Equinox Gold has begun commercial production at its Valentine mine in central Newfoundland, marking it as the province’s only operating gold mine. The announcement was made on Tuesday, following 60 days of operation at 80% of its nameplate capacity of 6,850 tonnes per day. Valentine has achieved a gold recovery rate exceeding 93% with an average grade of 1.2 grams per tonne.
The mine is expected to produce between 15,000 to 30,000 ounces of gold in the fourth quarter and could reach annual production of 150,000 to 200,000 ounces by the second quarter of 2024. The Valentine deposit hosts 2.7 million ounces in proven and probable reserves and is projected to become the largest gold mine in Atlantic Canada, with a capacity to produce up to 200,000 ounces annually for the first 12 years of its 14-year operational life.
Equinox shares remained stable at C$17.44 on Tuesday, giving the company a market valuation of C$13.9 billion (approximately $9.9 billion). This milestone follows the company’s previous success with the Greenstone mine in Ontario, which declared commercial production in November 2022.
