerpac equipment, Kamlocks, plumbing fit-tings, and much more. We perform hydro testing up tothirty thousand psi, & pull testing up to 350 thousandpounds. All testing comes standard with certification &RFID certification tracking capabilities.
Alaska Steel Co.6180 Electron DriveAnchorage, AK 99518Contact: Joe Pavlas, outside sales managerPhone: (907) 561-1188Toll free: (800) 770-0969 (AK only)Fax: (907) 561-2935E-mail: [email protected] Full-line steel and aluminum distributor. Complete process-ing capabilities, statewide service. Specializing in low tem-perature steel and wear plate.
Arctic Wire Rope & Supply6407 Arctic Spur Rd. Anchorage, AK 99518Contact: Mark LamoureuxPhone: (907) 562-0707Fax: (907) 562-2426Email: [email protected]: www.arcticwirerope.comArctic Wire Rope & Supply is Alaska largest and most com-plete rigging supply source. Our fabrication facility is locat-ed in Anchorage with distribution Fairbanks. We specializein custom fabrication of slings in wire rope, synthetic web-bing/yarn , chain and rope. Radio-Frequency Identification(RFID) is available for all of our fabricated products. Inaddition, we offer on-site inspection and splicing services.We carry a large inventory of tire chains for trucks andheavy equipment.
Austin Powder CompanyP.O. Box 8236Ketchikan, AK 99901Contact: Tony Barajas, Alaska managerPhone: (907) 225-8236Fax: (907) 225-8237E-mail: [email protected]
Web site: www.austinpowder.comIn business since 1833, Austin Powder provides statewideprepackaged and onsite manufactured explosives anddrilling supplies with a commitment to safety andunmatched customer service.
Calista Corporation5015 Business Park Blvd.Suite 3000Anchorage, AK 99503Phone: (907) 275-2800Fax: (907) 275-2919Website: www.calistacorp.comCalista is the parent company of more than 30 sub-sidiaries. In terms of land area and Shareholder base,Calista is the second largest of the Regional AlaskaNative corporations established under ANCSA in 1971.Like us on Facebook (http://www.facebook.com/calista-corporation) and follow us on Twitter(http://twitter.com/calistacorp).
Construction Machinery Industrial, LLC 5400 Homer Dr.Anchorage, AK 99518Phone: (907) 563-3822Fax: (907) 563-1381Website: www.cmiak.comFairbanks officePhone: 907-455-9600 Juneau officePhone: 907-780-4030 Ketchikan officePhone: 907-247-2228 Sales and service for heavy equipment for construction,logging, aggregate, mining, oilfield and agricultural indus-tries throughout Alaska. CMI represents more than 40 ven-dors, including Volvo, Hitachi, Atlas Copco, and Ingersoll-Rand.
GCI Industrial Telecom Anchorage:11260 Old Seward Highway Ste. 105Anchorage, AK 99515Phone: (907) 868-0400Fax: (907) 868-9528Toll free: (877) 411-1484Web site: www.gci.com/industrialtelecomRick Hansen, [email protected] Johnson, Business Development [email protected]:
The Red Dog mine in northwest Alaska.
D I R E C T O R YCompanies involved in Alaska andnorthwestern Canada’s mining industry
13NORTH OF 60 MINING
PETROLEUM NEWS • WEEK OF JANUARY 31, 2016
Aurora Hotel #205Deadhorse, Alaska 99734Phone: (907) 771-1090Mike Stanford, Senior Manager North [email protected], Texas:8588 Katy Freeway, Suite 226Houston, Texas 77024Phone: (713) 589-4456Hillary McIntosh, Account [email protected] Industrial Telecom provides innovative solutions to themost complex communication issues facing industrial clien-tele. We deliver competitive services, reputable expertiseand safely operate under the most severe working condi-tions for the oil, gas and natural resource industries. GCI-your best choice for full life cycle, expert, proven, industrialcommunications.
Greer Tank and Welding Inc. 3140 Lakeview DrivePO Box 71193Fairbanks, AK 99707Contact: Mark Greer, General ManagerPhone: (907) 452-1711Fax: (907) 456-5808Email: [email protected] offices: Anchorage, AK; Lakewood, WAWebsite: www.greertank.comGreer Tank & Welding are the premier tank and weldingspecialists of Alaska and Washington. In business for over57 years, they have a long history of providing an array ofproducts and services for all contracting and custom fabri-cation needs – all from their highly trained and experi-enced staff.
HDR Alaska Inc. 2525 C St., Ste 305Anchorage, AK 99503Contact: Jaci Mellott, Marketing CoordinatorPhone: (907) 644-2091Fax: (907) 644-2022Email: [email protected]: www.hdrinc.comHDR Alaska provides engineering, environmental, plan-ning, and consultation services for mining and mineralexploration clients. Services include: biological studies; cul-tural resources; project permitting; NEPA; stakeholder out-reach; agency consultation; and environmental, civil, trans-portation, energy, and heavy structural engineering.
