The Red Mountain Gold Project is located 15km northeast of the town of Stewart within Nisga'a traditional territory and covers a prospective area of 17,125 ha. The deposit was discovered in 1989 and the property was explored extensively until 1996 by Lac Minerals Ltd. and Royal Oak Mines Ltd. with a total of 466 diamond drill holes and over 2,000 meters of underground development, along with extensive engineering and environmental baseline work. Additional studies were completed by Seabridge Gold Inc, North American Metals Corp. and Banks Island Gold Ltd.
In April 2014, IDM Mining entered into an option agreement and subsequently acquired the Red Mountain Project from Seabridge Gold Inc. In March 2019, IDM was acquired by Ascot Resources who now owns 100% of the Red Mountain Project, subject to underlying agreements and royalties. *
Ascot is currently working on an updated Feasibility Study for Red Mountain incorporating additional resources identified during 2017 and 2018, and evaluating proposed operating and development efficiencies, primarily related to underground bulk mining. The Project is in receipt of provincial and federal Environmental Assessment certificates, and a Benefits Agreement with the Nisga'a Nation.
- Developed by LAC Minerals 1990s by driving a 1,500m ramp from a top portal with numerous cross cuts (5m by 5m)
- 170km2 concession with 180,529 meters drilled largely from underground
- Completed a ~10,000 m drill program in 40 holes in Q4 2018
- Provincial EA certificate granted on October 5, 2018
- Federal Environmental Assessment approval granted January 14, 2019
- Resource Update announced June 2018: 20.7% increase in M&I ounces
- Benefits Agreement signed with Nisga'a Nation
*Seabridge will have the right to acquire 10% of the annual production from Red Mountain at a cost of US$1,000/oz for up to a maximum of 50,000 ounces. They can elect to receive a one-time cash payment of $4 million at commencement of production in exchange for the buy-back of the gold metal stream interest.