Australia-headquartered St Barbara is moving forward with plans to consolidate operations in Nova Scotia, Canada, around a centralised processing hub at 15-Mile, betting that a capital-efficient redesign can deliver more than 1.2-million ounces of gold with reduced environmental disturbance and stable output of more than 100 000 oz/y.

The A$279-million, or C$251-million, concept study outlines a plan to relocate the existing Touquoy processing plant to 15-Mile and expand throughput to three-million tonnes a year by installing a new 5.5 MW ball mill. Feed would be trucked in from the Beaver Dam and Cochrane Hill deposits, with production at those sites starting in years four and six, respectively.

“The detailed work we have undertaken through the concept study means we can target throughput of three-million tonnes a year and stable gold production exceeding 100 000 oz/y at the combined operations,” said CEO Andrew Strelein.

The reconfiguration includes substantial changes to reduce environmental impact and community concerns. Cochrane Hill has been significantly redesigned, removing the need for tailings and water infrastructure at the site.

“Each development is now designed more comprehensively with mine closure and final landform planning in mind,” said Strelein.

The Cochrane Hill redesign is expected to contribute an additional 370 000 oz to the project’s total production, raising life-of-mine output to 1.2-million ounces. The associated capital cost of incorporating Cochrane Hill is estimated at C$91-million, to be spent in year six.

Projected all-in sustaining costs are estimated at $1 197/oz, with low strip ratios and strong metallurgical recoveries from conventional carbon-in-leach processing. The project’s post-tax net present value, using a 5% discount, is estimated at A$1.08-billion, with an internal rate of return of 76%, assuming a gold price of $2 500/oz.

St Barbara expects to complete a prefeasibility study by the March quarter of 2026.

“The 15-Mile Processing Hub approach leverages existing public roads to truck mill feed to the 15-Mile processing facility, eliminating the need for a processing plant, tailings management facility and any new roads at Cochrane Hill,” Strelein said.