{"id":418442,"date":"2021-01-21T07:03:40","date_gmt":"2021-01-21T12:03:40","guid":{"rendered":"http:\/\/www.marketnewsdesk.com\/?p=418442"},"modified":"2021-01-21T07:03:40","modified_gmt":"2021-01-21T12:03:40","slug":"argonaut-gold-announces-major-milestone-of-magino-closure-plan-filing","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/argonaut-gold-announces-major-milestone-of-magino-closure-plan-filing\/","title":{"rendered":"Argonaut Gold Announces Major Milestone of Magino Closure Plan Filing"},"content":{"rendered":"
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Canada NewsWire<\/p>\n<\/p><\/div>\n

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\n TORONTO<\/span>, Jan. 21, 2021<\/span> \/CNW\/ – Argonaut Gold Inc. <\/b>(TSX: AR) (the “Company”, “Argonaut Gold” or “Argonaut”) is pleased to announce that the province of Ontario<\/span> has filed the Closure Plan for the Magino project.\u00a0 Site preparation, such as tree removal and clearing, is expecting to commence imminently, with construction scheduled to begin as soon as site preparation is complete.\u00a0 Argonaut envisions a two-year construction period with first gold production at Magino during the first half of 2023.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<\/p>\n

\n Pete Dougherty<\/span>, President and CEO stated: “The filing of the Closure Plan is a significant milestone and allows us to begin site preparation activities for construction of the Magino mine and processing facility.\u00a0 Magino is truly a valuable and strategic asset given existing infrastructure, the already-known mineral endowment of the ore body and the existing exploration potential, its location within the mining-friendly jurisdiction of Ontario, Canada<\/span> and its proximity to other strong cash flowing operations such as the Island Gold mine.\u00a0 By moving Magino forward, we are executing on our vision to transform Argonaut from a junior, relatively high-cost producer with short mine lives to an intermediate, lower-cost producer with long mine lives.”<\/p>\n

\n Kyle Stanfield<\/span>, Director of Environment and Community Relations commented: “We are humbled by the tremendous community support that has enabled this important project milestone to pass.\u00a0 We will continue to coordinate closely with our Indigenous and Municipal partners as we develop this investment into a world class mining operation.”<\/p>\n

The Magino project has received incredible stakeholder support locally, provincially and federally, as well as strong shareholder support to see the project move forward.\u00a0 The Magino project initial capital estimate of between C$480 million<\/span> and C$510 million<\/span>, of which approximately 40% is covered by a fixed-bid contract with Ausenco Engineering Canada Inc., is considered fully financed through Argonaut’s current cash balance and anticipated cash flow from operations assuming a gold price environment at or above US$1,600<\/span> per ounce. \u00a0At December 31, 2020<\/span>, Argonaut had US$214 million<\/span> in cash and also has access up to US$125 million<\/span> through its existing revolving credit facility, which is fully undrawn.<\/p>\n

The Magino Feasibility Study demonstrated that the Magino project is a strategic, scalable, long-life asset in the attractive mining jurisdiction of Ontario<\/span>, Canada.\u00a0 Highlights from the Magino Feasibility Study include:<\/p>\n