Goldcorp drills outlying gold targets at Coffee

Goldcorp Inc. April 26 reported preliminary results from the 2017 drill program at its Coffee gold project in the Yukon. Drilling began in March with two reverse circulation rigs at the Supremo T8-9 and Arabica targets.

Supremo T8-9 is located about 200 meters east of the planned Supremo open-pit mine.

Results from 17 holes were available by the end of the first quarter.

Highlights from these holes include 10.66 meters of 1.88 grams per metric ton gold from a depth of 51.82 meters and 15.24 meters of 1.38 g/t gold from 59.44 meters.

Results from Arabica, which is located about 1,500 meters east of the planned Supremo pit, are pending.

Goldcorp acquired the Coffee property by buying out Kaminak Gold Corp. early in 2016.

Prior to the acquisition, Kaminak published a feasibility study that details an open-pit, heap-leach gold operation at Coffee producing 184,000 ounces of gold annually over a 10-year mine life at all-in sustaining costs of US$550/oz. Goldcorp completed roughly US$15 million of exploration at Coffee in 2016 and plans to test a number of targets within a 10-kilometer radius of the planned mine with core drilling this summer.

Goldcorp has also submitted the environmental socioeconomic assessment application for Coffee in the first quarter, kicking off the permitting process for developing a mine at the project.

The company said First Nation and community consultation activities are progressing, along with the review and optimization of the feasibility study and planning for upgrades to site infrastructure.

Goldcorp expects permitting and construction to take about four years, with commercial production targeted for 2021.

-SHANE LASLEY