Island Gold Expansion Approved

Some good news for a local mine: Alamos Gold has been given approval for an expansion of the Island Gold Mine - ahead of schedule.

Alamos says it's been granted amendments to its existing operational permits from Ontario's Ministry of the Environment, allowing for Phase II expansion of the mine, to 1200 tonnes per day, up from the previously permitted rate of 1100 tonnes per day.

It expects underground mining rates to hit 1200 tonnes per day in 2020, though it will look for opportunities to ramp up to that mark before the end of the year - but it isn't changing the 2019 guidance for production and costs.

The company's also continuing with a large exploration program at Island Gold, which it notes has led to "significant" growth in mineral reserves and resources in recent years, with the growth and ongoing exploration to be incorporated into a Phase III expansion study to be completed over the next year.