Gold miner Kirkland Lake has raised its guidance for the year to between 1.47-billion and 1.54-billion, to reflect the addition of the recently acquired Detour Lake mine, in northern Ontario.
The new mine will add between 520 000 oz and 540 000 oz to the group’s production for the year, with the balance coming from Macassa and Holt Complex, in Ontario, and Fosterville, in Australia.
Between the Macassa, Detour Lake and Fosterville mines, Kirkland will produce about 1.40-million ounces this year, at a unit cost and on a scale that will position the company to generate “well over half a billion dollars” of free cash flow in 2020, president and CEO Tony Makuch said on Wednesday.
Given the quality of Macassa, Detour Lake and Fosterville, Kirkland has designated the Holt Complex in and assets in the Northern Territory of Australia as noncore and would be considering strategic options.