B2Gold Corp. press release

Alamos Gold Reports Mineral Reserves and Resources for the Year-Ended 2024

2025-02-18

TSX - Toronto Stock Exchange · Gold · Canada

Global Mineral Reserves Increase 31% Driven by the Addition of Magino, and a 32% Increase in Mineral Reserves at Island Gold at 11% Higher Grades

All amounts are in United States dollars, unless otherwise stated.

TORONTO, Feb. 18, 2025 (GLOBE NEWSWIRE) -- Alamos Gold Inc. ( TSX:AGI; NYSE:AGI ) (“Alamos” or the “Company”) today reported its updated Mineral Reserves and Resources as of December 31, 2024. For a detailed summary by asset, refer to the tables below.

Highlights

Global Proven and Probable Mineral Reserves increased 31% to 14.0 million ounces of gold (298 million tonnes (“mt”) grading 1.45 grams per tonne of gold (“g/t Au”)), driven by the acquisition of Magino in 2024, continued high-grade additions at Island Gold, and an initial Mineral Reserve at Burnt Timber and Linkwood Excluding Magino, Proven and Probable Reserves increased 12% to 11.9 million ounces of gold (230 mt grading 1.62 g/t Au) reflecting continued exploration success. Mineral Reserve additions more than replaced depletion at a rate of 249% (646% including Magino) Island Gold’s Mineral Reserves increased 32% to 2.3 million ounces with grades increasing 11% to 11.40 g/t Au (6.2 mt), driven by significantly higher-grade additions across the main structure Burnt Timber and Linkwood initial Mineral Reserve of 0.9 million ounces (30.7 mt grading 0.95 g/t Au) reflecting the successful conversion of Mineral Resources Magino Mineral Reserve of 2.0 million ounces (68.4 mt grading 0.91 g/t Au), consistent with internal estimates completed ahead of the acquisition in 2024

Island Gold’s Mineral Reserves and Resources increased 9% to 6.7 million ounces at substantially higher grades, including an 11% increase in Mineral Reserve grades to 11.40 g/t Au, and 13% increase in Inferred Mineral Resources grades to 16.52 g/t Au Island Gold District Life of Mine plan will incorporate the significant growth since the Phase 3+ Expansion Study, with the increase in grades expected to support higher average annual gold production from Island Gold over the longer-term. The Life of Mine plan (incorporating Island Gold and Magino) is expected to be released mid-2025, with an Expansion Study expected to follow in the fourth quarter Global Measured and Indicated Mineral Resources increased 50% to 6.6 million ounces of gold (181 mt grading 1.13 g/t Au), primarily reflecting the acquisition of Magino. Excluding Magino, Measured and Indicated Mineral Resources increased 6% to 4.7 million ounces of gold, reflecting additions at Burnt Timber and Linkwood, and an initial Mineral Resource at Cerro Pelon Underground Global Inferred Mineral Resources decreased 2% to 7.1 million ounces of gold (125 mt grading 1.76 g/t Au), with the successful conversion of Mineral Resources to Reserves at Burnt Timber and Linkwood largely offset by the addition of Magino, and growth at Island Gold

Gold price assumption of $1,600 per ounce used for estimating Mineral Reserves and $1,800 per ounce for estimating Mineral Resources, up from $1,400 and $1,600 per ounce, respectively in 2023, reflecting the significantly higher gold price environment. Both remain conservative relative to the three-year trailing average gold price of approximately $2,044 per ounce

Global exploration budget of $72 million in 2025, the largest in the Company’s history supporting broad based success across its asset base with expanded budgets at the Island Gold District and the Qiqavik project in Quebec

“Our significant investment in exploration continues to drive value across our asset base with another substantial increase in Mineral Reserves, marking the sixth consecutive year of growth. This included an initial Mineral Reserve at Burnt Timber and Linkwood, and continued growth at PDA supporting new, high-return projects. We also delivered another year of growth at Island Gold, at considerably higher Reserve and Resource grades. This growth and increase in grades will form the basis for the Island Gold District Life of Mine Plan and Expansion Study to be released later this year. We expect both will outline a larger, and significantly more valuable operation,” said John A. McCluskey, President and Chief Executive Officer.

