Foran Reports Q3/24 Construction Progress at McIlvenna Bay
Key Achievements as of
- Safety performance remains strong with no Lost Time injuries year-to-date, and a workforce of approximately 141 Foran employees and over 330 contractors on-site.
- Significant progress was made with the completion of concrete pouring for the semi-autogenous grinding ("SAG") and ball mill monuments, nearing completion on foundation work for grinding, copper flotation, and zinc flotation areas, and pouring approximately 2,911m³ of concrete, exceeding the year-to-date plan.
- Key equipment, including the 275-tonne crane and SAG/ball mill components, arrived on site, with structural steel and regrind mills in transit, and the concentrate filter press and pebble crusher in final assembly or testing.
- Camp was fully commissioned, increasing bed capacity to approximately 450. Notable progress included commissioning the water and sewage plants, concrete work for the truck shop, and advancing earthworks on the water containment pond, pipeline, and ore pad expansion.
- Detailed engineering is approximately 78% complete, and 2024 and early 2025 activities including the mill foundation, process and paste plant buildings, sewage and potable water treatment plants, roads, ponds, berms, and truck shop are at approximately 97% completion.
- Underground development has reached a total of approximately 1,375 metres, including 1,196 metres completed year-to-date, with the decline extending 10 vertical meters below the 120-metre level.
- Surface construction is approximately 14% complete, with the overall schedule tracking as planned and commercial production expected in H1 2026.
- The images offer a detailed look at key milestones reached during the quarter and can be viewed below or in the image gallery on our website at www.foranmining.com/news-media.
- A video, showcasing the McIlvenna Bay project, highlighting management, key milestones and the Company's vision towards initial phase production can be viewed here.
Construction Progress Summary
Description |
Progress to Date (as of |
Health & Safety |
o Lost Time Incident Frequency Rate (LTIFR) year-to-date of zero and a Total
|
Construction |
o As at quarter end, overall completion of surface construction stood at
|
Engineering |
o Engineering progress for activities planned for 2024 and early 2025, such as o Approximately 78% of overall detailed engineering has been completed.
|
Procurement |
o Procurement is managing 191 work packages, with 128 packages awarded to
|
Underground |
o Approximately 1,196m of total underground development has been
o Lateral development rates increased to over 290m in September, with a total o The decline is approximately 10 vertical metres below the 120m level.
o The excavation of the main surface ventilation fresh air raise to approximately |
Permitting |
o Key permits continue to be received to continue with progress at site. Recent |
Human Resources |
o Approximately 141 Foran employees and over 330 contractors are currently |
Process Plant
During the third quarter of 2024, the construction team completed concrete pouring for the SAG mill and ball mill monuments, with construction of the foundations for the columns for the grinding, copper flotation and zinc flotation areas nearing completion.
A total of approximately 2,911m3 of concrete was poured during the quarter, with approximately 4,503m3 completed year-to-date and ahead of plan of 3,084m3. Approximately 85% of the lean concrete has been poured in the process plant. The concrete footings for the primary structural steel columns for Zones 1, 2 and 3 (grinding, copper flotation and zinc flotation) were also completed. Over the quarter, concrete works began on the reagents, concentrate loadout, and concentrate filtration areas.
Various components for both the SAG mill and ball mill arrived on site in late September, with the regrind mills and the structural steel for the process plant being in transit at the end of the quarter. Also in September, the concentrate filter press was in factory acceptance testing and the pebble crusher was being assembled.
Permanent Camp and Surface Infrastructure
During the quarter, all phases of the permanent camp were completed and commissioned for occupancy in addition to temporary construction camps, bringing total bed capacity to approximately 450 persons. Average camp occupancy during September was between approximately 250 and 300 persons, with increased requirements expected over the next 12 months.
The company commissioned the potable water and sewage treatment plants over the quarter while also constructing the weeping tile bed. The lean concrete for the truck shop has been completed and work began on forming and pouring of the concrete walls for the surface maintenance shop equipment bay in preparation for standing structural steel columns scheduled to commence in October. The floor of the soon-to-be-relocated underground equipment shop was also formed and poured during the month of September.
