Name of the Project
Madsen gold project restart.

Location
Red Lake mining district of Ontario, Canada.

Project Owner/s
West Red Lake Gold Mines acquired the project from PureGold Mining in June 2023.

Project Description
Madsen is a fully permitted gold mine, situated on top of highly prospective exploration targets in a world-class gold district.

The project has total indicated resources estimated at 6.9-million tonnes grading 7.4 g/t gold, and inferred resources estimated at about 1.82-million tonnes grading 6.3 g/t gold.

The project consists of an 800 t/d mill, an underground mine, a tailings facility and water treatment plant.

Potential Job Creation
The Madsen mine’s workforce has increased by 48 people, with several leadership positions filled. 

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
More than C$350-million has been invested to date.

Planned Start /End Date
A targeted restart date has been set at 2025.

Latest Developments
West Red Lake has announced it will increase the size of its previously announced bought-deal financing from C$20-million to C$25-million.

The firm will now issue 36.23-million units at C$0.69 each, with units comprising one common share and one common share purchase warrant. Each warrant will entitle the holder to buy a share at C$0.90 each for 36 months.

West Red Lake has also granted an over-allotment option to the underwriters to buy an additional 15% of the base offering, for additional gross proceeds of up to C$3.75-million.

The bought-deal offering forms part of a funding package that West Red Lake has arranged to fund the restart of the Madsen mine. The other component of the package is a $35-million loan from Nebari Natural Resources Credit Fund II.

With the funding in hand, the company will complete the Madsen prefeasibility study (PFS), the ongoing test mining programme, the proactive capital projects under way at the mine site, and the restart and ramp-up of the mine, including working capital and corporate requirements.

The PFS is scheduled for release within a month.  

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
West Red Lake Gold Mines, tel +1 604 609 6132 or email investors@wrlgold.com.