Wallbridge Mining Company has completed the purchase of the Fenelon Gold Mine on the Quebec side of the Detour Lake trend by making a final payment of $2,500,000.
“In the next few months, our focus will be on completing the prefeasibility study and permitting of the project,” said Marz Kord president and CEO of Wallbridge. “Upon confirming positive economics, we expect to be in a position to make a production decision in the second quarter of 2017, proceed with building the site infrastructure and dewatering of the existing ramp and soon after with production from the top 100 metres of the deposit. Additionally, we are planning an exploration campaign focused on expanding resources around the existing infrastructure, while also following up on a number of gold intersections that show potential for further expansion of the resource at depth and along strike."
Fenelon was acquired from Balmoral Resources, which retains a one per cent net smelter royalty on future production.
Wallbridge has engaged the services of InnovExplo and SNC-Lavalin to complete the prefeasibility study. The study is expected to be completed by year-end. Wallbridge expects the production permits to be received in the first quarter of 2017.
The company has raised $1,720,760 of a $4.5 million prospectus to finance the development of the property.
In other news, joint venture partner Lonmin PLC is funding a $3.958 million, 20,000-metre drill program on Wallbridge’s Parkin Offset property on the North Rim of the Sudbury Basin.
