Overview – Phase 1 Doris North Project Changes and Phase 2 Hope Bay Project Proposal Mineral Development Advisory Group Meeting October 26-27, 2010 Chris Hanks – Director ESR Hope Bay Mining Ltd.
Jan 01, 2016
Overview – Phase 1 Doris North Project Changes and Phase 2 Hope Bay Project ProposalMineral Development Advisory Group Meeting October 26-27, 2010
Chris Hanks – Director ESR Hope Bay Mining Ltd.
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Overview
Phase 1b: Bulk Sample - Type B Amend. No. 6 – submit November 2010
Phase 1: Doris North 2011 Construction-Type A Amend. No. 2– submit October 2010
Phase 1: Doris North 2012-2013 Construction-Type A Amend. No. 3 – submit November 2010
Phase 2: Hope Bay Belt Project Proposal – submit Q1 2011
Patch 14 Bulk Sample Type B Amendment
• Bulk sample to commence in Q3 2011
• Windy Road Helicopter Pad and refueling facility
• Requires amendment to existing Type B Water License 2BE-HOP0712
• No other regulatory approvals have been identified to date (will need KIA approval)
Patch 14 Bulk Sample Type B Amendment cont.
Consists of:
• All-weather roads to portal area – design will meet DFO Operational Statements for Single Span Crossings
• Pads, laydowns, surface facilities and infrastructure (e.g., emergency shelter, office, diesel generators, fuel transfer station, shop, air heating facility)
• Ore and waste rock storage areas
Patch 14 Bulk Sample Type B Amendment cont.
Consists of:
• Development of quarries to support road and pad construction
• Manage mine water from underground
• Increase in water use permitted under 2BEHOP-0712
Overview
• Tank Farm highest priority change
–Construction must commence in March 2011 in order to meet project timelines to allow tanks to be filled during 2011 sealift
• Expansion of airstrip/construction of bypass road will be built from rock quarried preparing tank foundations
• Expected construction of other facilities in package complete by end of Q4 2011
Amendment No. 2 2011 Anticipated Changes
Amendment No. 2: Fuel Tanks
Expansion of Fuel Storage and Containment Facility
• Original fuel estimates of 13 ML for Doris North too low (similar to Meadowbank, which now requires 60ML)
• Total capacity being increased to 36 ML diesel and 1.5 ML Jet A
• Propose additional tank location within 100 m of existing Roberts Bay fuel tank
Amendment No. 2: Fuel Tanks cont.
Expansion of Fuel Storage and Containment Facility
• HBML has supplemented via staged delivery of fuel from over winter ship–On site tankage environmentally superior solution
• Additional fuel needed to support Doris North Project
• No other approvals identified
• Requires amendment to approved OPPP/OPEP - Canada Shipping Act, 2001
Amendment No. 2: Change Doris Camp Water Source
Change to Doris North Camp water source from Doris Lake to Windy Lake
• Treatment of Doris Lake for potable water use has been extremely challenging
• Requires significant ongoing efforts to control persistent blue green algae
• Worker health concerns
• Windy Lake is closest alternate potable water source
• Rescan analysis has confirmed Windy Lake suitability
Amendment No. 2: Airstrip/Bypass Road
Airstrip/ bypass road
• Rock from tank farm location to expand airstrip and construct airstrip bypass road
• Will improve site safety as traffic will be eliminated from airstrip
• Will improve site access in emergency situations since larger aircraft will be able to land at site
Amendment No. 2: Cyanide/ Reagent Facilities
Revised cyanide/reagent storage facility
• No other approvals identified
Amendment to condition D24 to permit clean underground rock to be used in surface infrastructure
• Underground rock would not be used prior to geochemical testing
• SRK has provided geochemical analysis for this change
• Change would be reflected in Doris Ore and Waste Rock Management Plan
Amendment No. 2: Waste Rock Use
Expansion of ore/waste rock pads
• No other approvals identified
Amendment No. 2: Expansion of Ore/Waste Rock Pads
HBML wishes to have approval to implement the following changes to facilities and activities by the end of Q3 2011
Amendment No. 3
Doris North Mine Plan:
• Mine Doris North, Lower, Connector and Central using existing Doris North decline
• Milling rate of 800 tpd annual average
• 2-4 year extended mine life
• Some changes to surface infrastructure to accommodate change
Amendment No. 3: Mine Plan Changes
Mine plan change will create more waste rock
• Tailings storage facility can accomodate additional tailings
• Ore and waste rock storage pads will require expansion to accommodate additional volumes
Amendment No. 3: Mine Plan Changes
Mine plan change will require management of additional groundwater
• May encounter groundwater under Doris Lake
• Characterizations of groundwater indicate chemical composition akin to seawater
• Analysis currently underway
Amendment No. 3: Mine Plan Changes
Addition of water treatment plant to ensure discharge from Tail Lake meets criteria
• Environmentally superior solution
• On site laboratory will no longer be necessary
• Will require amendment to NIRB Project Certificate No. 3
Amendment No. 3: Water Treatment
Expansion of Doris North Camp capacity
• Original workforce size was underestimated
• Currently using hotel barges to accommodate shortfall
• By Q1 2012 this issue will be critical
Amendment No. 3: Doris Camp Expansion
Expansion of Doris North Camp capacity
• Solution is to add 180 person STP to Doris North Camp and expand beds accordingly
• By this time tailings facility will be constructed and will be ready to accept treated water
• In overall context of site, minimal change to footprint
Amendment No. 3 Doris Camp Expansion cont..
