Could you provide an update on Evolution Mining and the activity at the Red Lake gold mine?

2024 was a year of consolidation at Evolution Mining. We acquired the Northparkes copper and gold mine located in NSW, Australia, in December 2023, and throughout the year, we produced record profits, margins and cash flows. The first half of 2024 was difficult at Red Lake due to several operational issues, but then, through the second half, reliability and consistency increased, augmenting production and reducing costs. It has been a tricky start for us at Red Lake despite our faith in the operation, and this belief in what we are doing has paid off, as we are seeing quarter-on-quarter improvements. Coupled with a rising gold price, Red Lake is well-positioned to keep improving in the future. 

What are your priorities for the Red Lake gold mine moving forward? 

The priority at Red Lake is to achieve consistency and generate positive cash flow with a margin on every ounce. The first step will be to reach 150,000 oz/y, with this year’s guidance placed at 125,000 oz/y to 145,000 oz/y. Once we achieve consistency and reliability in the operation, we will then consider options to increase production and lower overall unit operating costs. By taking the pressure of this goal away from our workforce, they have become more efficient, and it has given us a good base to move forward with. 

How do your experiences working in Canada compare to those in Australia?

We are now four and a half years into our ownership of Red Lake, and we have found working with the local community and various governmental organizations to be smooth and reliable. We have learned a lot about how to operate in the region, and similarly, people have learned how Evolution Mining operates, especially from a safety and environmental standpoint. Doing business in Canada does not differ much from Australia, although there are some regulatory differences we have had to navigate. At Evolution Mining, we seek to evaluate the minimum requirement of each regulation and then compare this with our company philosophy. We then implement whichever is most comprehensive to protect our workers and the surrounding community. 

Are there updates from your Lake St. Joseph and October gold projects?

Our discovery team remains focused on these two projects, allowing us to implement drilling programs with great opportunities to expand in Ontario. We will make decisions as to where we take both projects at the end of the financial year. Accompanying our investment in these projects will be significant on-the-ground research before an eventual exploration if we see fit. 

What advice do you have for junior companies looking to move forward with their projects?

I feel for junior companies as it has been a difficult market these last few years, especially to attract the necessary funding. With rising interest rates, many have struggled to access debt financing and equity. In my experience, many juniors do not want to become producers themselves and thrive in the exploration and discovery stages. My advice is to be open to working with mid-tier and major companies that want to build and operate their assets and remain open to taking equity stakes in such projects. There have been examples of such activity occurring despite the rising gold price, creating some apprehension among juniors to hold on to equity in their projects. If they were able to embrace a partnership early on, it would benefit the asset more.

Do you have plans for further expansion in the near future?

At Evolution Mining, we have always said we will have up to eight assets in tier-1 jurisdictions. We are targeting early-entry-stage projects that may be available for us to acquire over the next few years. Some projects are being sold that are not a great fit for our portfolio right now but may become of interest as the consolidation of the mining industry continues. We have a great track record of dealing with such assets, but right now, our main focus is the suite of assets we currently own, with the possibility of mine-life or area extensions at the forefront of our philosophy.