PERTH (miningweekly.com) – Gold miner Northern Star Resources has completed its $260-million acquisition of the Pogo gold project, in Alaska, from Sumitomo Metal Mining company.
Northern Star will receive the full financial benefit of Pogo from July this year, and as a result, the company’s full-year guidance has been increased to between 850 000 oz and 900 000 oz, at an all-in sustaining cost (AISC) of between A$1 050/oz and A$1 150/oz.
The project has a non-Joint Ore Reserves Committee-compliant reserve and resource of 4.1-million ounces, at 12.2 g/t gold, with the resource and reserve sustained around this level for the past 12 years, despite depletion. This included a reserve of 760 000 oz, at 11.9 g/t gold, the third highest reserve grade in North America.
In 2017, the mine produced 271 273 oz of gold at an AISC of $882/oz, and a head grade average of 10.8 g/t gold, making it the eighth largest gold mine in the US.