The Kensington Gold Mine, consisting of the Kensington and adjacent Jualin properties, is located on the east side of the Lynn Canal about 45 miles north-northwest of Juneau, Alaska. Access to the mine is presently by helicopter, float plane or boat from Juneau.
The Kensington property, which contains the mine's reserves, consists of over 6,100 acres of patented and unpatented federal mining claims and state claims. The adjacent Jualin property to the south consists of over 9,000 acres of patented and unpatented federal mining claims and state claims.
The mine is currently expected to produce as much as 125,000 ounces of annual production in early years of operation. Over the life of the mine, Kensington is expected to produce more than 1 million total ounces of gold.
Kensington is currently expected to have a mine life of approximately 10 years, based on proven and probable gold mineral reserves of approximately 1.5 million ounces. The reserves have a grade of 0.27 ounces per ton.
Mining will be conducted underground via ramp access. The primary mining method will be longhole open stoping with drift and fill mining used in the flat-lying, higher grade zone. In some areas, stopes will consist of initial sill development followed by uphole drilling and blasting to recover localized high grade ores.
Kensington will use an on-site flotation mill to produce concentrate that will be shipped elsewhere for processing. The mill will not use harsh chemicals such as cyanide.
The processing facilities are located at an elevation of 980 feet above sea level. Ore will be received from the underground mine by 40-ton trucks. Power is supplied by on-site diesel generators. Gold recovery is by a combination of flotation and gravity concentration, followed by concentrate regrind and cleaner flotation.
The Kensington Gold Mine is on the threshold of production with the facilities 90% complete.
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