DUBREUILVILLE, ONT. — Alamos Gold Inc. has announced groundbreaking for the expansion of its Island Gold Mine north of Wawa in northern Ontario.
During the construction phase of the expansion, employment is expected to double to 1,200 jobs, stated a recent release. An expansion study published in July 2020 outlined a 16-year mine life during which Island Gold is expected to expand from 1,200 tonnes per day to 2,000 tonnes per day following the completion of the shaft in 2025.
The addition of a shaft connected to Ontario’s low-carbon grid will support higher mining rates with a smaller mobile fleet of haul trucks resulting in significantly lower diesel consumption, the miner said. This is expected to enable a 35 per cent reduction in greenhouse gas emissions over the Phase III mine life.
The expansion is expected to drive production approximately 70 per cent higher to average 236,000 ounces of gold per year at lower costs.
“By further investing in the Phase III expansion, we will more than double the mine life,” said Alamos Gold CEO John McCluskey in a statement. “This mine will be an economic engine for this region for years to come, and positively impact the closest town of Dubreuilville and surrounding area.”
Ontario Minister of Energy Todd Smith stated the miner benefits from the government’s Comprehensive Electricity Plan which lowers electricity prices for large industrial customers by 15 per cent.
Among Island Gold employees, approximately six per cent belong to Indigenous communities, which is more than twice the mining industry average of 2.4 per cent in Ontario. Trades and professionals employed at the mine include welders, truckers, surveyors, scoop operators, electricians, mechanics, bolters, millwrights, construction miners, geologists, blasters, conventional miners, engineers and drillers.