Alexco’s Keno Hill Silver District is one of the highest-grade silver districts in the world. Located 350 km north of Whitehorse, in Canada’s Yukon Territory, the Keno Hill Silver District lies within the traditional territory of the First Nation of Na-Cho Nyak Dun. It comprises 242 km2 with numerous mineral deposits and more than 35 historical past-producing mine sites. The District is connected to the Yukon Energy hydro power generation grid, has all-season highway access from Whitehorse and is serviced by a year-round airport in the village of Mayo, which is 50 kilometers away from Keno Hill.
Historical Silver with a Bright Future
Between 1913 and 1989, the district produced over 200 Moz of silver with average grades of 44 oz/t, making it the second-largest historical silver producer in Canada. Today, Keno Hill boasts significant Mineral Resources at grades far higher than most of the world’s primary silver producers. Alexco’s recent exploration success at the Bermingham and Flame & Moth deposits demonstrate the potential to continue growing the District’s mineral resource.
Alexco owns the majority of the historically producing district and has been developing it since 2006. Under a unique contractual agreement with the Government of Canada, Alexco can explore, develop, and produce from historic and newly discovered deposits within the District. The Government of Canada indemnifies the potential liabilities associated with the historic operations in the District under the terms and conditions of the commercial agreement subject to the requirement for ERDC to develop, permit and implement the Site Reclamation Plan.
In 2010, Alexco built and commissioned a new and modern 400 tpd flotation mill and dry stack tailings facility and operated the Bellekeno silver mine from 2011 until 2013. Following the suspension of operations in late 2013 and the subsequent discovery of the Flame & Moth and Bermingham deposits, Alexco published a PFS in March 2019 (updated February 13, 2020) for expanded silver production at Keno Hill.
In June 2020, Alexco received a renewal and amendment of it’s Water Use License, which was the final regulatory requirement to resume development and operations. In June 2020, Alexco made a positive production decision to restart development and production at Keno Hill. Ore extraction from the Bellekeno mine started in October 2020 and the District mill was recommissioned in November 2020. Silver-rich concentrate production and sales began in January 2021.