The Government of Canada confirmed on Thursday C$500 million ($352 million) in financial support for the Red Chris Block Cave expansion project in British Columbia — part of a push to fast-track major mining projects in the country.
“We will invest $500 million to expand Red Chris Mine, which will increase Canada’s annual copper production by more than 15%, support critical minerals demand for clean energy and manufacturing, and reduce greenhouse gas emissions by over 70% once operational,” the PMO said in a statement.
The Red Chris copper-gold porphyry deposit in BC’s Golden Triangle is a massive mineral endowment containing an estimated 20 million oz. of gold and 13 billion lb. of copper across its measured, indicated and inferred resources.
Colorado-based Newmont (NYSE: NEM, TSX: NGT), the world’s largest gold miner, holds a majority ownership and operates Red Chris in partnership with Canada’s Imperial Metals (TSX: III) which holds a 30% joint venture stake.
Last month, the project received crucial regulatory approvals, paving the way for a transition from open-pit mining to an underground operation and extending its lifespan into the mid-2040s.
“Newmont welcomes the Government of Canada’s announcement of a CA$500 million contribution to support the Red Chris Block Cave project,” the miner said in a statement.
“As we advance through our approval process toward a final investment decision, this commitment strengthens the business case for the development of a world-class copper-gold operation.”
Newmont is currently completing a definitive feasibility study for the project. The Red Chris Block Cave is expected to create more than 1,800 jobs during construction and sustain a total approximate workforce of 1,500 peak-season operational roles.