| Proven and Probable Gold Mineral Reserves | | | | | | | | | | | | 2024 | 2023 | % Change | | | | | | | | | Tonnes | Grade | Ounces | Tonnes | Grade | Ounces | Tonnes | Grade | Ounces | | | (000’s) | (g/t Au) | (000’s) | (000’s) | (g/t Au) | (000’s) | (000’s) | (g/t Au) | (000’s) | | Island Gold | 6,232 | 11.40 | 2,285 | 5,210 | 10.30 | 1,725 | 20 % | 11 % | 32 % | | Magino | 68,400 | 0.91 | 2,008 | - | - | - | | | | | Young-Davidson | 41,756 | 2.26 | 3,030 | 43,911 | 2.31 | 3,261 | -5% | -2% | -7% | | La Yaqui Grande | 7,710 | 1.34 | 331 | 11,318 | 1.33 | 483 | -32 | 1% | -31% | | Puerto Del Aire | 6,050 | 5.45 | 1,060 | 5,375 | 5.61 | 969 | 13% | -3% | 9% | | Total Mulatos | 13,760 | 3.14 | 1,391 | 16,693 | 2.71 | 1,452 | -18% | 16 % | -4% | | MacLellan | 39,379 | 1.35 | 1,711 | 39,738 | 1.34 | 1,717 | -1% | 1% | - | | Gordon | 10,006 | 2.09 | 671 | 7,873 | 2.43 | 615 | 27% | -14% | 9% | | Burnt Timber | 14,352 | 1.02 | 469 | - | - | - | | | | | Linkwood | 16,318 | 0.90 | 472 | - | - | - | | | | | Total Lynn Lake | 80,056 | 1.29 | 3,322 | 47,610 | 1.52 | 2,332 | 68 % | -15% | 42 % | | Ağı Dağı | 54,361 | 0.67 | 1,166 | 54,361 | 0.67 | 1,166 | | | | | Kirazlı | 33,861 | 0.69 | 752 | 33,861 | 0.69 | 752 | | | | | Total Türkiye | 88,222 | 0.68 | 1,918 | 88,222 | 0.68 | 1,918 | - | - | - | | Alamos – Total | 298,425 | 1.45 | 13,954 | 201,647 | 1.65 | 10,688 | 48 % | -12% | 31 % | | | | | | | | | | | | | Measured and Indicated Gold Mineral Resources (exclusive of Mineral Reserves) | | | | | | | | | | | Island Gold | 2,113 | 8.76 | 601 | 2,552 | 8.73 | 716 | -16% | 0 % | -16% | | Magino | 62,689 | 0.94 | 1,905 | - | - | - | - | - | - | | Young-Davidson – Surface | 1,739 | 1.24 | 69 | 1,739 | 1.24 | 69 | | | | | Young-Davidson – Underground | 11,114 | 3.13 | 1,117 | 9,914 | 3.32 | 1,057 | 12% | -6% | 6% | | Total Young-Davidson | 12,852 | 2.87 | 1,186 | 11,653 | 3.01 | 1,127 | 10 % | -5% | 5 % | | Golden Arrow | 6,442 | 1.19 | 246 | 6,442 | 1.19 | 246 | - | - | - | | Mulatos Mine | 6,722 | 0.98 | 214 | 7,083 | 1.13 | 258 | -4% | -13% | -17% | | La Yaqui Grande | 1,523 | 0.78 | 38 | 1,073 | 0.87 | 30 | 42% | -11% | 27% | | Puerto Del Aire | 2,403 | 3.49 | 269 | 2,106 | 3.54 | 240 | 14% | -2% | 12% | | Cerro Pelon | 720 | 4.49 | 104 | - | - | - | | | | | Carricito | 1,355 | 0.83 | 36 | 1,355 | 0.83 | 36 | | | | | Total Mulatos | 12,772 | 1.61 | 661 | 11,617 | 1.51 | 564 | 10 % | 7 % | 17 % | | Lynn Lake | 16,189 | 1.13 | 587 | 7,848 | 1.37 | 345 | 106 % | -17% | 70 % | | Türkiye | 55,664 | 0.60 | 1,068 | 55,664 | 0.60 | 1,068 | - | - | - | | Quartz Mountain | 12,156 | 0.87 | 339 | 12,156 | 0.87 | 339 | - | - | - | | Alamos – Total | 180,897 | 1.13 | 6,594 | 107,932 | 1.27 | 4,405 | 68 % | -11% | 50 % | | | | | | | | | | | | | Inferred Gold Mineral Resources | | | | | | | | | | | Island Gold | 7,106 | 16.52 | 3,774 | 7,857 | 14.58 | 3,682 | -10% | 13 % | 2 % | | Magino | 40,383 | 0.91 | 1,177 | - | - | - | - | - | - | | Young-Davidson – Surface | 31 | 0.99 | 1 | 31 | 0.99 | 1 | | | | | Young-Davidson – Underground | 1,880 | 3.25 | 197 | 1,350 | 3.31 | 144 | 39% | -2% | 37% | | Total Young-Davidson | 1,911 | 3.22 | 198 | 1,381 | 3.26 | 145 | 38 % | -1% | 37 % | | Golden Arrow | 2,028 | 1.07 | 70 | 2,028 | 1.07 | 70 | - | - | - | | Mulatos Mine | 641 | 0.91 | 19 | 571 | 0.92 | 17 | 12% | 0% | 12% | | La Yaqui Grande | 74 | 1.74 | 4 | 107 | 1.30 | 4 | -31% | 33% | 0% | | Puerto Del Aire | 281 | 4.07 | 37 | 73 | 5.97 | 14 | 285% | -32% | 163% | | Carricito | 900 | 0.74 | 22 | 900 | 0.74 | 22 | | | | | Total Mulatos | 1,896 | 1.34 | 82 | 1,651 | 1.07 | 57 | 15 % | 25 % | 43 % | | Lynn Lake | 5,682 | 0.94 | 171 | 48,685 | 1.09 | 1,699 | -88% | -14% | -90% | | Türkiye | 27,245 | 0.55 | 482 | 27,245 | 0.55 | 482 | - | - | - | | Quartz Mountain | 39,205 | 0.91 | 1,147 | 39,205 | 0.91 | 1,147 | - | - | - | | Alamos – Total | 125,455 | 1.76 | 7,100 | 128,052 | 1.77 | 7,282 | -2% | 0 % | -2% |

