THE ALASKA MINER JOURNAL: The publication is member-only news mailed to AMA members, eight times a year, in months when the Magazine is not published. The Alaska Miner Journal is dedicated to those who work in and support the mining industry in Alaska, its commitment to the people, and the resources of our state. Our goal is to disseminate information on responsible mineral development, educating the public about the value of mining, providing information for our membership and the general public, providing policymakers the information they need to understand the mining industry and monitor political and regulatory processes affecting mining in Alaska.
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Livengood Gold Project in Alaska’s Golden Heart
August 2022 Volume 50, Number 8
Journal of the Alaska Miners Association
Celebrating Summer and Mining Alaska
Traditional events showcase big year for Alaska miners
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August 2022 I The Alaska Miner I www.alaskaminers.org
A Message from the Executive Director
with the nuts and bolts of anything mechanical, and he was constantly looking at how to improve things. He was known for modernizing the equipment and striving to find ways to make the mine more efficient, and was always drafting new blueprints and tinkering with machines until he was satisfied. And when he was satisfied, he started a new project. At the celebration, a roving microphone was passed and countless attendees shared memories of Joe’s generosity, kindness, respect for others and infectious humor. Longtime Healy resident Judy Hundrup made a comment that I’ve thought of several times since I heard it. She said, “I am so thankful to my husband for marrying me and bringing me to this community.” In this case, community takes on a whole new meaning: tight- knit Healy, centered around Usibelli Coal Mine, full of residents and businesses that depend on it, have a deep appreciation of the mine’s contributions. It’s a success story that we know started at the top: with Joe’s leadership, and continues today. I hope you enjoy reading more in this issue about this amazing man, who did much for Alaska, as his family continues to do.
Dear Alaska Miners: I’m penning this column the morning after attending the Celebration of Life for Joe E. Usibelli Sr. in Healy. You will see much of this issue dedicated to this legend of our industry that we lost in May, and after the memories shared over the past week, it’s very easy to see why. In my 10 years at AMA, I only met Joe once, and never had the honor to spend any significant length of time with him. But listening to the person being described by family, friends, workers and members of the community warmed my heart and made me feel like I knew him. Joe Usibelli Jr. welcomed us all and made us laugh about how they both liked to be called Joe. Upon meeting them both, employees would ask, “What do we call you?” And both said “Joe.” Apparently Joe Sr., in fact, hated to be called “Senior.” Thank God I never learned this the hard way. Joe’s grandson, Nathan, did an extraordinary job telling stories from the family about the impact Joe had on his loved ones. We laughed through the story of him dropping his high school kids off at a dance and returning with a sound meter to prove the music decibels were too loud. They talked about his keen sense of humor and love of puns, affectionately terming it “punishment.”
We learned about his military service and his takeover of Usibelli Coal Mine at a very young age after his father’s death. We heard humble clips of him in an interview saying, “I should apologize to all of those people I worked with those first two years; I had no idea what I was doing.” He boasted about the team at the mine and how they were so highly talented he didn’t even really need to be there. At his celebration of life, and really any time looking at Joe’s life, you hear it repeated how highly intelligent he was. He was known to be an engineer and was obsessed AMA Executive Director Deantha Skibinski and Joe Usibelli Jr. at Mining Day at the Tanana Valley Fair.
Deantha Skibinski, Executive Director
Executive Board Bartly Kleven, President Lorali Simon, First Vice President Blake Bogart, Second Vice President Kim Aasand, Treasurer
Branch Chairmen Ted Hawley, Anchorage
The Alaska Miner is the official journal of the Alaska Miners Association, published eight times a year exclusively to our members.
Rich Sivils, Denali Ken Hall, Fairbanks Liz Cornejo, Haines Jim Clark, Juneau Houston Morris, Kenai Ken Hughes, Nome Robert Fithian, Ketchikan/Prince of Wales
It is published in partnership with the Alaska Miners Association by Fireweed Strategies LLC, 4849 Potter Crest Circle, Anchorage, AK 99516.
We actively seek contributions from our members and the mining industry. Please email story ideas and photos to Lee Leschper. Advertising Rates and New Tips For advertising information, or to submit news, story ideas and photos, call or email Lee Leschper at 907-957-6025 or Lee.Leschper@FireweedStrategies.com Alaska Miners Association Staff Deantha Skibinski, Executive Director Jennifer Luiten, Membership and Fundraising Director Darlene Strickland, Bookkeeper/Membership
Committee Chairmen Kevin Adler, Convention
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Howard Grey and JP Tangen, Federal Oversight Mike Satre and Lorali Simon, State Oversight
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Alaska Miners Association 2022 Convention & Trade Show Anchorage, AK November 6-11, 2022
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Mining Day at the Tanana Valley Fair
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Alaska mining had a big presence at the Tanana Valley State Fair, with staffers and members from both AMA and the Council of Alaska Producers passing out mining bags and info, as well as introducing fairgoers to gold panning, as (below) director emeritus and miner extraordinaire Roger Burgraff is doing.
