Our Assets

Projects and assets

Beaufor Mine

Over 1.1 million ounces of gold produced and strong exploration potential

Monarch holds a 100% interest in the Beaufor Mine, which consists of two mining leases, one mining concession and 23 mining claims covering an area of 5.9 km2. The mine is located approximately 20 kilometres northeast of the town of Val-d'Or, in Abitibi-East Township, in the province of Quebec. The Beaufor Mine is an underground mine.

The Beaufor Mine is currently under care and maintenance.

Exploration

In June 2020, the Company initiated a 42,500-metre diamond drilling program to test two types of targets: areas around historical high‐grade intersections near existing underground infrastructure, and isolated resource blocks, which are generally defined by a single drill intersection.

The Company reported a mineral resource estimate in July 2021 and filed a NI 43‐101 Technical Report in September 2021, which included 153 additional holes totaling 17,000 metres. From June 2020 to December 2022, 423 holes totaling 57,327 metres have been drilled during the exploration and definition program.  

Resources

Mineral resource estimate table
Mineral resource estimate notes:
  1. The independent qualified person for the 2021 MRE, as defined by National Instrument (“NI”) 43-101 guidelines, is Charlotte Athurion, P.Geo., of BBA Inc. The effective date of this MRE is July 23, 2021.
  2. These mineral resources are not mineral reserves as they do not have demonstrated economic viability.
  3. The mineral resource estimate follows CIM definitions (2014) for mineral resources.
  4. Results are presented diluted and considered to have reasonable prospects for economic extraction. Isolated and discontinuous blocks above the stated cut-off grades are excluded from the mineral resource estimate. Must-take material, i.e. isolated blocks below cut-off grade located within a potentially mineable volume, was included in the mineral resource statement.
  5. The resources include 166 mineralized zones with a minimum true thickness of 2.4 m using the grade of the adjacent material when assayed or a value of 0.00025 when not assayed. High-grade capping varies from 20 to 65 g/t Au (when required) and was applied to composited assay grades for interpolation using an Ordinary Kriging interpolation method (ID2 for 96_01, 96_02, 20 zones, 21_01, 140, 367 and 350 zones) based on 1.5 m composite and block size of 5 m x 5 m x 5 m, with bulk density values of 2.75 (g/cm3). A second capping was applied for the second and third passes in order to restrict high-grade impact at greater distance.
  6. Inferred Mineral Resources were defined for blocks within the units that have been informed by a minimum of two drillholes within 50 m of a drillhole (100 m of drill spacing); Indicated Mineral Resources were defined for blocks within the units that have been informed by a minimum of three drillholes within 12.5 m of a drillhole (25 m of drill spacing); Measured Mineral Resources were defined for blocks within the units that have been informed by a minimum of three drillholes within 5 m of a drillholes (10 m of drill spacing) or 3 m around voids. Measured Mineral Resources were only defined for zones with a good reliability of the geological continuity or supported by underground workings.
  7. The estimate is reported for potential underground scenario at cut-off grades of 2.8 g/t Au (>=45 degree dip) and 3.2 g/t Au (<45 degree dip). The cut-off grades were calculated using a gold price of US$1,550 per ounce, a USD:CAD exchange rate of 1.32 (resulting in C$1,914 per ounce gold price); mining cost C$125/t (>=45 degree dip); C$150/t (<45 degree dip); processing cost C$35/t; G&A C$16/t; metallurgical recovery of 97%; royalties of US$37.52 per ounce; and refining and transport cost of US$1.50 per ounce.
  8. The number of metric tonnes and ounces were rounded to the nearest hundred and the metal contents are presented in troy ounces (tonne x grade/31.10348). Rounding may result in apparent summation differences between tonnes, grades and contained metals content.
  9. BBA Inc. is not aware of any known environmental, permitting, legal, title-related, taxation, socio-political or marketing issues, or any other relevant issues not reported in this Report that could materially affect the mineral resource estimate.

Geology

The Beaufor deposit is included in the Bourlamaque granodiorite. Gold mineralization occurs in veins associated with shear zones that moderately dip south. The mineralization is associated with quartz-tourmaline veins resulting from the filling of shear and extension fractures. The gold-bearing veins show a close association with mafic dykes intruding on and undercutting the granodiorite. The dykes seem to have influenced the structural control of the gold-bearing veins.

Mineralization

Gold-bearing veins at the Beaufor Mine consist of quartz-tourmaline-pyrite veins, typical of Archean epigenetic lode gold deposits, that cross-cut the Bourlamaque Batholith. Mafic dykes that predate the mineralization are associated with shear- hosted gold-bearing veins. Shallowly dipping extensional gold-bearing veins are commonly observed at the Beaufor Mine. Shear zones striking N70o and dipping steeply to the southwest control the opening and gold enrichment of veins.

All the gold-bearing veins are contained in a strongly-altered granodiorite in the form of chlorite-silica forming anastomosing corridors of 5 m to 30 m in thickness. The veins at the Beaufor Mine form sometimes panels of more than 300 m in length by 350 m in height. The thickness of the veins varies from 5 cm to 5 m, but generally, the thickness of the quartz veining system 30 cm to 120 cm. The zones are limited by the Beaufor fault (N115o/65o-75o) and by a parallel system of shears (N70o/sub vertical).

