Interview with Shane Williams, President & CEO, West Red Lake Gold Mines

Our previous interview: https://www.cruxinvestor.com/posts/west-red-lake-gold-mines-tsxvwrlg-bulk-sample-results-validate-mine-restart-plan-7088

Recording date: 23 May 2025

West Red Lake Gold Mines has achieved a significant operational milestone with the successful restart of production at its flagship Madsen mine in Canada's prolific Red Lake mining district. Following an intensive 18-month preparation period, the company secured board approval after completing a comprehensive bulk sampling program that validated resource models and operational capabilities.

The bulk sampling program delivered exceptional technical results, achieving 96% grade reconciliation across three mining areas and 94% mill recovery rates. These metrics exceeded industry standards and provided robust validation of the company's geological modeling, particularly impressive given the deposit's complex geology that had challenged previous operators. President and CEO Shane Williams emphasized that the program confirmed "the resource and the work we've done is fully into place as expected."

Economic conditions have dramatically improved project viability, with current gold prices around $3,300 compared to the $1,600 used in original feasibility studies. This price environment has enabled the company to reduce cut-off grades to 1-2.5 grams, effectively doubling minable material and providing substantial operating margins. Williams noted that previous operators produced gold at just under $2,500 per ounce despite operational challenges, highlighting the significant margin potential at current prices.

The operation benefits from scalable infrastructure, with mill capacity expandable from 800 to 1,200 tonnes per day through minimal modifications. Recent infrastructure improvements include shaft renovation, 24/7 underground hauling capabilities with larger trucks, and a connection drift linking mining portals that eliminates surface transportation constraints.

Ongoing drilling programs have identified new high-grade zones, particularly in the South Austin area, enabling lateral expansion rather than expensive deep development. With 150,000 ounces of drill inventory providing two years of mine planning visibility, the company has established a solid foundation for sustained production growth in one of Canada's premier gold mining districts.

Learn more: https://www.cruxinvestor.com/companies/west-red-lake-gold-mines-inc

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