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UAF Engineering Building Named for Joe Usibelli
The University of Alaska Fairbanks has named its engineering building for UAF alumnus, philanthropist and miner Joseph E. Usibelli. UAF hosted a naming ceremony Aug. 4 in Cornerstone Plaza outside the building. At its June meeting, the UA Board of Regents approved naming the building for Usibelli, who died in mid-May after a long-term illness. “My family has strong roots at UAF,” said Joe Usibelli Jr., Usibelli Coal Mine president. Both he and his father graduated from the university, as did several other family members. The mine has employed many UAF alumni over the years. Joe Usibelli Jr. also served on the University of Alaska Board of Regents from 1999- 2007. “We know firsthand how beneficial the university is to the people, businesses and communities of Alaska,” he said. Joe Usibelli graduated from the University of Alaska with an engineering degree in 1959. Five years later, at age 25, he became president of Usibelli Coal Mine when his father and mine founder Emil Usibelli died suddenly. Usibelli turned over the company presidency to his son in 1987 but remained board chairman until his
death. Usibelli’s personal commitment to
philanthropy — which he shared with his wife, Peggy Shumaker — created the same culture within his company and family. Over the years, that philosophy has led to the creation of the Emil Usibelli Distinguished
Teaching, Research and Service Awards and four endowed scholarships that support 15 students each year. In addition, support from the Usibelli family and the Usibelli Coal Mine have helped UAF complete construction of the engineering building, finish expansion of the University of Alaska Museum of the North and launch a campaign to renovate the museum’s Gallery of Alaska. The UAF engineering building will be named the Joseph E. Usibelli Engineering Learning and Innovation Building. “Joe Usibelli’s philanthropic impact on the University of Alaska Fairbanks spans the disciplines,” said UAF Chancellor Dan White. “In particular, the three hallmark faculty awards given each year are made possible by the Usibellis’ generosity and their desire for a rich educational environment and overall faculty excellence.” During its centennial year in 2017, UAF honored the Usibelli family as one of three philanthropists of the century. The Joseph E. Usibelli Engineering Learning and Innovation Building opened for classes in January 2018. It added 130,000 square feet of space, including a high-bay lab, nine teaching labs, nine research labs, two maker spaces, several new classrooms and offices for the Alaska Center for Energy and Power. The building was designed to the silver standard set by the Leadership in Energy and Environmental Design program and, since opening, has outperformed those measures, saving the university approximately 30% in energy costs, compared to other similar buildings. The building also contains sensors that allow real-time monitoring during high wind or seismic events, a first for a building in Interior Alaska and one of only a few such buildings in the state.
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August 2022 I The Alaska Miner I www.alaskaminers.org
Hecla Mining Company Acquires Alexco Resource
• A fully permitted property with infrastructure that includes a 400 tonne per day mill, on-site camp facility, all-season highway access, and connection to the hydropower grid • Increases Hecla’s silver exposure by increasing proven and probable silver reserves 19% to 237 million ounces, measured and indicated resources 24% to 257 million ounces and inferred resources 7% to 523.7 million ounces • Potential to be Canada’s largest silver producer Benefits to Alexco Shareholders • Delivers an immediate up-front premium to Alexco shareholders • Allows advancement of Keno Hill’s development with an immediate and non-dilutive interim financing • Partners with the United States’ largest silver producer • Transitions from a single asset and its development risk to a diversified production base of long-lived mines and a portfolio of high-quality exploration projects • A strong balance sheet to invest in Keno Hill and continue its history of resource expansion • Enhanced capital markets profile with increased analyst coverage and trading liquidity
COEUR D’ALENE, IDAHO — Hecla Mining Company and Alexco Resource Corp. are pleased to announce a definitive agreement for Hecla to acquire all of the outstanding common shares of Alexco that Hecla does not already own. Each outstanding common share of Alexco will be exchanged for 0.116 of a share of Hecla common stock implying consideration of US$0.47 per Alexco common share and a premium of 23% based on the companies’ 5-day volume weighted average price on the NYSE and NYSE American on July 1. In addition, Hecla will provide interim financing to provide working capital and ensure the development and exploration at Keno Hill continues to be advanced and subscribe for additional common shares bringing its ownership stake to 9.9%. Hecla has also entered into an agreement with Wheaton Precious Metals Corporation (WPM) to terminate its silver streaming interest at Alexco’s Keno Hill property in exchange for US$135 million of Hecla common stock conditional upon the completion of Hecla’s acquisition of Alexco. Benefits to Hecla Shareholders • A large, high-grade silver property in the Yukon, a top 10 rated jurisdiction by the Fraser Institute
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The Durability Project
Thank you to these companies, organizations and individuals who have pledged their support to AMA’s Durability Project! Your Contributions are invaluable in helping to ensure the future success of AMA’s mission and outreach.
