Toronto-listed Marathon Gold has received mining leases for the Valentine gold project, in central Newfoundland.
The leases cover the development of the Marathon and Leprechaun deposits and have a term of 20 years.
Receipt of the leases from the Newfoundland and Labrador government is a key milestone in the permitting operations at the project. It follows the completion of the provincial environmental assessment process in March and the approval of the project to proceed to development by the Newfoundland and Labrador Cabinet.
The federal environmental assessment for the project is approaching completion, says Marathon.
On May 25, the Impact Assessment Agency of Canada filed a draft environmental assessment report for the project. It is available for 30 days for public review and comment.
The April 2021 feasibility study, which is being updated, estimated an initial capital cost of $305-million, total life-of-mine capital costs of C$662-million, total cash operating costs of $704/oz and an all-in sustaining cost of $833/oz.
The company said in April that the capital costs would increase by between 15% and 20%.