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Fireweed Zinc benefits from Yukon infrastructure project

Mining
03 March 2020 15:51 (EDT)
Fireweed Zinc Ltd., - CEO, Brandon Macdonald

Source: Kitco Metals Insider

Fireweed Zinc (TSXV:FWZ) announced that the Yukon Government will repair and improve two key roads to the Macmillan Pass Project. 

The Yukon Government reached the agreement with the local Ross River Dena Council, as part of the Yukon Resource Gateway Project.

The Robert Campbell Highway and The North Canol Road will receive upgrades allowing them to handle large trucks and heavy loads.

The North Canol Road directly links Macmillan Pass to surrounding roads. The Robert Campbell Highway links the project to key shipping ports.

The Canadian Federal Government has committed C$360 million to the Yukon Resource Gateway Project. The Yukon Project will improve infrastructure around the province to entice mining and mineral companies to the area.

The road development is likely to cost around $71 million.

Fireweed previously expected that the road upgrades would form a major component of the Macmillan Pass Project’s budget.

A preliminary economic assessment estimated that upgrading the North Canol Road would comprise 25 per cent of Fireweed’s overall budget. By removing this cost, the Yukon Government has drastically lowered the financial barrier to development.

Fireweed has been exploring and developing the project since 2016. The company hopes to develop Macmillan into a viable zinc mine with an estimated 18-year lifetime.

Fireweed CEO Brandon Macdonald believes this latest development is a major step forward for the Macmillan Pass.

“I want to thank the Yukon Government and the Ross River Dena Council for their efforts to get this agreement in principle done, as well as their ongoing cooperation and support for our project over the years,” he said. 

Fireweed Zinc Ltd (FWZ) was up 31.87 per cent, with shares trading for $0.60 at 1.57pm EST. 

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