HARD HAT HEROES
CORE SUPPORTERS
Construction Machinery Industrial, LLC
Coeur Alaska-Kensington Mine
Contango Ore, Inc.
Constantine Mining, LLC
Hecla Greens Creek Mining Company
Donlin Gold LLC
Soloy Helicopters
Gold Buyers of Alaska: GBA Assaying & Refining
Usibelli Coal Mine
HighGold Mining Inc.
Kinross Alaska
NANA
Northern Star (Pogo) LLC
Oxford Assaying & Refining Corp
Pebble Limited Partnership
Redpath USA Corporation
Ruen Drilling, Inc.
Taiga Mining Company
Teck Alaska Red Dog Operations
Join this list - Sponsor today at www.alaskaminers.org/durability-sponsors
BLAST BUDDIES
Golder Associates Inc.
Petro Marine Services
ACZ Laboratories
Graphite One (Alaska) Inc.
Pro-Seal Service Group
Alaska Aggregate Products , LLC
H2T Mine Engineering Services LLP
Sandvik Mining and Rock
Alaska Land Status
Hawley Resource Group
Technology Sealaska Corporation
Alaska Minerals Inc.
HDR
SLR International Corporation
Aurora Resource Exploration LLC
Heliostar Metals Ltd
SRK Consulting
Austin Powder Company
Hyak Mining Company
Stantec Consulting Services Inc.
Automatic Welding & Supply Corp.
Hy-Tech Drilling
Stevens Exploration Management Corp Stoel Rives LLP
Avalon Development Corp
International Directional Services
BGC Engineering Inc.
Jade North LLC
Boart Longyear Company
Surveyors Exchange Co
Jeffress & Associates
Boreal Environmental Services
The Law Office of James F. Clark
J P Tangen Attorney at Law (PC.)
Borell Consulting Services LLC
TOTE Maritime Alaska Inc
Kuna Engineering
ConocoPhillips
Trilogy Metals Inc.
Lawrence V. Albert Attorney at Law
Contech Engineered Solutions
Tundra Consulting, LLC
Lynden
Core Geoscience LLC
Ucore Rare Metals Inc.
Matson
Denali Industrial Supply, Inc
US Ecology Alaska, LLC
McKinley Research Group, LLC
DGI Geoscience US Inc.
Weir Minerals North America
Millrock Resources Inc.
Doyon, Limited
Western Alaska Copper & Gold
Mining and Petroleum Training Service Minto Development Corporation
Elemetal Direct
Wood & Wood Technical
Energy Laboratories Inc.
Zonge International Inc.
Motion & Flow Control Products
Fairweather, LLC
Individuals:
Northrim Bank
Fireweed Strategies,LLC
Paul Glavinovich
Northspan Drilling Ltd.
Freegold Ventures Limited
David Heatwole
Nova Minerals Limited
Frontier Supply
Ken Hall
Orica USA Inc.
Larry Peterson
General Refining and Smelting Corporation
John Shively
Owl Ridge Natural Resource Consultants
Richard Lessard
GeoMetallica
Paul & Company
Join this list - Sponsor today at www.alaskaminers.org/durability-sponsors
Perkins Coie LLP
Red Dog Mine Posts Another Strong Quarter
compared to the second quarter of 2021 to expected shifts in ore grades at Red Dog. The ore fed into the mill at Red Dog during the second quarter of this year averaged 16.8% zinc and 3% lead, compared to 14.1% zinc and 4.3% lead during Q2 2021. The strong zinc output at Red Dog comes during a quarter that the price for a pound of this galvanizing metal averaged US$1.78, a 4% increase over the US$1.70/ pounds average for the first quarter of this year and a 35% jump over the US$1.32/pounds during Q2 2021. The zinc price, however, began dropping late in the second quarter and is currently sitting around US$1.40/ pounds. This pullback in the price of this metal vital to a large swath of the global economy is due to concerns over inflation, high energy prices, and a possible recession, which has caused buyers to slow purchases and focus on adjusting inventories until clarity returns to the market.
