Goldcorp Reports 2018 Reserve and Resource Estimates and Provides Exploration Update
Press Release
VANCOUVER, Oct. 24, 2018 – GOLDCORP INC. (TSX: G, NYSE: GG) (“Goldcorp” or the “Company”) is pleased to provide an update to the Company’s Mineral Reserve and Mineral Resource estimates as of June 30, 2018. Goldcorp is also providing an update on its 2018 exploration program with representative drill results provided below; website links to further information, including full drill results, drill coordinates, quality assurance and quality control information and relevant diagrams, are provided at the end of each section.
Highlights:
- Proven and Probable Gold Mineral Reserves are 52.8 Million Ounces. Goldcorp mineral reserves increased at Musselwhite with the higher-grade extension of PQ Deeps and the addition of the WEL zone and at Cerro Negro, with an inaugural mineral reserve estimate at the Silica Cap deposit. Overall mineral reserves additions at Goldcorp-operated sites essentially replaced depletion over the 12-month period.
- Musselwhite and Cerro Negro continue to deliver exploration success. At Musselwhite, Lynx North drill intercept highlights included 10.3 m at 6.68 g/t gold (18-LNX-032) and 9.4 m at 6.06 g/t gold (18-LNX-031) and extended the strike length of the known Lynx North orebody 500 m to the north. Surface drilling from the north shore intersected PQ Deeps 1.2 km down plunge of the 2018 mineral reserves, returning intercepts of 9.2 m at 10.92 g/t gold (18-NSD-005) and 9.8 m at 5.05 g/t gold (18-NSD-004). At Cerro Negro the newly discovered Ricarda vein returned drill intersections of 9.25 m at 5.28 g/t gold and 3.9 m at 11.53 g/t gold (SDD-18015).
- Goldcorp’s 20/20/20 plan continues on track to deliver 20% reserve growth by 2021. Goldcorp has increased reserve ounces by 2.8 million since beginning the 20/20/20 plan in 2017 and remains positioned to deliver 20% reserve growth by 2021.
Goldcorp’s proven and probable gold mineral reserves as of June 30, 2018 totaled 52.8 million ounces, compared to 53.5 million ounces as of June 30, 2017 as exploration success at our operated mines essentially replaced mineral reserves depletion from production. A small net loss in mineral reserves, from depletion, was experienced at our non-operated mines, including Pueblo Viejo (“PV”).
Measured and Indicated gold mineral resources decreased from 37.1 million ounces to 35.2 million ounces, primarily due to the impact of the successful conversion of indicated mineral resources into proven and probable mineral reserves at Musselwhite, Cerro Negro, Peñasquito and Porcupine. Inferred gold mineral resources decreased to 17.5 million ounces from 20.0 million ounces.
Mineral reserve estimates were based on a gold price of $1,200 per ounce while mineral resources were estimated using a gold price of $1,400 per ounce. Gold price assumptions were unchanged from last year’s estimates. Complete mineral reserve and mineral resource information, including tonnes and grades for all metals and details of the assumptions used in the calculations, can be found in the table and associated notes below or on the Company website here.
Goldcorp’s mineral reserve growth as part of the 20/20/20 plan remains on track. Goldcorp expects contributions to our 20% reserve growth across our portfolio of underexplored land packages. Porcupine has over 8.4 million ounces in measured and indicated mineral resources and 3.7 million ounces of inferred mineral resources. A portion of resources are supported by the current mining and processing fleet. The Century Gold Project envisages a significantly larger-scale mining complex, which could afford us the opportunity for further conversion of this substantial gold resource into reserve. At Coffee, an additional 400 thousand ounces of indicated resources and 600 thousand ounces of inferred resources are hosted within $1,200 pit shells derived from the inclusion of that material at the Supremo deposit, as well as eight satellite deposits. An 80,000 metre infill drilling program in 2019 is expected to convert a portion to reserves and is being incorporated into future mine designs. In addition, generative work has identified a large portfolio of early stage targets which remain untested and offer the potential for future resource and reserve growth. At Pueblo Viejo, a pre-feasibility study is expected by 2020, that has the potential to convert approximately 7 million ounces of measured and indicated mineral resources to proven and probable mineral reserves (100 percent basis). Norte Abierto is expected to complete a pre-feasibility study on the combined Cerro Casale and Caspiche deposits, with a goal of converting a portion of the 26 million ounces of measured and indicated mineral resources and 8 million ounces of inferred mineral resources (100 percent basis), by 2021.
Musselwhite
Proven and probable gold mineral reserves as of June 30, 2018 totaled 2.3 million ounces, compared to 1.9 million ounces as of June 30, 2017. Drilling and resource conversion within the PQ Deeps, Redwings, WEL, Esker/Lynx and SZ2 zones resulted in the addition of 0.7 million ounces of mineral reserves, offset partly by depletion. At PQ Deeps C-Block mineralization has expanded and mineral reserves achieved approximately 70 thousand ounces of gold per 50 metres compared to 25 thousand ounces currently being mined.
Musselwhite Northern Iron Formation Long Section (Link to figure)
Mine exploration at Musselwhite returned positive results from the Lynx North area located up-dip on the Northern Iron Formation above the C Block zone in PQ Deeps. These results extend the strike length of the known Lynx North orebody 500 m to the north of the updated 2018 mineral reserves, and the combined dip extent of Lynx North and C Block within the Northern Iron Formation on the south limb of the Musselwhite synform now extends over 350 m sub-vertically.
Surface drilling from the north shore of Opapamiskin Lake has recently intersected PQ Deeps chert-garnet-grunerite Northern Iron Formation 1.2 km along strike and down plunge of the updated 2018 PQ Deeps mineral reserves, and a selection of drill intercepts are summarized in Table 1 of the appendix.
Musselwhite – Q3-2018 Drilling Results; Coordinates
Cerro Negro
Proven and probable gold mineral reserves as of June 30, 2018 totaled 5.0 million ounces, compared to 4.9 million ounces as of June 30, 2017. Mineral reserve additions of 0.7 million ounces and the increase in mineral resources of 0.7 million ounces were mainly from the Silica Cap deposit, which consist of two main veins (Silica Cap and Gato Salvaje) as well as ancillary hangingwall and footwall veins.
Detailed planning work is underway on the integration of the Silica Cap deposit with the existing Bajo Negro deposit. These deposits make up the Eastern District mining complex upon which initial development is expected in 2019. A concept study, based on the Marianas District and new Eastern District, to define optimization options for the mine is expected to be completed in the fourth quarter of 2018. This work will incorporate trade-off studies on potential mine and mill expansion and grade optimization scenarios.
IBF4
