SSR Mining (TSX:SSRM) has unveiled a new 20-year mine plan for its Marigold Gold Complex in Nevada, US, which it says could increase life-of-mine gold production by more than 50%.
A technical summary released on Tuesday outlined a fresh 20-year operating plan for the gold complex extending through 2050, including 15 years of active mining.
Under the updated plan, Marigold is expected to produce an average of 231,000 ounces of gold annually over the first five years, followed by approximately 201,000 ounces per year through 2040.
Average annual production over the entire mine life is estimated at 169,000 ounces.
The new plan is supported by a 43% increase in Marigold’s gold reserves from the end of 2025, bringing the total to 4.6 million ounces.
This includes a maiden reserve of 700,000 ounces at the Buffalo Valley project, where first production is expected in 2029.
Life-of-mine production boost
SSR Mining Executive Chairman Rod Antal says the updated mine plan reinforces Marigold’s position “as a premier, multi-decade asset” in the US.
“Over the next three years, we plan to invest in Marigold to modernise the operation for future success through fleet and heap-leach pad expansions that aim to improve its operational flexibility and reliability,” Antal says.
“Longer term, the mine is expected to average 200,000 ounces of gold production annually through 2040, delivering a more than 50% increase in life-of-mine production over the prior mine plan.”
Based on the updated production profile, Marigold has an estimated after-tax net present value (NVP), discounted at 5%, of US$3.3 billion ($4.73 billion), using a consensus average gold price of US$3,948 per ounce.
Total life-of-mine capital expenditure is estimated at approximately US$1.39 billion, including US$669 million in sustaining capital.
Exploration upside
The technical report also highlighted further exploration potential across the Marigold complex, with 1.7 million ounces of indicated mineral resources outside the current reserve base, along with an additional 300,000 ounces of inferred resources.
Located in Humboldt County, Marigold is a large run-of-mine heap-leach operation comprising multiple open pits, waste rock stockpiles, leach pads, and gold-processing facilities.
The mine has operated continuously since 1989. SSR acquired Marigold in 2014 and subsequently expanded its landholdings through the purchase of adjacent properties.
Headquartered in Denver, SSR Mining operates gold and silver mines in the US, Canada, and Argentina.
Write to Jackson Chen at Mining.com.au
Main Image: SSR Mining