North of 60 Mining News Teck Resources Ltd. has reported another quarter of strong zinc production and revenues from its Red Dog Mine in Northwest Alaska. During the second quarter of this year, Red Dog produced 143,800 (317 million pounds) of zinc, 9 percent higher than the 131,600 metric tons (290.1 million pounds) produced during the first quarter of this year and a slight increase over the 140,300 metric tons (309.3 million pounds) produced during the same period of 2021. Second quarter lead production at Red Dog was 21,000 metric tons (46.3 million pounds), down slightly from the 21,500 metric tons (47.4 million pounds) produced during the first quarter and a 25% drop from the 28,500 metric tons (62.8 million pounds) produced during the same period last year. Teck attributes the differences in metals output
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Missed an issue of The Miner Journal? All editions of The Alaska Miner Journal are online at: alaskaminers.org/ monthly-journal. Help us spread good news about mining in Alaska!
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Kinross Greenlights Manh Choh Gold Mine
silver. The study details a plan to truck high-grade ore mined from two pits at Manh Choh roughly 250 miles to Kinross’ Fort Knox Mine north of Fairbanks, Alaska. This ore is to be processed through the existing Kinross Alaska mill and the tailings stored on the Fort Knox property. With the addition of high-grade ore from Manh Choh, which will be roughly 10 times higher than ore currently being processed through the Kinross Alaska mill, the gold production at Fort Knox is expected to jump to 400,000 oz per year for the currently anticipated 4.5 years of mining at Manh Choh. Leveraging the existing facilities at Fort Knox eliminates the need to permit, finance, and build a mill and tailings facilities at Manh Choh. Operating what will essentially be a rock quarry operation will also significantly reduce the environmental disturbance and lowers the overall greenhouse gas emissions, compared to developing and operating new processing and tailings storage facilities onsite. While inflation has pushed up the costs originally estimated for both building and operating the Manh Choh Mine, so have the gold grades.
North of 60 Mining News Roughly 1 million ounces of gold-equivalent is expected to be mined from two small pits at the Manh Choh project in Alaska. With the recently completed feasibility study showing an economically robust project, Kinross Gold Corp. has officially decided to move forward with developing a mine at the Manh Choh gold-silver project near the Village of Tetlin. “At Manh Choh in Alaska, we completed a feasibility study ahead of schedule, and are proceeding with a project that we expect will add approximately 640,000 lower-cost gold ounces to our production profile over its life of mine in one of the world’s best mining jurisdictions,” said Kinross Gold President J. Paul Rollinson. Being developed under a joint venture between Kinross (70%) and Contango ORE Inc. (30%), the Manh Choh mine detailed in Kinross’ feasibility study is expected to produce roughly 1 million gold-equivalent oz, which includes the value of both the gold and silver recovered, over 4.5 years. This operation is based on 3.9 million metric tons of proven and probable reserves averaging 7.88 grams per metric ton (998,000 oz) gold and 13.6 g/t (1.7 million) oz
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MinerJournal.indd 1
9/29/21 2:44 PM
New Book Looks Back at Livengood History, Family
The Kings of Slate Creek By Larry Livengood
In 1897, Ross Livengood and his first cousin Jay were chosen by the directors of a newly formed mining co- operative to join a group of men that they were sending to the Klondike region of Canada to prospect for gold. The company, headquartered in Sandusky, Ohio, was organized by five local businessmen who agreed to direct and invest in the venture. The company’s goal was to profit from the recent gold discoveries in Canada that were being chronicled in newspapers across the nation. The ensuing saga of the “Sandusky Klondikers,” as they were called is based upon letters that the prospectors sent home to their friends and families. The letters, which were reprinted in the local newspapers, related details of their daily activities as they searched for gold in the wilderness of Alaska. Exploration continues to this day on prospects new modern-day Livengood. The book is available now on Amazon.com
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Golf Tournaments Help Support Alaska Resource Education
Golf tournaments in Anchorage and Fairbanks this summer raised hundreds of thousands of dollars to help support Alaska Resource Education’s great work to educate both young Alaskans and their teachers about
the importance of resource education in Alaska.
