Toronto-listed Equinox Gold has officially declared commercial production at its Greenstone mine, in Ontario.

The announcement follows months of ramp-up operations, with the mine now progressing toward steady production after overcoming multiple challenges during its construction and commissioning phase.

President and CEO Greg Smith says the achievement is the culmination of three years of construction and commissioning, accomplished during the challenges of a global pandemic, supply chain disruptions, and inflationary pressures.

“I extend my thanks and congratulations to the Greenstone team for their dedication and perseverance in achieving this milestone."

During the third quarter of 2024, Greenstone processed an average of 14 300 t/d, which represents 53% of its design throughput. Over the period, the mine produced 42 400 oz of gold, with an average recovery rate of 79%. Cash costs were reported at $930/lb.

However, the mine did face operational challenges, including several multi-day shutdowns necessary to address issues identified during the ramp-up process.

Despite these interruptions, operations have steadily improved. As of November 5, the trailing 20-day throughput averaged over 20 400 t/d, which represents 76% of design capacity. The crushing and grinding circuits are now running at full production rates, with crushing exceeding 32 000 t/d and milling operations processing over 27 000 t/d. Gold recovery has also improved, reaching daily highs of more than 90% and averaging 78% through October.

Equinox expects Greenstone to become one of Canada’s largest and highest-grade openpit gold mines once it reaches full capacity. The mine’s design targets an average output of 390 000 oz/y of gold during the first five years, with a projected 15-year life producing an average of 330 000 oz/y.

Meanwhile, with Greenstone ramping up, Equinox is forecasting a 2024 consolidated production guidance of 590 000 oz to 675 000 oz of gold. The company also expects the fourth quarter to be its highest quarterly production for the year.

The third quarter was already a record three months for Equinox, with its best-ever third-quarter production and all-time-highest quarterly revenue and adjusted earnings before interest, taxes, depreciation and amortisation on the back of the Greenstone ramp-up and strong gold prices.

Equinox produced 173 983 oz in the September quarter at an all-in sustaining cost of $1 994/oz.

Revenue surged to $428.4-million and adjusted Ebitda came to C$141.9-million.