Dual-listed Eldorado Gold is starting construction of a 3 km decline at the Lamaque gold mine, in Quebec, Canada, and says it is considering more projects to further grow production at the mine.

The company is investing $24-million in the decline project, which entails a tunnel between the Sigma mill and the 405 m level of the Triangle mine.

The decline will eliminate surface re-handling of ore and do away with a 26 km roundtrip to haul ore from the mine to the mill.

The decline will also reduce the energy requirements for mine ventilation, supply a means of secondary egress and ventilation to the Triangle mine and provide underground access for lower cost exploration in the prospective area between Triangle mine and the historic Sigma and Lamaque mines. It will further facilitate increased future production from the Triangle mine.

Detailed engineering and site preparations for the decline will start this month and surface construction on the portal will begin in the third quarter, Eldorado says. The decline is expected to be completed by the first half of 2022.

The addition of an underground crushing and conveying system, as well as a mill expansion is also under consideration, the company says, adding that an update outlining the path forward for Lamaque is expected by the fourth quarter.

The Lamaque mine is forecast to produce between 125 000 oz and 135 000 oz this year at a cash operating cost of $575/oz to $625/oz of gold sold. The operation in 2020 is expected to process more than 615 000 t of ore at an average grade of 7 g/t gold.

The company recently received a certificate of authorisation from the Quebec Ministry of Environment to allow for the expansion of Triangle underground mine production from 1 800 t/d to 2 650 t/d.

Meanwhile, in Greece where Eldorado owns the Olympias, Stratoni and Skouries assets, the company has bought out the final 5% of Hellas Gold and it is now the sole shareholder of that company.

Greece also passed a new environmental law, which the company says will modernise the country’s legislation to EU standards.