Photos by Judy Patrick
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Corporate Members
Please support and thank these companies who have renewed their support and corporate membership in AMA. Their continued support makes possible all the work we do in and for the mining industry. A & D Drilling ACZ Laboratories Inc. Advanced Supply Chain International LLC AECOM Ahtna Inc. AIDEA Alaska Aggregate Products LLC Alaska Airlines Horst Expediting & Remote Operations Inc. Hy-Tech Drilling USA Ltd. Hyak Mining Company IBEW Local 1547 Idaho Mining Association Industrial Pumps of Alaska
Property Rights Foundation of America, Inc. Prospectors & Developers Association of Canada Ram Enterprise, Inc. Ravn Alaska Redpath USA Corporation Remote Made Easy (PSSA) Remote Site Services Inc. Resource Development Council RESPEC Company, LLC Rotak Helicopter Services Roughstock Mining Services LLC Royal Gold Inc. Ruen Drilling Inc. Ryan Air Inc. Samson Tug & Barge Sandvik Mining and Rock Technology Sealaska Corporation Shoreside Petroleum Inc. SLR International Corporation Society For Mining, Metallurgy & Exploration Soloy Helicopters LLC Sophie Station Suites - Fountainhead Hotels Sound Quarry Inc. Southeast Conference SRK Consulting Stantec Consulting Inc. Stoel Rives LLP Sundance Mining Group Swick Drilling North America T & J Enterprises Inc. Taiga Mining Company Inc. TDX Corporation Teck Alaska Inc. - Red Dog Tectonic Metals Inc. Temsco Helicopters Inc. The Alaska Support Industry Alliance The Silver Institute TOTE Maritime Alaska Tower Hill Mines Inc. - Livengood Project Trilogy Metals, Inc. Tyler Rental Inc. Ucore Rare Metals Inc. University Redi-Mix
Colorado Mining Association Columbia River Carbonates Commonwealth North CONAM Construction Company ConocoPhillips Alaska Inc. Constantine Metal Resources Ltd. Construction Machinery Industrial LLC Consumer Energy Alliance Contango Ore, Inc. Cook Inlet Region, Inc. (CIRI) Craig Taylor Equipment Company Crowley Fuels LLC Cruise Lines International Alaska Cryopeak LNG Solutions Cummins Sales & Service Cyr Drilling USA Inc. Dawson City Chamber of Commerce Delta Constructors Delta Industrial Services Inc. Denali Industrial Supply Inc. Desert Air Alaska DGI Geoscience US Donlin Gold LLC Dorsey & Whitney LLP DOWL Doyon, Limited DXP Alaska Pump & Supply Eastern Oregon Mining Association Ecological Land Services Inc. Energy Laboratories Inc. Equipment Source, Inc. ERM Alaska ESS Support Services Everts Air Cargo F.R. Bell & Associates, Inc. Fairbanks Economic Develpment Corporation Fairweather LLC First Bank First Things First Alaska Foundation Freegold Ventures Ltd Frontier Supply Company GCI Business General Refining Corporation Geosyntec Consultants Geotemps Inc. Global External Global Physical Asset Management, Inc. Gold Buyers of Alaska -dba:GBA Assaying & Refining Granite Construction Company Graphite One Inc. Graymont Great Northwest Inc. Greater Fairbanks Chamber of Commerce Ground Truth Americas Inc. HDR Hecla Greens Creek Mining Company Heliostar Metals HighGold Mining Ltd Holland & Hart LLP Holland America Line - Princess Cruises
Institute of Northern Engineering International Directional Services Ipop LLC ISCO Industries JCM Industries Inc. Juneau Economic Development Council Just Refiners USA, Inc. Kinross Alaska Klondike Placer Miners’ Association Knight Piesold & Company Koza Ltd USA Inc Lifewater Engineering Company Lignite Energy Council Lynden M-W Drilling, Inc Madison Lumber & Hardware Inc. Mascott Equipment Company Matson McKinley Research Group Metco Alaska LLC MFCP Millrock Resources Inc.
