#Canada #Gold Mine #Marathon #Hemlo Mining #Marathon Ontario

Hemlo Mining Corp. Launches Major 130,000 Metre Drilling Program

Hemlo Mining Corp., a mid-tier gold producer based in Canada, has recently announced the initiation of an ambitious exploration drilling program for 2026, aimed at significantly extending the life of its Hemlo Gold Mine located near Marathon, Ontario. This extensive effort involves an impressive 130,000 metres of drilling and encompasses a range of objectives designed to enhance the company's gold assets and operational reliability.

Program Overview

The primary aims of this exploratory initiative include:
1. Extending Mine Life: By transitioning Inferred mineral resources to Indicated classifications, the program is set to solidify the foundation for Hemlo's operational future.
2. De-risking Mining Plans: This drilling will provide a more reliable short-term operational framework, thereby reducing geological uncertainties.
3. Identifying New Growth Opportunities: The program focuses on discovering fresh mineralized zones that lie outside of the currently defined mineral resource parameters.

The aggressive drilling strategy is subdivided into three key components:

• - Resource Conversion Drilling (70,000 metres): Aimed at converting Inferred resources into Indicated mineral resources, supporting anticipated mineral reserve growth ahead of a revamped technical study expected in the second half of 2027.
• - High-Definition Drilling (30,000 metres): This segment focuses on the immediate operational plan, reassuring geological confidence and improving predictability for upcoming production phases over the next two years.
• - Growth Drilling (30,000 metres): This part of the program is targeted towards exploring and confirming mineralization potential in unexplored areas surrounding the current resources.

Statement from Leadership

Jason Kosec, the President and CEO of Hemlo Mining Corp., expressed confidence in the program’s potential, remarking, “This 130,000 metre drilling program represents a remarkable growth ambition for Hemlo. It is a disciplined investment aimed at transforming our mineral assets, streamlining our immediate mining plans while exploring the broader potential of the Hemlo gold resource. With a solid reserve base and efficient infrastructure, we believe this initiative will extend our mine operations and unlock substantial value in a favorable market for gold.”

Context of the Program

A recent technical report released by Hemlo Mining revealed significant findings from a Pre-Feasibility Study regarding the mine's economic viability. The results suggested a strong correlation between gold prices and net present value, highlighting Hemlo's lucrative position under the current market conditions. The existing gold price levels provide a strategic opportunity for investment in exploration and technical studies that could further extend the mine's operational timeline.

Mineral Resource Highlights

As detailed in the Pre-Feasibility Study, the Hemlo Gold Mine hosts an impressive array of mineral resources:

• - Probable Mineral Reserves: Approximately 2,321 thousand ounces of gold distributed through open-pit and underground operations, showcasing a significant yield potential.
• - Measured and Indicated Resources: A total of 3,626 thousand ounces of contained gold with a clear emphasis on high-grade deposits.
• - Inferred Resources: Additionally, there are around 624 thousand ounces of contained gold that remains unclassified yet holds significant exploration promise as highlighted by historical drilling outcomes.

Future Prospects

Looking forward, the drilling efforts will not only capitalize on previously identified mineral zones but also aim to explore adjacent and deeper targets that exhibit signs of potentially high-grade mineralization. The areas receiving particular focus include the C-Zone and the newly defined E-Zone, both of which have shown considerable geological promise.

As the drilling program unfolds, Hemlo Mining Corp. plans to maintain a rigorous approach to assessing the economic impacts of new findings while continuing to enhance its operational strategies. This proactive exploration initiative sets the stage for an exciting future for Hemlo Mining, solidifying its commitment to sustainable value creation and resource development in the gold mining sector.

In summary, with a solid foundation and an expansive drilling initiative underway, Hemlo Mining Corp. is poised to strengthen its foothold in the Canadian gold mining landscape, ready to meet both market demands and corporate growth objectives.