Construction
The overall plan remains on track for an early 2013
commercial start. The Westwood project expenditures, excluding
exploration, in the third quarter of 2011 totaled $30.6 million (before tax credits) (first nine months of 2011 - $88.4 million)
with significant infrastructure preparation and construction, including
the completion of a number of hoist elements, the fire detection system
with the new pump house, the waste silo foundation, and the beginning
of the ground support of the six-metre diameter ventilation shaft.
During the third quarter of 2011, shaft sinking reached 1,400 metres,
with the installation of a spill pocket and the safety bulkhead under
the 104-0 level, and underground development work including 2,200 metres
of lateral and vertical excavation achieved (first nine months of 2011 -
6,566 metres).
Exploration
Over 15,000 metres of diamond drilling was completed
during the third quarter 2011 as part of the 82,000-metre 2011
underground drill program. The costs in the third quarter were $2.2 million (before tax credits) (first nine months of 2011 - $7.6 million).
The program is designed to provide additional inferred resources and
upgrade existing mineral resources to measured and indicated categories
in tandem with the on-going underground development and construction of
the surface installations. As part of the development work, the
exploration ramp and underground drifts were extended by 1,891 metres
during the third quarter to provide better underground access for
definition drilling in the upper parts of the deposit. Better access
will also improve drill positioning to target extensions to the known
mineralized lenses at depth.
Four underground drills, working on expansion
drilling below the 132 level, drilled over 7,100 metres during the third
quarter of 2011. In addition, five drills focused on in-fill and
delineation work, drilled nearly 7,700 metres during the third quarter
of 2011. The Company is pleased with the progress year-to-date,
projected expansions to the inferred resources, and the increased
confidence in the reserves and resources.