Judy Patrick Photography511 W. 41st Ave, Suite 101Anchorage, AK 99503Contact: Judy PatrickPhone: (907) 258-4704Fax: (907) 258-4706E-mail: [email protected]: www.judypatrickphotography.comCreative images for the resource development industry.
Last Frontier Air Ventures1415 N Local 302 Rd., Ste CPalmer, AK 99645Contact: Dave King, ownerPhone: (907) 745-5701Fax: (907) 745-5711Email: [email protected] Base (907) 272-8300Website: www.LFAV.comHelicopter support statewide for mineral exploration, sur-vey research and development, slung cargo, video/filmprojects, telecom support, tours, crew transport, heli skiing.Short and long term contracts.
LyndenAlaska Marine LinesAlaska West ExpressBering Marine CorporationLynden Air CargoLynden InternationalLynden LogisticsLynden TransportAnchorage, AK 99502Contact: Jeanine St. JohnPhone: (907) 245-1544Fax: (907) 245-1744Toll Free: 1-888-596-3361E-mail: [email protected] is a family of transportation companies with thecombined capabilities of truckload and less-than-truckloadtransportation, scheduled and charter barges, rail barges,intermodal bulk chemical hauls, scheduled and charteredair freighters, domestic and international air forwarding,international ocean forwarding, customs brokerage, sani-tary bulk commodities hauling, and multi-modal logistics.
Pacific Rim Geological ConsultingFairbanks, AK 99708Contact: Thomas Bundtzen, presidentPhone: (907) 458-8951Fax: (907) 458-8511Email: [email protected] mapping, metallic minerals exploration andindustrial minerals analysis or assessment.
STEELFAB2132 Railroad Ave. Anchorage, AK 99501
Contact: Ron Doshier – Business DevelopmentManagerPhone: (907) 264-2813Fax: (907) 276-3448E-mail: [email protected] is the largest Alaskan-owned Steel Service
Center, Fabricator and Coating Facility in the state. Itprovides Stock Steel Products, Special Design ItemsFabricated, Coating (paint & metalizing) andRecoating.
TTT Environmental LLC 4201 “B” St.Anchorage, AK 99503Contact: Tom Tompkins, general managerPhone: 907-770-9041Fax: 907-770-9046Email: [email protected]: www.tttenviro.comAlaska’s preferred source for instrument rentals, sales, serv-ice and supplies. We supply equipment for air monitoring,water sampling, field screening, PPE and more.
Taiga Ventures2700 S. CushmanFairbanks, AK 99701Mike Tolbert - presidentPhone: 907-452-6631Fax: 907-451-8632Other offices:Airport Business Park2000 W. International Airport Rd, #D-2Anchorage, AK 99502Phone: 907-245-3123Email: [email protected] site: www.taigaventures.comRemote site logistics firm specializing in turnkey portableshelter camps – all seasons.
Usibelli Coal Mine100 Cushman St., Ste. 210Fairbanks, AK 99701Contact: Bill Brophy, VP Customer RelationsPhone: (907) 452-2625Fax: (907) 451-6543E-mail: [email protected]: www.usibelli.comUsibelli Coal Mine is headquartered in Healy, Alaska andhas 700 million tons of coal reserves. UCM produces 1 to 2million tons of sub-bituminous coal each year.
Advertiser IndexAlaska Dreams
Alaska Steel Co.
Arctic Wire Rope
Austin Powder Co.
Calista Corp..................................................................8
Constantine Metal Resources
Construction Machinery
Fort Knox Gold Mine
GCI Industrial Telecom
Greer Tank Inc............................................................10
IFR Workwear Inc.
Judy Patrick Photography........................................14
Last Frontier Air Ventures
Lynden
Nature Conservancy, The
Pacific Rim Geological Consulting
Salt+Light Creative
STEELFAB
Sourdough Express Inc.
Taiga Ventures/PacWest Drilling Supply
Usibelli Coal Mine
14NORTH OF 60 MINING PETROLEUM NEWS • WEEK OF JANUARY 31, 2016
WHATEVER
WHENEVER
WHEREVER
judypatrickphotography.comCreative photography for the oil & gas industry.
907. 258.4704
the wildfire did not threaten the mine itself, managementmade the decision to de-energize the 50-mile line that sup-plies the mine with its electricity.
“We were without power for nine days,” Kennedyrecalled.
He said the decision to shut down the power at theexpense of production was to ensure the safety of crewsfighting the fire.
Transitioning to normalcySince recovering from the 2006 electrical room fire,
Pogo had not entirely overcome all of its struggles, but theyoung mine was beginning a transition to normalcy.