Mineral Reserves Global Proven and Probable Mineral Reserves total 14.0 million ounces of gold as of December 31, 2024, a 31% increase from 10.7 million ounces at the end of 2023. The increase reflects the addition of the Magino mine, which was acquired in July 2024, as well as further high-grade additions at Island Gold, and an initial Mineral Reserve at Burnt Timber and Linkwood. Grades decreased 12% to 1.45 g/t Au reflecting the addition of relatively lower grade Mineral Reserves from Magino and Burnt Timber and Linkwood, partially offset by growth in significantly higher-grade Mineral Reserves at Island Gold.

Excluding Magino, Global Proven and Probable Reserves increased 12%, or 1.3 million ounces to 11.9 million ounces, net of depletion, at slightly lower grades of 1.62 g/t Au. This was driven by strong ongoing exploration success with additions significantly outpacing mining depletion of 506,000 ounces in 2024. This marked the sixth consecutive year Mineral Reserves have increased for a cumulative increase of 44% (23% excluding the acquisition of Magino).

Island Gold’s strong pace of growth continued with Mineral Reserves increasing 32% to 2.3 million ounces, net of depletion, marking the 12 th consecutive year of growth. Grades also increased 11% to 11.40 g/t Au, an impressive outcome given the higher grades mined during 2024, which averaged 12.47 g/t Au. The increase was driven by higher-grade additions across the main structure (C/E1E-zones), particularly in the Island Main and East areas. With the main structure open laterally and at depth, and several recently defined high-grade zones in the hanging wall and footwall, this long-term pace of growth is expected to continue.

Magino’s Mineral Reserve of 2.0 million ounces grading 0.91 g/t Au is consistent with the internally modelled estimate conducted by Alamos prior to the acquisition of Argonaut. This represents a decrease from the 2.3 million ounces grading 1.16 g/t Au reported by the previous owner reflecting more realistic assumptions, including lower capping factors, increased dilution, and smaller areas of influence around higher grade intercepts. Grades mined to date have been consistent with Alamos’ updated block model and Mineral Reserve estimate.