Additional earthworks operations progressed on the contact water holding pond, with the removal of topsoil to bedrock. Drilling operations began to excavate the underlying bedrock to the design elevation. Earthworks also progressed on the
Transmission Line
As announced on
As part of the construction schedule, SaskPower has submitted the Environmental Impact Study ("EIS") application, which is currently under review by the
Engineering and Procurement
Detailed engineering is substantially complete on the mill foundation, process and paste plant buildings, treatment plants, roads, ponds, berms, and truck shop building. The remaining focus will be primarily on the civil, structural, architectural and electrical and instrumentation disciplines, which are related to the process plant. To date, total detailed engineering is approximately 78% complete.
Procurement work in progress stands at approximately 72% completed as of
Underground Development & Pre-Production Mining
The Company successfully reached first ore over the quarter, with the first development round in ore blasted in September and contact locations reconciling favourably to the block model. The ore will remain underground before being hauled to surface in Q1/25. The Company is targeting to have approximately 275,000 tonnes of mineralized material in stockpile prior to ramp up in
To-date, the Company has advanced approximately 752 metres of decline development and completed 623 metres of level development, for a total of 1,375 metres to-date, including metres advanced in the advanced exploration phase and prior to the start of the Phase 1 capital budget. The company remains focused on accelerating development rates by maintaining crews at full strength, with additional miners to fill unplanned contractor labour shortages. Efforts are also underway to reduce cycle times and ensure the operation of a reliable equipment fleet. The Company expects to complete approximately 1,200 metres of total development in Q4/24 and approximately 7,000 metres in 2025, which is expected to be sufficient to build the intended mill stockpile and ensure the required production stopes are accessible prior to scheduled production ramp up.
The collar of main surface ventilation fresh air raise has been established and has progressed down approximately 20 metres, reaching the sandstone layer. Concrete rings are now being installed at this elevation to ensure any potential water inflows are properly sealed.
Human Resources
As of
Schedule and Budget
The project remains on schedule to start hot commissioning in H2/25 and commercial production in H1/26. The project's main critical path activities include installation of the primary structural steel and cladding for the mill, installation of the SAG mill and Ball mill, installation of the copper and zinc flotation circuits and commissioning and the ramp up to commercial production.
As disclosed concurrently with the Formal Investment Decision made by the Company's Board of Directors on
As at
Financial & Corporate Update
During the quarter ended
During the quarter, the Company also successfully reduced its outstanding surety bond from
The Company intends to file its financial statements and MD&A for the quarter ended
Qualified Person
Mr.
About
The McIlvenna Bay Deposit is a copper-zinc-gold-silver rich VHMS deposit intended to be the centre of a new mining camp in a prolific district that has already been producing for 100 years. The McIlvenna Bay Property sits just 65 km West of
The McIlvenna Bay Deposit is the largest undeveloped VHMS deposit in the region. The Company announced the results from its NI 43-101 compliant Technical Report on the 2022 Feasibility Study for the McIlvenna Bay Deposit ("2022 Feasibility Study") on
The Company's head office is located at
CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS
This news release contains certain forward-looking information and forward-looking statements, as defined under applicable securities laws (collectively referred to herein as "forward-looking statements"). These statements relate to future events or to the future performance of
Inherent in forward-looking statements are known and unknown risks, estimates, assumptions, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements contained in this news release. These factors include management's belief or expectations relating to the following and, in certain cases, management's response with regard to the following: the Company's reliance on the McIlvenna Bay Property; the Company is exposed to risks related to mineral resources exploration and development; the Company has no history of mineral production; the Company's operations are subject to extensive environmental, health and safety regulations; mining operations involve hazards and risks; and the additional risks identified in our filings with Canadian securities regulators on SEDAR+ in
Readers are cautioned not to place undue reliance on forward-looking statements and should note that the assumptions and risk factors discussed in this press release are not exhaustive. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward looking statements contained in this press release. All forward-looking statements herein are qualified by this cautionary statement. The Company disclaims any intention or obligation to update or revise any forward looking statements, whether as a result of new information, future events or otherwise, except as may be required by law. If the Company does update one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those or other forward-looking statements, unless required by law. Additional information about these assumptions, risks and uncertainties is contained in our filings with securities regulators on SEDAR+ in
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