Alaska Business Alaska Chamber Alaska Coastal Aggregates LLC Alaska Commercial Fishing & Agricultural Bank Alaska Forest Association Alaska Frontier Constructors Inc. Alaska Industrial Hardware Inc Alaska Oil and Gas Association Alaska Policy Forum Alaska Power & Telephone Company Alaska Railroad Corporation Alaska Resource Education Alaska Rock Products Association Alaska Roteq Alaska Trucking Association Ambler Metals LLC American Exploration & Mining Association American Land Rights Association Anchorage Chamber of Commerce
Anchorage Sand & Gravel Inc. Arcticom LLC, a BSNC Company Arizona Mining Association Aspen Hotels of Alaska
Mitsubishi Materials USA Corp Montana Mining Association Motion Industries NANA National Mining Association Nelson Irrigation Corporation Nevada Mining Association New Mexico Mining Association
Associated General Contractors of Alaska Association for Mineral Exploration British Columbia Aurora Geosciences (Alaska) Ltd. Automatic Welding & Supply Avidian Gold Corporation AVTEC - Alaska Vocational Technical Center BDO USA, LLP Beacon Occupational Health and Safety Services, Inc. Blackwolf Copper & Gold Ltd. Bobcat of Juneau Boreal Environmental Services Boyer Towing Inc. Brenntag Pacific Brice Inc. Brilliant Media Strategies Alaska, Inc. Brownson Bros Builders Choice Modular, LLC C & R Pipe and Steel Inc. CalCIMA Calista Corporation Carlile Chamber of Mines of Eastern British Columbia Chugach Alaska Corporation City of Ketchikan Coastal Helicopters Coeur Alaska - Kensington Mine Colaska
NISS NMS North Star Terminal & Stevedore Co. LLC Northern Air Cargo Northern Industrial Training, LLC (Anchorage) Northern Industrial Training, LLC (Palmer) Northern Permafrost Consulting Northern Star (Pogo) LLC Northrim Bank Northspan Drilling Ltd. Northwest Mine Supply Northwest Pump Northwest Territories & Nunavut Chamber of Mines Nova Minerals Limited NovaGold Resources Inc. Orica USA Inc. Oxford Assaying & Refining Pathfinder Aviation, LLC
US Ecology Alaska, LLC Usibelli Coal Mine Inc. Utah Mining Association Veritiv Visit Anchorage Weir Minerals
Wells Fargo Bank Alaska Western Alaska Minerals Western Pacific Crane & Equipment
White Rock Minerals Ltd. Wolseley Industrial Group Women’s Mining Coalition World Trade Center Alaska Wyoming Mining Association Yukon Chamber of Mines Zonge International Inc.
Pebble Limited Partnership Peggy Petroleum Products Perkins Coie LLP Petro Marine Services PND Engineers Inc. PolarX Limited
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New and Renewing Members
Thank you to all the AMA corporate and individual members who joined or renewed their membership to the association in May and June. You make AMA possible! Corporations ACZ Laboratories Inc. Alaska Industrial Hardware Inc Aspen Hotels of Alaska Automatic Welding & Supply Avidian Gold Corporation Boreal Environmental Services Coeur Alaska - Kensington Mine CONAM Construction Company Constantine Metal Resources Ltd. Construction Machinery Industrial LLC Delta Industrial Services Inc. Doyon, Limited Energy Laboratories Inc. GCI Business General Refining Corporation Bronk Jorgensen Christopher & Tanya Race Professionals Lawrence V Albert Samuel Anderson James Barker Brian R Erickson Tina Grovier Rich & Virginia Hughes Doug Myers Susan Karl & Steve Teller Bob Tsigonis Nick Enos Bob Estey Mick Ewing Dylan Faber Dan Fabrello Myron Fanning Robert Fithian Carol Fraser Curtis Freeman James Fueg Judy Geraghty Ken L Gerondale Jr. Tathagata Ghosh Dennis Gibson Matt Gill Gabe Graf Don & Carolyn Gray Jon Hager Robert A Hall Thomas & Louise Hall J Garfield MacVeigh Cathleen Mala Paul & Joni Manuel David & Victoria Manzer Mike Mark-Anthony Kit & Joan Marrs Anthonie Martini Jamie Marunde Dan & Beverly May David J May Sam Mazzeo Suzanne H McCarthy Mara McGrath Tim McKay Kevin McKinley Roger Mechon Jamie & Shannon Meier Paul A & Marie A Metz Jim Minter Bob Morrell Richard Morris Dick Mylius
Individuals Lonnie Adams Chasity Anelon Bryan Arnold Kelly Arnold Samuel (Randy) Bailey Arne Bakke Steve Ball Gregory Beischer William Bieber Click & Darlene Bishop Russ Blood Gerald G Booth Randy Brand Sam Brice Darcy Buchanan John R Burns Bob Buto Aaron Calhoon Eric Cannon
Anton J Hanak Adam Hawkins Mike Heatwole David Heflinger Joseph Henri Jocelyn Herman Jerry Hill Blake Hillis David W Hoeffel Brian Hoefler John Horjes Josh Horst Michael Hromadka Mark Huffington Mike Huston Janyce Ibele Nikolai Ivanoff Larry & Adela Jackson Chris Johnson Peter Kachadurian Tim J. Kelly Harmen Keyser Zac Kissee
Douglas Olerud Margie Olympic Bill Orchow Merrill & Penny Palmer Tom Parker
Geotemps Inc. Global External
