Waterton Announces Receipt of Final EIS, Initiation of Key Infrastructure Development and Pending Feasibility Study for its Gemfield Project in Nevada

The Gemfield Project is a fully permitted shovel-ready project in the United States

Receipt of the Federal EIS and State permits for Gemfield facilitated the commencement of key infrastructure development at the Gemfield Project in early August 2019

The Gemfield Project has robust economics, a strong social license to operate and is located in Nevada, the world’s top mining jurisdiction

Gemfield Project Infrastructure Development, September 2019

Key Project Highlights

Fully Permitted Gold Project with Strong Economics

  • Gemfield is one of the few fully permitted shovel-ready projects in the United States
  • Gemfield (comprised of the primary Gemfield deposit and the McMahon Ridge and Goldfield Main deposits) is expected to have:
    • A strong IRR in excess of 35% 
    • A payback period under 2 years
    • Lowest quartile all-in sustaining costs
    • Projected average annual production in excess of 125 koz Au
  • A feasibility study by independent consultants is expected to be completed in Q4 2019, facilitating access to financing

Optimized and Construction-Ready

  • Gemfield’s optimized life of mine plan incorporates multiple deposits with a shared central processing facility
  • The relocation of a segment of U.S. Highway 95 that currently traverses the Gemfield Project is underway and will be completed in Spring 2020
  • Upgrades to the municipal water system are underway to satisfy the Gemfield Project’s water requirements for construction and operation. The upgrades will be completed in Q4 2019

Large and Highly Prospective Land Package in Nevada

  • Prolific gold mining jurisdiction with historical production exceeding 4.0 Moz Au
  • Gemfield is ~15,000 acres, among the largest land positions in the historic Goldfield Mining District 
  • Gemfield has Measured and Indicated mineral resources in excess of 1.5Moz of Au at an average grade greater than 1 gpt of Au
  • Highly prospective land package with significant exploration targets identified across the Gemfield property

Located in Low Risk Mining Jurisdiction with Community Support

  • Nevada is ranked 1st on the 2018 Fraser Institute “Investment Attractiveness Index”
  • Gemfield is strongly supported by the State of Nevada, the County Commissioners of Esmeralda County and the town of Goldfield
  • Strong stakeholder support played a major role in securing the Gemfield permits and has been vital to the efficient advancement of the ongoing infrastructure upgrades

“As a State Senator representing the communities of Goldfield and Tonopah, I’m greatly encouraged by the completion of the permitting process for the Gemfield Project.  The residents of Goldfield and Tonopah have persevered through tough economic times and this project will infuse the local economy with much needed revenue and job opportunities to improve local quality of life. The project will bring a combined total of 350 temporary and permanent jobs as well as much needed improvements to Goldfield’s municipal water system. Economic development opportunities such as this one are few and far between in many regions of rural Nevada. I look forward to the continued progress of the Gemfield Project and its economic impact on the surrounding communities which are filled with hard-working Nevadans looking for the chance to pull themselves up by their bootstraps and succeed.”

Ira Hansen, Nevada State Senator representing Esmeralda County

Key Project Development Efforts

Five years of extensive project development efforts included, among others: 

  • Multiple drill campaigns
  • Substantial metallurgical test work
  • Geotechnical engineering
  • Hydrological and geochemistry studies
  • Optimization of the mine plan to include various deposits and extend the mine life
  • Engineering of a single shared processing facility for all deposits to reduce capex (6 Mtpa processing rate; 24hr operations) 
  • Advancement of a feasibility study by independent consultants with a completion date of Q4 2019
  • Completion of the federal and state permitting efforts
  • Commencement of certain improvements to the municipal water system to secure water access for the Gemfield Project
  • Commencement of the U.S. Highway 95 relocation to facilitate access to the Gemfield deposit
  • Productive and positive stakeholder outreach resulting in a strong social license to operate