Early renewal of Doris North Project Type A Water Licence
• Currently set to expire in 2013 just as mine reaches production
• Original Miramar plan was for production to be completed well before the renewal date
• HBML will request a expiry date to permit production from Doris North Project to be complete before expiry
Amendment No. 3 Water Licence Renewal
Timeline: Production to commence in 2015
The following slides present preliminary designs only
• Additional Surface infrastructure will be required
• Selection of alternatives will be supported by environmental assessment process
• Preferred alternatives will be selected prior to new Type A Water Licence application
Phase 2 Hope Bay Belt Project
Phased development of the Hope Bay Belt through:
• a series of underground and open pit mines • processing facilities
• tailings facilities
• infrastructure including but not limited to:– an expanded port–new airstrip–wind farm–camps–roads
Phase 2 Hope Bay Belt Project
Phase 2 will include deposits from Madrid and Boston districts
• Deposits overlain by 100% Inuit Owned Lands
Phase 2 Hope Bay Belt Project
Mine Method
• Madrid and Boston: combination of underground development and small open pits
• Boston open pit will require shallow dikes around the edges of the deposit near the fore-shore of the lake
• All other open pits are currently proposed to be on dry land
Phase 2 Hope Bay Belt Project
Production Rate (Ore)
• Milling rate 1.5-2 million tonnes per annum.
• Total tailings production approx. 26 million tonnes for all districts•By comparison, Con Mine produced about 30 million
tonnes during its life
• Ultimate tonnages will not be determined until additional underground exploration takes place once mining commences
Phase 2 Hope Bay Belt Project
Production Rate (Waste) Approx.
• 19 million tonnes in the Madrid District
• 11 million tonnes in the Boston district
Phase 2 Hope Bay Belt Project
Water Management
• Compliance with current Canadian and Nunavut standards
• Water treatment will be required for potable camp water and the septic disposal system
• Mill, tailing underground, and open pit water will require monitoring, management and possibly treatment before release to the environment
Phase 2 Hope Bay Belt Project
Access/ delivery of fuel, equipment, and supplies
• Primarily via summer sealift through the Arctic Ocean to Melville Sound and Roberts
• Supplemented by air support
Phase 2 Hope Bay Belt Project
Infrastructure - The development of Phase 2 of the Hope Bay Project is constrained by infrastructure development, including the need for:
• expanded deep sea and shallow water port facilities
• additional airstrip
• additional winter and all weather roads, including extension of the existing all weather road
• camp facilities in each district
• additional fuel storage
Phase 2 Hope Bay Belt Project
Infrastructure, cont.
• maintenance facilities at each major mining district e.g. heliports, airstrips, reagent storage, quarries, and power generation
• portable self-contained (water, waste, maintenance, and supplies) temporary construction camps
Phase 2 Hope Bay Belt Project
Phase 2 may require construction of additional milling locations in the Boston District
•Total milling tonnages expected to be approx. 2 million tonnes per annum during this phase of the project
•Option of an expanded central mill location
•Boston mill would be conceptually similar to Doris mill, would require tailings facility
Phase 2 Hope Bay Belt Project
Mill Process
oAnticipated that flotation processes will be used:
o bulk tailings stream that will have relatively benign environmental characteristics, and
o smaller tailings stream associated with other milling processes including cyanide, which will also likely be more highly mineralized
o will include cyanide destruction circuit prior to any disposal option
Phase 2 Hope Bay Belt Project
Tailings Disposal
oPreferred option for location of Boston tailings, if Boston mill is constructed, has not yet been selected; tailing options study is in process
oNo current plan to add any additional lakes to Schedule 2 of the Metal Mining Effluent Regulations
Phase 2 Hope Bay Belt Project
Tailings disposal
• Additional flotation tailings land disposal options include dry stack facilities and new land based sub-aerial facilities
• Some placement of cyanide and flotation tailings underground is possible
•Cyanide destruction prior to deposition of cyanide tailings
Phase 2 Hope Bay Belt Project
Personnel
•During peak construction phase, up to approximately 500 personnel
•Permanent camps will house approximately 400 people, which is only slightly larger then the Doris Mine at its peak but the staff will be spread over several operating mines
•Approximately 400 personnel will be employed at the mine on a fly-in/fly-out rotation
Phase 2 Hope Bay Belt Project
Phase 2 Life of Mine
•Approximately 15 years of operation, based on current geologic knowledge
•Ongoing exploration
•Need for high standards of environmental stewardship and creating a sustainable operation that provides long term benefits for the Kitikmeot Region and Nunavut
Phase 2 Hope Bay Belt Project
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Phase 2 Baseline Studies
Baseline studies to support the Phase 2 Hope Bay Belt project include:• The Physical Environment• The Biological Environment• The Human Environment
Doris North compliance monitoring programs
Inuit traditional knowledge incorporated in all studies and project planning
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Phase 2 Baseline Studies
Studies conducted to date:• Traditional Knowledge
• Geochemistry (ongoing)
• Kitikmeot health study
• Hydrology studies (water quality and flow)
• Weather studies (evaporation and dust)
• Fish and fish habitat (incl. sea, lake and stream fish)
• Aquatic biology
• Raptor survey
• Caribou surveys
• Breeding bird and waterfowl survey
• Sea birds
• Archaeology
•Groundwater well installation and WQ Monitoring•Meteorology•Air quality and dust•Noise•Hydrology •Water, sediment, and aquatic biology •Fish and fish habitat•Ecosystem Mapping•Vegetation•Terrain, soils, and surficial geology•Wildlife and wildlife habitat•Socio-Economics and Land Use•Human health and country foods
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Phase 2 Baseline Studies
Ecosystem Mapping
Terrain, Soils, and Surficial Geology
Vegetation