Great Northwest Inc. JCM Industries Inc. Matson MFCP Millrock Resources Inc. Mitsubishi Materials USA Corp NMS Oxford Assaying & Refining Pebble Limited Partnership PolarX Limited RESPEC Company, LLC Sundance Mining Group University Redi-Mix US Ecology Alaska, LLC Wells Fargo Bank Alaska Western Alaska Minerals White Rock Minerals Ltd. Operators Ralph S & Irene Anderson J. Scot Cummins
Joseph Perkins Ryan Peterson
Argile E Pettit Walter Phillips Steve & Christine Pomrenke Gene Pool Chris Puchner Ann Quinlan Leo B & Erna S Rasmussen Samuel W Reves Mike Rieser Victor Ross Isaac J Rowland Steven R & Debbie Rowland
Jason Carlson Nathan Chutas
Richard Clement Albert H Clough Truman G Coffield Mike Colombie Rod Combellick Tom & Donna Cooper Nate DeMars Jack DiMarchi Curtis Dufendach Ernest H Dummann Duane Ellingson Matt Emerson
Dan Sanders Ted Schachle Jeanine Schmidt Mike Scholz Millie Schoonover Brad Scott Mark Sebens Neil Shibe
Thomas Krolak Diana Lapham Kathi & Jerry Lapp Sarah Lefebvre John Lukens Jonnie C Lynch
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August 2022 I The Alaska Miner I www.alaskaminers.org
New and Renewing Members
John Shively Michael R Smith Patrick Smith Peter Spera
Bob S Tucker Darell Tweet William & Misty Tweet Evan Twelker Cecil Urlich Tim J VanWyngarden Allen Vezey Jesse Walker Keith Warren David & Twyla Webber Steven Wenk Debra Whitbeck Jen Wieland
Clint Winzenburg John E Wood John & Priscilla Woodman
Jeff Wray Jerry Zieg Varina Zinno
Michele Stevens Joel M Stratman Mark Swisher David (Zoom) Szumigala Frazer Tabeart Jessica Taft Alycia Thomas Dino Titaro John J Trautner
Not yet a member of the Alaska Miners Association? Or have not yet renewed your membership for 2022? Renew today so you don’t miss a single issue of The Alaska Miner or this year’s 2022 Alaska Miners Handbook and Service Directory, available only to AMA members. Call or email Jennifer Luiten, Membership and Fundraising Director 907-270-9232; jennifer@AlaskaMiners.org.
Fort Knox Gold Output Hits Four-Year High
of 2021. Kinross said the drop from the first quarter is primarily a result of more gold being sold, and the annual cost increase is mainly due to inflationary pressure on consumables.
North of 60 Mining News Kinross poured 77,184 oz of gold at its Fort Knox Mine in Alaska during the second quarter, the highest in four years. Kinross Gold Corp. July 27 reported that its Fort Knox Mine produced 77,184 ounces of gold during the second quarter of 2022, which is the highest quarterly gold production at the Interior Alaska operation in four years. The company attributed the strong quarterly gold output to a combination of higher-grade ore being fed into the mill, increased mill throughput, and more gold recovered from the heap leach pads. During the second quarter, the Kinross Alaska mill at Fort Knox processed 2.26 million metric tons of ore averaging 0.72 grams per metric ton gold, compared to 1.85 million metric tons averaging 0.66 g/t gold processed during the previous quarter. During the quarter, crews also stacked 12.8 million metric tons of ore averaging 0.19 g/t gold on the Barnes Creek heap leach pad at Fort Knox, which is similar to the 13 million metric tons averaging 0.17 g/t gold during the first three months of this year. The 12.9 million metric ton average of ore stacked on the heap leach pad this year is roughly 60% higher than the 8.1-million-metric-ton quarterly average stacked on heap leach pads during 2021, which is expected to equate to increased gold from the heap leach this year. The per-ounce cost of Fort Knox gold sold during the second quarter of this year was US$1,196, a 7% drop from the US$1,276/oz production cost of sales during the previous quarter but a 10% increase when compared to the $1,089/oz cost during second quarter
J.P. TANGEN Attorney at Law (P.C.) ALASKA’S MINING ATTORNEY FROM PROSPECT TO RECLAMATION
907-222-3985 Toll Free 877-414-3985
P.O. Box 297 · Hansville, WA 98340 jpt@jptangen.com · skype: jptangen www.JPTangen.com
Rainer Trucking Inc. P.O. Box 72905 Fairbanks, AK 99707 EMAIL rainertruckinginc@yahoo.com PHONE (907) 457-2000 FAX (907) 455-4614
2 to 14 Axle Combinations Licensed & Bonded Lowboys
Flats Vans
Rainer Equipment Inc. 2552 Steese Hwy. Fairbanks, AK 99712 PHONE (907) 457-8109 FAX (907) 457-2014
Mining Salvage and Reclamation
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Alaska Mining Calendar
n Mining Day at the Alaska State Fair: Palmer, Aug. 20 n UAF Critical Minerals Summit hosted by UAF: Aug. 22-23, Fairbanks. Visit akminerals.alaska. edu for more information. n AMA Annual Convention and Trade Show: Nov. 6-10, Anchorage. Visit AlaskaMiners.org for more information.
