Page 13 - HMC_2014AR_Cover_032615.indd

With the acquisition of Aurizon Mines Ltd. in 2013, Hecla gained ownership of the Casa Berardi mine, an underground gold mine located in western Quebec – a politically stable and mining-friendly region with good geology and infrastructure in place. Last year, the mine produced 128,244 ounces of gold at a cash cost, after by-product credits, per gold ounce of $826. Casa Berardi holds current proven and probable gold reserves of 1.3 million ounces, with an additional
1.3 million ounces of measured and indicated resources. A modest exploration drilling program in 2014 was successful in replacing mined ounces with additional resources.
Situated 95 kilometres north of La Sarre, the mine straddles a 37-kilometre section of the Casa Berardi fault. It has produced
1.9 million recovered gold ounces since commencing production in 1988, including 803,000 recovered ounces since production recommenced in November 2006. Current mine life is 10 years.
Casa Berardi Mine, Quebec, Canada
2014 saw a number of developments at Casa Berardi that have the potential to provide benefits for years to come. Deepening of the West Mine Shaft was completed in the fourth quarter. The shaft deepening, combined with the 985 drift, is expected to lower operating costs as the mining horizon deepens, as well as eventually providing a platform for deeper exploration. And though major improvements in the mill were scheduled for 2015, improvements in recovery – an increase from 86 percent to 90.1 percent – postponed the project as it may not
be necessary.
Because Casa Berardi is a Canadian operation, the mine has had a
positive impact on Hecla’s financial results even in the midst of a downturn in the precious metals market, since the drop in gold prices is helped by changes in the currency exchange rate between the two countries.
strength through teamwork
CASA BERARDI BY THE NUMBERS
acquired:
100% in June 2013
2014 production:
gold – 128,244 oz
production to date*:
gold – 1.9 M oz
total revenue to date:
$1.6 billion
mine life:
10 years
* production from 1988-1997 and 2006 to present
HL . 11