McKenzie Break

High-grade gold deposit near Monarch’s Beacon mill

Monarch Gold acquired a 100% interest in the McKenzie Break property from Agnico Eagle in 2018. That interest was transferred to Monarch Mining following the completion of the transaction between Yamana Gold and Monarch Gold in 2021

The property hosts a high-grade gold deposit that lies just 20 kilometres north of the Beacon mill and 35 kilometres northeast of Val-d'Or, Quebec. It consists of 183 mineral claims covering a total area of 78.5 km² and has surface and underground infrastructure, including a ramp down to a depth of 80 metres below the surface. The property is also located about nine kilometres south of the rail link between Barraute and Senneterre, and is accessible year-round via Route 397 and a gravel road.

Resources

Estimated mineral resource table

The resource estimate is based on a database of 332 drill holes, 57,789 metres of drilling and 34,026 assays. A total of 30 mineralized envelopes were modelled and validated. Capping was applied to raw assays before compositing, with grades capped at 60 g/t Au for the mineralized zones. The independent and qualified persons for the mineral resource estimate, as defined by NI 43101, are Alain-Jean Beauregard, P.Geo., Daniel Gaudreault, P.Eng., Geologica Groupe-Conseil Inc., and Merouane Rachidi, P.Geo., Claude Duplessi, P.Eng., GoldMinds GeoServices Inc.

Notes:

  1. Mineral resources which are not mineral reserves do not have demonstrated economic viability. An Inferred Mineral Resource has a lower level of confidence than that applying to a Measured and Indicated Mineral Resource and must not be converted to a Mineral Reserve. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, market or other relevant issues. The quantity and grade of reported inferred resources are uncertain in nature and there has not been sufficient work to define these inferred resources as indicated or measured resources.
  2. The database used for this mineral estimate includes drill results obtained from historical records and up to the recent 2018-2020 drill program.
  3. Mineral Resources are reported at a cut-off grade of 0.50 g/t Au for the pit-constrained and Underground mineral resources are reported at a cut-off grade of 2.38 g/t Au within reasonably mineable volumes.
  4. These cut-offs were calculated at a gold price of C$1,980 ounce.
  5. The pit-constrained resources were based on the following parameters: mining cost $3.5/t, processing, transportation + G&A costs $27/t, Au recovery 95%, pit slopes 15 degrees for overburden and 50 degrees for rock.
  6. The underground reasonably mineable volumes were based on the following parameters: mining cost $98/t, processing, transportation + G&A costs $27/t, Au recovery 95%, dilution of 15% at 0 g/t Au with a minimum stope dimension of 10m x 10m x 5m.
  7. The geological interpretation of the deposits was based on lithologies and the typical mineralized interval mainly composed by diorite hosted shear zones.
  8. The mineral resource presented here was estimated with a block size of 5m X 5m X 5m for the pit-constrained and for underground.
  9. The blocks were interpolated from equal length composites calculated from the mineralized intervals. Prior to compositing, high-grade gold assays were capped to 60 g/t Au applied on 0.6-metre composites.
  10. The mineral estimation was completed using the inverse distance squared methodology utilizing two passes. For each pass, search ellipsoids followed the geological interpretation trends were used.
  11. Tonnage estimates are based on rock specific gravity of 2.77 tonnes per cubic metre for all the zones. Results are presented undiluted and in situ.
  12. Estimates use metric units (metres, tonnes and g/t). Metal contents are presented in troy ounces (metric tonne x grade / 31.10348).
  13. This mineral resource estimate is dated February 1st, 2021 and the effective date for the drillhole database used to produce this updated mineral resource estimate is January 4th, 2021. Tonnages and ounces in the tables are rounded to nearest hundred. Numbers may not total due to rounding.
  14. No economic evaluation of the resources has been produced.

Swanson

Large gold property with open pit potential

Monarch Gold acquired a 100% interest in the Swanson property from Agnico Eagle in 2018. That interest was transferred to Monarch Mining following the completion of the transaction between Yamana Gold and Monarch Gold in 2021.  

The Swanson property hosts a gold deposit located 65 kilometres from the Beacon mill and 12 kilometres northeast of Barraute, Quebec. It consists of one mineral lease and 129 claims covering a total area of ​​52.11 km², as well as a 500-metre ramp down to a depth of 80 metres. The property is accessible year-round via Route 367 and a gravel road. A railway track also crosses the property, as does a transmission line.

Resources

Estimated mineral resource table

The resource area within the deposit measures 500 m along strike, 400 m wide and 500 m deep. The estimate is based on a database of 209 drill holes (146 surface holes and 63 underground holes) and 10,000 assays. Grades were capped at 15 g/t Au for the mineralized zones and 4 g/t Au for the dilution envelope. Capping was applied to raw assays before compositing. The mineral resource was estimated using a minimum cut-off grade for two combined potential extraction scenarios: constrained pit and underground. Cut-off grades of 0.75 g/t Au for constrained pit and 2.40 g/t Au for underground were defined based on a gold price of CA$2,160 and an exchange rate of 1.34 USD/CAD.  The independent and qualified persons for the mineral resource estimate, as defined by NI 43101, are Christine Beausoleil, P.Geo., and Alain Carrier, P.Geo., of InnovExplo.

Beacon Mill

Fully operational and refurbished 750 tpd mill

The Beacon Mill is located on a 1.8 km2 property consisting of a mining lease, a mining concession and 11 mining claims. The property also has tailings management ponds, underground installations, a 500-metre shaft and a mechanical shop. The mill is located in Val-d’Or on Route 117, less than 10 km from the Beaufor Mine and near the railway system.

The Beacon Mill has a certificate of authorization from the Ministère du Développement durable, de l’Environnement et de la Lutte contre les changements climatiques for the processing of 1.8 million tonnes of tailings, equivalent to approximately nine years of mineral processing at full capacity.

The Beacon Mill is currently under care and maintenance.

Gold Resources

Mineral Resource Estimates