Troilus Gold – Project Derisking Through An Enhanced Team, Detailed Engineering, Resource Expansion, Permitting, Vaneck As A New Strategic Investor, And Building The Capital Stack
Justin Reid, President and CEO of Troilus Gold Corp. (TSX: TLG) (OTCQX: CHXMF), joins me for a comprehensive update of the key derisking work programs, additions to personnel, detailed engineering, more drilling initiatives, permitting updates, and working on building the capital stack for the Troilus Project located in northcentral Quebec, Canada.
We start off discussing four new team members on Troilus that will be bringing in key experience on the engineering, development, construction, and execution on the move to take the project into a producing mine over the next few years. On January 28th the Company announced that it has awarded BBA Inc. (“BBA”) the contract for basic and detailed engineering work for the copper and gold Troilus Project; which is a key milestone on the path to construction. BBA is a leading Canadian engineering consulting firm with over 40 years of experience that played a significant role in the development of some of Canada’s most successful and largest gold operations, including the Canadian Malartic Mine and Detour Lake.
Next we touched up on the importance of infill drilling for gaining higher confidence ounces in the resource and for the mining sequence, as well as near-pit drilling where he touched upon the positive drill results forming part of a 1,866-metre exploratory drill program on its newly discovered “West Rim” VMS (Volcanogenic massive sulfide ore deposit) target, located within 150 metres of the North Reserve Pit Shell.
We also get into the permitting timelines, where Justin highlights the ongoing work the company has been doing for years, in tandem with maintaining the already fully permitted areas of the Project. The last big receivables for the permitting being the environmental and mine closure permits will be kicking off soon with a look to receive them back in late 2025, or more likely early 2026
Wrapping up we discuss the capital stack starting to come together and reviewed the 4 different LOIs adding up collectively to US$1.3billion that were each announced in November news releases from the German export credit agency (“ECA”) Euler Hermes, the Finland ECA, Finnvera plc and the Swedish export credit agency, EKN, and Export Development Canada (EDC). Justin goes on to explain how they will not need to utilize all those ECA funds, where they can also strike the balance between those inputs being converted over to tradition debt, equity, forward sales, and royalty or streams that will be coming together to form the capital stack for project construction. This also highlights the importance of the copper concentrate components of the copper to these other organizations, even more so than the gold, and makes the Troilus Project very financeable.
* If you have any questions for Justin regarding Troilus Gold, then please email them over to me at Shad@kereport.com.
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