Wesdome Gold Mines stock soars on new gold discovery at shuttered Quebec mine – by Peter Koven (Financial Post – August 25, 2016)


When Quebec’s Kiena gold mine was shuttered back in 2013, it was believed that all the best pockets of ore were mined out. Now that assumption is being tossed out the window.

Shares of Wesdome Gold Mines Ltd. soared 49 per cent on Thursday, closing at $2.24, after the Toronto-based miner revealed spectacular drilling results from Kiena. They included a couple of long intercepts of more than 18 grams per tonne of gold.

Kiena, which opened back in 1981, was a relatively low-grade operation throughout its life. There was no recent indication that it had this kind of high-grade potential.

“This is good news for Wesdome for sure, and it really puts a re-focus on the Kiena mine, which a lot of people have written off,” chief executive Duncan Middlemiss said in an interview. He took over as CEO less than two weeks ago, so this was a nice way for him to begin his new role.

Kiena is located in Quebec’s Val d’Or camp, where gold mining has been going strong for more than 80 years. Wesdome’s new discovery, along with recent finds by Integra Gold Corp. and others, prove the region still has plenty of mineral potential. “How many times have we seen this in Canadian mining?” Middlemiss said.

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