Vancouver-based Sabina Gold & Silver (TSX:SBB) is one step closer to developing its large-scale Back River gold project in Nunavut.
On January 23, the company submitted a draft environmental impact statement (DEIS) and water licence applications to the Nunavut Impact Review Board and the Nunavut Water Board, respectively.
The submissions include anticipated effects of the project, possible mitigation measures and plans for the construction, operation and reclamation of the Back River.
“Submission of the draft environmental impact statement is a major milestone in the permitting process and environmental assessment of the Back River Gold Project,” said Rob Pease, Sabina president and CEO, in a statement.
“The DEIS demonstrates how the project could bring responsible sustainable development to the region, including training, jobs, creation of business opportunities as well as associated royalty payments. We are committed to developing Back River in an environmentally responsible manner that will ultimately create a win/win for all stakeholders. We look forward to continuing to engage with our Inuit partners, various levels of government and other stakeholders as we move through the environmental assessment process, and look forward to receiving feedback on the proposed project.”
Back River is located in southwestern Nunavut, about 75 kilometres southwest of Bathurst Inlet, and consists of seven claims. To date, two of the seven plots have been explored – the Goose and George properties. Operations are planned for both George and Goose, with a mill and processing plant built at the Goose mine.
According to Sabina Gold & Silver projections, Back River is expected to produce about 300,000 ounces of gold per year over a 10-year mine life. Production is expected to begin in 2016-2017.
Because of its remote location, supplies will arrive at Back Water via ship and unloaded at Bathurst Inlet. Winter roads will connect the sites.
Sabina Gold & Silver closed on January 23 at $0.91, up from its 52-week low of $0.55 but down from its 52-week high of $2.69.
