Operations

QR Mine & Mill

Overview

The QR deposit is a propylite gold skarn formed in the contact metamorphic aureole around the dioritic QR stock. The QR claims have been drilled almost continuously from 1977 to 2008. Kinross took over what was to be its first mine in 1994. There have been 352 holes drilled in various areas of the property for a total of 30,857 m.

In February 2010, Barkerville Gold Mines completed the acquisition of the QR Mine & Mill. The QR Mill is a permitted, 900 tonne per day gold mill, originally built by Kinross Gold Corp. in 1994 for an estimated $40 million capital cost and was their first operating gold mine. The mine operated for three years, closing in 1997 due to low gold prices. Cross Lake Minerals Ltd. acquired the project in 2005 and incurred an estimated $34.5 million in expenditures on mill upgrades, mine development and a new three-phase power line. This substantially offset initial start-up costs incurred by Barkerville Gold following their acquisition of the mine and mill.

In March 2010, Barkerville's mining contractor, Procon Mining and Tunnelling Limited, advised that mining at QR had started as scheduled, with ore from the West Zone being mined, hauled and stock piled at the QR Mill ahead of the re-commencement of gold production at the facility.

Detailed planning is underway for a development drilling program at the North Zone, 300 meters below the permitted West Zone, which is anticipated to be the next zone developed for mining at the QR property. The North Zone is largest zone of gold mineralization found to date at the QR Mine, with a drill indicated strike length of over 1000 meters. Previous work includes a large scale, 5 meter by 4 meter, 710-meter long decline (tunnel), which will be used to access the zone to complete further drilling and development. To date, 23 diamond drill holes totaling 3,443 meters have been completed by the previous operator which is planned to be expanded upon by Barkerville Gold.

In September 2010, commercial production at the QR Mine began with the pouring of the Company's first gold dore bar and continued until December 2011 when the mill was shut down for seasonal maintenance and to prepare for Bonanza Ledge ore processing subject to fulfilling all conditions under the permits.  

*please refer to cautionary note