Lynn Lake’s combined Mineral Reserves increased 42% to 3.3 million ounces grading 1.29 g/t Au), driven by the successful conversion of Mineral Resources to Reserves at Burnt Timber and Linkwood. An initial Mineral Reserve was declared at Burnt Timber and Linkwood totaling 0.9 million ounces grading 0.95 g/t Au. Both deposits are expected to be incorporated into the Lynn Lake project as high-return satellite deposits which will serve as a source of additional mill feed (see press release dated February 13, 2025). Mineral Reserves for the MacLellan and Gordon deposits increased slightly to 2.4 million ounces.

Mulatos District Mineral Reserves decreased slightly (61,000 oz), to 1.4 million ounces with mining depletion at La Yaqui Grande largely offset by growth at Puerto Del Aire (“PDA”). Grades increased 16% to 3.14 g/t Au with the higher-grade PDA deposit representing an increasing portion of the Mulatos District’s Mineral Reserves. PDA’s Mineral Reserve increased 9% to 1.1 million ounces with grades largely unchanged at 5.45 g/t Au. Ongoing exploration success at PDA and Cerro Pelon continues to demonstrate the strong potential for growth in higher-grade Mineral Reserves at both deposits, enhancing already strong economics for the PDA project.

Young-Davidson’s Mineral Reserves decreased 7%, or 0.2 million ounces, to 3.0 million ounces grading 2.26 g/t Au, primarily due to mining depletion. The 2025 exploration program is focused on extending mineralization within the Young-Davidson syenite, which hosts the majority of Mineral Reserves and Resources, as well as defining further higher-grade mineralization within the hanging wall.

A detailed summary of Proven and Probable Mineral Reserves as of December 31, 2024, is presented in Table 1 at the end of this press release.

Mineral Resources Global Measured and Indicated Mineral Resources (exclusive of Mineral Reserves) increased 50% to 6.6 million ounces, with grades decreasing 11% to 1.13 g/t Au, as of December 31, 2024. The increase in ounces and decrease in grades was driven by the addition of Magino. Excluding Magino, Global Measured and Indicated Mineral Resources (exclusive of Mineral Reserves) increased 6% to total 4.7 million ounces with grades decreasing 3% to 1.23 g/t Au, reflecting additions at the Burnt Timber and Linkwood deposits, and an initial Mineral Resource at Cerro Pelon Underground.

Global Inferred Mineral Resources decreased 2% to total 7.1 million ounces with grades largely unchanged at 1.76 g/t Au, as of December 31, 2024. This reflected the successful conversion of Inferred Mineral Resources at Burnt Timber and Linkwood, which was offset by the inclusion of Magino, and growth at Island Gold.

Detailed summaries of the Company’s Measured and Indicated Mineral Resources and Inferred Mineral Resources as of December 31, 2024, are presented in Tables 3 and 4, respectively, at the end of this press release.

Island Gold Island Gold’s rapid pace of growth continued with Mineral Reserves and Resources increasing 9% across all categories to 6.7 million ounces, net of depletion. This marked the ninth consecutive year Mineral Reserves and Resources have increased, and at substantially higher grades. Inclusive of mining depletion, over eight million ounces have been discovered to date at Island Gold as it continues to demonstrate itself as one of the highest-grade, and fastest growing deposits in the world.

Mineral Reserves increased 32% to 2.3 million ounces in 2024, net of mining depletion, marking the 12 th consecutive year of growth. Grades also increased 11% to 11.40 g/t Au, reflecting substantially higher-grade additions which totaled 718,000 ounces. This significantly outpaced mining depletion, which included higher grades mined in 2024 totaling 157,000 ounces grading 12.47 g/t Au.

The increase was driven by the conversion of existing Mineral Resources and the discovery of new Mineral Reserves across the main structure. The biggest contributor to the increase was the addition of 533,000 ounces in the middle portion of Island East within a large Mineral Reserve block that now contains 1.1 million ounces grading 12.87 g/t Au (2.7 mt) (see Figure 1).

This large Mineral Reserve block is located above an even larger and substantially higher grade Inferred Mineral Resource block in the lower portion of Island East which contains 1.9 million ounces, grading 20.82 g/t Au (2.8 mt). As exploration drifts are established at depth providing access to drill from underground at these levels, the conversion of significantly higher-grade Mineral Resources is expected to drive further growth in higher-grade Mineral Reserves. This is supported by a conversion rate of Inferred Mineral Resource to Reserves which has averaged more than 90% since the acquisition of Island Gold in 2017.

