Sabina secures final approval for Back River project
Sabina Gold & Silver (TSX: SBB) announced Tuesday that the company has received final authorization for its first mine at the Back River gold project in Nunavut.
Sabina recently received final operational approval for the placement of the tailings into the project’s proposed tailings storage facility. The company is now in possession of all major authorizations for not only the construction, but also the operations of the Back River project.
“While we have been permitted for construction and have been shovel ready for some time, this final authorization enables full operations at Back River,” president and CEO Bruce McLeod said in a statement.
“It is also important to remember that while the mine plan in our feasibility study is focused on a 3,000 tonne per day operation with four mining areas, permitting was advanced on the basis of the previous 6,000 tonne per day feasibility at the Goose project providing significant future project flexibility.”
The company said it will continue to de-risk and advance the project, with workers returning to the Back River camp next week.
According to the project’s initial feasibility study published in 2015, the Back River mine has the potential to produce approximately 200,000 ounces of gold per year for 11 years with a payback period of 2.9 years.
Shares of Sabina Gold & Silver rose 0.5% at midday Tuesday. The Vancouver-based mining company has a market capitalization of C$566.6 million.