West Red Lake has $16.4-million in July sales

Executive Summary

• West Red Lake Gold reported July 2025 gold production of 3,800 oz from the Madsen mine, selling 3,595 oz at an average price of US$3,320/oz for C$16.4 million in revenue.
• The company completed sill development and mining across eight areas, achieving an average ore grade of 8.9 g/t Au and confirming short‑term resource model predictions.
• Two ramp‑up projects were outlined: (1) a three‑stage shaft renovation to add a new hoist rope, five‑tonne skip and scrolls targeting 300–400 t/d material handling by year‑end; (2) a cemented rock fill (CRF) program to backfill historic stopes with up to ~172,000 t of waste rock, reducing surface haulage costs.

Key Details

• July Production & Sales – 3,800 oz gold poured; 3,595 oz sold at US$3,320/oz → C$16.4 M revenue.
• Ore Grade – Mined material averaged 8.9 g/t Au across McVeigh, South Austin and Austin zones.
• Development Work – Completed sill development/mining in eight areas; stopes drill‑tested to 7 m spacing; sills not uniformly spaced due to geometry.
• Resource Model Validation – Stope grades matched or exceeded model predictions; chip sampling along sills added data, indicating higher grade variability than modeled.
• Shaft Renovation (Stage 1) – Purchased new hoist rope, 5‑t skip and scrolls; expected capacity increase to 300–400 t/d of material moved to surface once installed (target: year‑end).
• Cemented Rock Fill (CRF) Project – Identified historic stopes capable of holding >70,000 t waste rock on the 9 level and ~102,000 t in upper Austin; plan to backfill with CRF to reduce surface haulage.
• Future Production Outlook – Mill permitted for 800 t/d; ramp‑up continues toward full commercial production; high‑grade sills encountered support meeting ounce‑production targets.
• Pricing Assumptions – Current mine design uses a consensus long‑term gold price of US$2,350/oz (≈US$1,000 below current market).

Notable Quotes

“July was a good month for Madsen and our mine operations team… Mine ramp‑up is about adding equipment, developing access to high‑priority mining areas and increasing operational efficiency until the mine consistently produces the targeted daily tonnage at the targeted grade.” – Shane Williams, President & CEO

“Transporting material this way reduces costs and saves time… Once phase 1 is complete … the shaft will be able to move approximately 300 to 400 tonnes of material to surface a day.” – Maurice Mostert, VP Technical Services

“Positive surprises, like the high‑grade sills we encountered several times in July, make it easier to achieve that balance.” – Shane Williams