Measured and Indicated Mineral Resources decreased 115,000 ounces to 601,000 ounces with grades increasing slightly to 8.76 g/t Au, reflecting the conversion to Mineral Reserves. Inferred Mineral Resources increased 2% to 3.8 million ounces, with additions across the main structure, as well as within various hanging wall and footwall zones, more than replacing the Mineral Resources converted to Reserves.

These additions were also at significantly higher grades driving a 13% increase in the Inferred Mineral Resource grade to 16.52 g/t Au. Consistent with the increase in Mineral Reserve grades, a key driver of the increase in Mineral Resource grades has been significantly higher-grade additions in the lower portions of Island East and Island Main where 324,000 ounces were added. With the deposit open laterally and at depth, and some of best intercepts ever drilled at Island Gold located within the lower portion of Island East, there is excellent potential for further growth in Mineral Reserves and Resources.

The discovery cost of the high-grade Mineral Resource additions averaged an attractive $13 per ounce in 2024, and $13 per ounce over the past five years.

A total of $27 million is budgeted for exploration at the Island Gold District in 2025, up from $20 million spent in 2024. The exploration program will build on the success from 2024, with high-grade gold mineralization extended across the Island Gold deposit, as well as within multiple structures within the hanging wall and footwall.

A total of 41,500 metres ("m") of underground drilling is planned in 2025 with a focus on defining new Mineral Reserves and Resources in proximity to existing production horizons and infrastructure. This includes drilling across the strike extent of the main Island Gold deposit (E1E and C-Zones), as well as within a growing number of newly defined hanging-wall and footwall zones.

Additionally, 18,000 m of surface exploration drilling has been budgeted targeting the area between the Island Gold and Magino deposits, as well as the down-plunge extension of the Island Gold deposit, below a depth of 1,500 m. Included within sustaining capital, 30,800 m of underground delineation drilling is planned and focused on the conversion of the large Mineral Resource base to Mineral Reserves.

The regional exploration program at the Island Gold District includes 10,000 m of surface drilling, consistent with the 2024 program. The focus will be following up on high-grade mineralization intersected at the Cline and Edwards deposits located approximately seven kilometres (“km”) northeast of the Island Gold mine.

Drilling will also be completed at the Island Gold North Shear target, and to the east and along strike from the Island Gold mine to test the extension of the E1E-zone. Field work in 2025 will include till sampling, geological mapping, prospecting, and trenching at several regional targets. A comprehensive data compilation project will also continue into 2025 across the large 60,000 hectare land package in support of future exploration targeting.

Significant growth to be incorporated into Island Gold District mine plan

The Phase 3+ Expansion Study (“Phase 3+ Study”) released in June 2022 was based on Mineral Reserves and Resources at the end of 2021, which totaled 5.1 million ounces. Since the release of the Phase 3+ Study, ongoing exploration success has driven a substantial increase in Mineral Reserves, Resources, and grades with the details as follows:

31%, or 1.6 million ounce increase in combined Mineral Reserves and Resources to total 6.7 million ounces 71% increase in Mineral Reserves to 2.3 million ounces, with a 13% increase in grades to 11.40 g/t Au 9% increase in Inferred Mineral Resources to 3.8 million ounces, with a 22% increase in grades to 16.52 g/t Au 19 year mine-life based on the same Mineral Resource conversion rate as utilized in the Phase 3+ Study

This growth will be incorporated into an Island Gold District mine plan to be released mid-2025, and an Expansion Study to be completed in the fourth quarter. Given the substantial increase in grades at Island Gold since the Phase 3+ Study, this is expected to support higher average annual gold production from Island Gold over the longer term. The updated mine plan and Expansion Study will incorporate updated Reserves and Resources at Island Gold and Magino, with the combined operations sharing a centralized mill at Magino.

Magino Magino’s Mineral Reserves total 2.0 million ounces at an average grade of 0.91 g/t Au. This is the first Mineral Reserve estimate for Magino published by Alamos following its acquisition in July 2024. This represents a decrease from the 2.3 million ounces grading 1.16 g/t Au reported by the previous owner reflecting more realistic assumptions, including lower capping factors, increased dilution, and limiting areas of influence around higher grade intercepts.