West Red Lake Gold Highlights Bulk Sample Learnings

Core Viewpoint - West Red Lake Gold Mines Ltd. is leveraging insights from its test mining and bulk sample program at the Madsen Mine to develop a more efficient and cost-effective mine plan, featuring larger stopes and improved mining methods [1][2][3]. Group 1: Test Mining and Bulk Sample Program - The program aimed to validate the company's mining capabilities and to explore various mining scenarios for optimal economic extraction [2][8]. - Successful reconciliation between expected and actual results across multiple stopes confirms the company's mining strategy at Madsen [2][20]. - Test mining revealed the potential for larger stopes and mining complexes, enhancing resource extraction efficiency [3][12]. Group 2: Mine Design and Economic Implications - The mine design process incorporates a long-term gold price of US$2,350 per ounce, compared to US$1,680 per ounce used in the Pre-Feasibility Study (PFS), allowing for a more inclusive resource assessment [5][6]. - Utilizing a higher gold price lowers the cutoff grade for resource inclusion, potentially increasing the overall resource available for mining [6][19]. - The PFS indicated a probable reserve of 478,000 ounces from 1.87 million tonnes, suggesting that a higher gold price could extend the mine's life and improve profitability [18][19]. Group 3: Mining Efficiency and Cost Reduction - Larger stopes can be mined using long hole stoping, which is more cost-effective than cut-and-fill mining, leading to lower mining costs per tonne [12][20]. - The clustering of stopes into mining complexes reduces access development costs and enhances operational efficiency [12][20]. - Definition drilling has significantly increased tonnage and contained ounces in various stope complexes, demonstrating the effectiveness of the updated mining strategy [14][16][18]. Group 4: Company Overview - West Red Lake Gold Mines Ltd. focuses on advancing its flagship Madsen Gold Mine and holds a significant land package in the Red Lake district, known for its high-grade gold deposits [24].