Monarch expects the mine to return to production by June 2022, and has already made shipments of ore to the mill. There are currently 15,000 tonnes of ore ready for processing when the mill restarts.
“We are pleased to partner with Monarch as it prepares to restart production at its past-producing Beaufor mine later this year and continues to expand near-mine resources with ongoing exploration,” Shaun Usmar, founder and CEO of Triple Flag, stated in a news release.
“Beaufor is located in the Abitibi mining camp in Quebec, a top-tier mining jurisdiction, and this royalty will provide Triple Flag with near-term cash flows that will persist for years to come,” Usmar added.
In the last mineral resource update, Monarch managed to more than double its measured and indicated mineral resources, and has since drilled a further 25,000 metres.
The Beaufor mine now has measured and indicated resources of 1.3 million tonnes grading 5.3 g/t gold for 219,500 contained oz. The inferred resource is 818,900 tonnes at 4.7 g/t gold for 122,500 contained oz.
“We are thrilled to partner with Triple Flag, a leading global partner whose investment objectives are aligned with our own values and growth objectives,” said Jean-Marc Lacoste, president and CEO of Monarch.
“This new non-dilutive investment will also allow us to strengthen our financial position as we continue to prepare our Beaufor mine and Beacon mill for a restart by June 2022.”
Shares in Monarch Mining rose 3.0% as of 12:20 p.m. in Toronto following the latest transaction with Triple Flag, bringing gold developer’s market value to C$55.9 million.
