The Timmins West mine is located approximately 18 kilometres west of Timmins, Ontario, one of the world’s most prolific gold camps. Mineralization is associated with the Porcupine-Destor fault system within the Abitibi greenstone belt. The Timmins West mine is comprised of the Timmins deposit, which has been in commercial production since January 2011, and the Thunder Creek deposit, which achieved commercial production in January 2012. The newly discovered 144 Gap deposit, located approximately 600 metres from the Thunder Creek deposit, is currently under development with commercial production expected in 2017. All three deposits are interconnected by underground drifts.
Tahoe produces ore from the mine via a 5.5 metre diameter shaft with a 6,000 tonne per day hoisting capacity. Ore is accessed using mobile equipment via internal ramps both from surface and the main shaft. Primary mining methods include longitudinal and transverse longhole mining. Timmins West currently produces 2,700 tonnes per day of ore, which is trucked approximately 42 kilometres to the Company’s Bell Creek mill for processing.
As of January 1, 2016, Mineral Resources for Timmins West totaled 5.8 million tonnes with an average gold grade of 4.87 g/t containing 903,000 ounces of gold in the Indicated category and 2.7 million tonnes with an average gold grade of 5.0 g/t containing 429,000 ounces of gold in the Inferred category. Probable Mineral Reserves (inclusive of Mineral Resources) are 2.9 million tonnes with an average gold grade of 4.2 g/t containing 392,000 ounces of gold. Through development of the 144 Gap deposit and continuing development of the Timmins and Thunder Creek deposits, the Company is focused on converting Mineral Resources into Mineral Reserves.
The Timmins West mine property encompasses an area of approximately 14.5 square kilometres. The majority of the property is situated within Bristol Township, with approximately 36 hectares located in Carscallen Township. The mine is accessible via Highways 101 and 144 and is in close proximity to the area’s main hydroelectric transmission line. The area experiences a continental climate with an average mean temperature range of ‐17.5°C (January) to +17.4° (July) and annual average precipitation of approximately 831 mm. Operations at the Timmins West mine can be carried out year-round.
The City of Timmins, with an area of 3,210 square kilometres and a population of 43,165 (2011 Census), has an economic base dominated by the mining and timber industries. An experienced labour pool, mining supplies and mining/construction contractors are readily available in the Timmins area.