In each of the four ensuing years, the Interior Alaskaoperation graduated to higher levels of competency thatwas reflected in the “buzz word(s)” for the year – ‘sur-vival’ for 2007, ‘credibility building’ for 2008, ‘continu-ous improvement’ for 2009 and ‘being proactive’ for2010, according to former general manager Larry Davey.
During this transitional period, Teck sold its 40 percentoperating interest in Pogo to its partners, resulting in thecurrent Sumitomo Metal Mining (85 percent) andSumitomo Corp. (15 percent) ownership of the high-gradegold mine.
“2009, was a huge change for us because we wereoperated prior to that by Teck Cominco,” Kennedyexplained.
Along with the ownership change, came a large shift inmanagement as many of the longtime Teck employeeswere phased out to pursue other opportunities with theCanada-based miner.
The vacuum at the top eventually led to Kennedy, whohad been at Pogo since 2005 and witnessed the ups anddowns of putting and keeping the mine in production,being promoted to general manager.
“I became the general manager in 2011,” he told theRDC breakfast attendees. “I am proud to be the managerof Pogo and of the culture that we have developed.”
The culture fostered at Pogo resulted in two significantmilestones in 2015 – in July, the 320 mine employees sur-passed two years without a lost-time incident and two
months later Pogo poured its three-millionth ounce ofgold.
“The journey to three million ounces has taken 10years of planning and permitting and more than nine yearsof operation. Producing 3 million ounces is a huge accom-plishment, and I am proud of the team at Pogo,” Kennedyhas said. “Even more important is the strong safety culturewe’ve developed. All 320 employees on site are lookingout for their own safety and that of their fellow miner.”
Expanding to the futureNow a smooth operation producing 1 million ounces of
gold every three or so years, Pogo is focused on the next10 years and beyond.
Ensuring a long and golden future for the mine falls onthe shoulders of the exploration team at Pogo.
“Our goal is to replace what we pull out of our reserveevery year,” Kennedy said.
The Pogo exploration team took a large leap towardsthis goal with the 2010 discovery of the East Deep zone, adeposit that is geologically and geochemically similar tothe ore-body on which Pogo was founded.
Development of East Deep began in 2012 and miningof ore from this major Pogo extension began in 2013. Itwas not until the completion of a 14 feet-wide ventilationshaft in 2015, however, that infrastructure was establishedto the point that the company considered developmentcomplete.
In 2015, SMM Pogo invested roughly US$15 millionin discovering and delineating gold deposits at Pogo, mak-ing it the largest exploration program in the state duringthe year. It followed a US$17 million program in 2014.
The 2015 program included nine drills focused on thediscovery and expansion of targets surrounding the mill,
including the northern end of the East Deep deposit, NorthZone and Pogo South, three zones of high-grade gold min-eralization adjacent to the current underground workingsat the mine.
The work included some 219,500 feet of explorationdrilling – 174,000 feet from surface and 45,500 feetunderground – and about 103,000 feet of definitiondrilling.
“We continue to expand the mine. Our explorationdepartment is doing a great job – we are finding moreresource every day,” Kennedy said.
To continue this expansion, SMM Pogo has budgetedanother US$10 million for exploration at and around themine in 2016.
“So, we are going to be there for a while,” the Pogomanager said.
An awesome placeWhile Pogo has come a long way from its tumultuous
beginnings, the second decade of operations will not bewithout challenges.
The most persistent of the current challenges is keepingthe underground workings dry.
At one point last year, the mine held 48 million gallonsof water, or enough to fill 72 Olympic-sized swimmingpools.
“When we take a look at what we need to do, watermanagement is critical for us,” Kennedy said. “We choseto go ahead and close some of the headings and storewater underground and treat it at a later time.”
The mine also has added to its water treatment capaci-ty, providing the ability to treat larger quantities of theaccumulated water so that it can be discharged.
However, many of the challenges ahead are gearedtowards increased efficiency, such as improving millrecovery, making the camp a home for the mine’s 330employees and continuing to set higher standards for safe-ty.
“At the end of the day we have got the right group ofpeople out there doing that,” Kennedy said.
With those human resources, Alaska’s second-largestgold producer moves into its second decade.
“Pogo is an awesome place,” Kennedy boasted. “Wehave gone through a lot of struggles, learned a lot, and weare going to continue to carry on.” l
continued from page 7
POGO MINEIn each of the four ensuing years, the InteriorAlaska operation graduated to higher levels of
competency that was reflected in the “buzzword(s)” for the year – ‘survival’ for 2007,‘credibility building’ for 2008, ‘continuous
improvement’ for 2009 and ‘being proactive’for 2010, according to former general manager
Larry Davey.
