Latest update February 24th, 2025 9:02 AM
Canadian mining company to start construction of US$1.5B gold project next year
Oko West Development Plan (Canadian mining company to start construction of US$1.5B gold project next year)
Kaieteur News- By the third quarter of 2025, G Mining Ventures (GMIN) is looking to start construction on its US$1.5 billion gold project located in Region Seven (Cuyuni-Mazaruni).
GMIN is the new owner of the large-scale Oko West project, which is expected to produce 353,000 ounces of gold annually over its 12.7-year mine life, with a total output of 4.5 million ounces.
The company recently held an educational forum on the Oko West project and in his address, GMIN President and Chief Executive Officer (CEO) Louis-Pierre Gignac, underscored that the value of the Oko West calling it a “world class project.”
He disclosed that the company is currently working on the feasibility study for the project and noted that the Environmental and Social Impact Assessment (ESIA) will be submitted to Guyana’s Environmental Protection Agency (EPA) by the third week in November.
According to Gignac, early 2025 the company will make separate requests to initiate early works. By the third quarter of 2025 the company is hoping to start construction and by 2028 commence gold production from the open pit.
GMIN CEO Louis-Pierre Gignac during the educational forum
For his part, Bjorn Jeune, Country Manager, GMIN Ventures Guyana Inc. said that the ripple effect of the project will create at least 1,500 jobs, with a strong focus on local employment and capacity-building.
“In addition, our close working relationship with government agencies has facilitated a smooth permitting process, and we are grateful for the support we’ve received. Transparency is a core value for us, and it drives everything we do as we progress with this transformative project,” he said.
Kaieteur News had reported that Minister of Home Affairs, Robeson Benn, expressed the PPP/C government’s strong support for the development of the gold project.
A geologist by training, Minister Benn highlighted that the Oko West project continues the work initiated years ago by Omai Gold Mines, a Canadian company that has reentered Guyana’s mining sector.
“…exploiting the natural resources of Guyana in a win-win situation for investors for Guyana…” Minister Benn said, adding, “Guyana is at the most momentous situation in terms of its development in this country, we have the oil and gas development which is much talked about, we have the opportunities and the synergies spinning out of that and with this new development at Oko West this will broaden the opportunities for people…”
The minister stressed that the Oko West development aligns with the government’s policy of not relying solely on one resource base, like oil and gas. “We will not rely and subsists and perhaps make the mistakes of other countries on relying on one resource base,” he noted. He even suggested that there should be four additional project similar to Oko West within the next 15 years.
About Oko West
The Oko West Preliminary Economic Assessment (PEA) highlights an average gold grade of 2.00 grams per tonne (g/t) and a high metallurgical recovery rate of 92.8%. The company had said that the PEA confirms strong economics for a low-cost, large-scale mining operation using both conventional open pit (OP) and underground (UG) methods.
According to GMIN, with operating costs well below industry averages and a high rate of return, the project is ideally positioned to benefit from favourable macro-economic conditions, including strong gold prices, low inflation, and Guyana’s rapidly developing economy.
The open pit mine is projected to have a life of 15 years, which includes 2 years of pre-stripping and involves four pit phases. In contrast, the underground mine is expected to operate for 13 years, including 2 years of development, across three zones.
The milling operation is planned to run for 13 years. It was explained that during the first three years of commercial production, the processing feed will be provided entirely by the open pit. From the fourth year onward, underground mining will begin supplying a significant portion of the mineralized material.
Notably, the Oko West project payback period is estimated at 3.8 years, based on a gold price of US$1,950 per ounce.
(Canadian mining company to start construction of US$1.5B gold project next year)
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