Dedicated to responsible development of Alaska’s resources.
Geologic Consulting Geologic Staffing Geologic Engineering Reporting (including 43-101) Logistics/ Operation Coordination Remote Sie Management GIS Services Permitting Assistance Community Engagement Claims Staking Claims Administration Equipment Rental
AMA Branch Meetings
n AMA Statewide Branch meetings are scheduled bi-monthly through September 2022. These meetings are hosted on Zoom and take place at 7 a.m. Friday. For meeting schedule, please visit www. alaskaminers.org/ama-member-branches n Branches are meeting in-person! For your local branch schedule, please visit www.alaskaminers.org/ama- member-branches or contact Jennifer at jennifer@alaskaminers.org for information
— JUNEAU, ALASKA — AVAILABLE STATEWIDE
✓ CONSTRUCTION ✓ EXPLORATION ✓ CONTRACT
✓ SUPPORT ✓ CHARTER
Follow Alaska Miners Association on Twitter: @AlaskaMiners
operations@coastalhelicopters.com 907-789-5600 www.coastalhelicopters.com
And on Facebook: AlaskaMiners
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August 2022 I The Alaska Miner I www.alaskaminers.org
GOLD & SILVER BULLION IS A GREAT INVESTMENT.
Buy from an Experienced and Trusted Local Dealer. Protect Yourself from In ation and an Unstable Global Economy.
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Livengood Gold Project in Alaska’s Golden Heart
Updated Pre-Feasibility Study (PFS) in November 2021
Budget of $3.7 million. Continue the focus on metallurgical studies to better de ne and re ne the project owsheet. 2,000 kg of metallurgical composites being processed: Evaluate the optimum grind size Determine whether di erent recovery parameters should be applied across orebody • • • Whittle Enterprise Optimization to identify optimal project configuration • BBA, Inc. to continue as lead consultant • Updated PFS to be complete in October 2021 • Work plan will further de-risk project Updated Pre-Feasibility Study (PFS) in November 2021 • Mineral resource: 13.6m oz gold at 0.60 g/t. • Gold production: 6.4m oz for 20-year Life of Mine (LOM), annual 317,000 oz. • CAPEX $1.93B, Sustaining Capital $658m. • All-in Sustaining Costs (AISC) years 1-5 $1,038/oz, LOM $1,171/oz. • Direct employment: 800 construction jobs, 331 production jobs. BBA Inc. retained to continue guiding metallurgical program. 2017 PFS showed Improved Project (as compared to 2013 Study) • Project size optimized at 52,600 tons/day • 6.8 million ounces of gold produced over 23 years • All-in Costs (AIC) down more than $250/oz to $1,247/oz We will continue to prepare for futu re potential permitting and construction, while also conducting baseline environmental studies. Livengood Gold Project: highly levered to the gold price with the opportunity to be a successful Alaska gold mine for decades for decades to come. • Production Costs before Capital $878/oz • All-in Sustaining Costs (AISC) $976/oz Project Metrics based on 2017 PFS • 6.8 million ounces of gold produced over 23 years • Production Costs before Capital $878/oz • All-In-Sustaining Costs (AISC) $976/oz • All-In-Costs (AIC) $1,247/oz *April 10, 2017 NI 43-101, Pre-Feasibility Study Livengood Gold Project: highly levered to the gold price with the opportunity to be a successful Alaska gold mine for decades to come. We will continue to prepare for future potential permitting and construction, while also conducting baseline environmental studies.
ITHMINES.COM
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