Monarques Gold Corp. [MQR-TSXV, OTCMKTS:MRQRF, MR7 FSE] said December 7 it has entered into a custom milling contract with Nottaway Resources Inc. to process ore from its Vezza Mine near Matagami at Monarques’ Camflo mill.
The contract covers at least 15,000 tonnes of ore per month. That adds up to at least 180,000 tonnes in 2018, the company said in a press release.
“We are delighted to have Nottaway Resources as a new client for 2018,’’ said Jean-Marc Lacoste, President and CEO of Monarques. “This contract will provide us with stable revenue flow from the Camflo mill in 2018 and fits perfectly with our goal of increasing the profitability at our operations,’’ he said.
Based in Quebec City, Monarques Gold is an emerging gold producer, aiming to achieve ongoing growth through a large portfolio of properties in the Val d’Or, Quebec mining district. The company has over 240 km2 of gold properties, including the Beaufor Mine, the Croinor and Wasamac advanced projects. The asset portfolio also includes the Camflo and Beacon mills.
Monarques recently acquired a basket of Quebec mining assets from Richmont Mines Inc. [RIC-TSX], a transformative transaction that positions Monarques to become a fully-fledged gold producer.
As a result Monarques became the owner and operator of the Beaufor Mine and the Camflo mill. It also retained Richmont’s highly experienced Quebec-based site teams.
Since the agreement closed in early October, 2017, Monarques has begun to utilize the Camflo mill asset by signing custom milling contracts with companies such as Eldorado Gold Corp. [ELD-TSX, EGO-NYSE], Wallbridge Mining Co Ltd. [WM-TSX, WC7-FWB], and now Nottaway.
The Camflo mill has a rated capacity of 1,200 tonnes per day. It is a Merrill-Crow conventional type mill with circuits for crushing, grinding, gold cyanidation and precipitation using zinc powder. The historic average rate of recovery at the mill is 98.5%.