|The Victor deposit is thus a low-grade deposit,|
and will not be a prolific producer in the same
league as Ekati or Diavik. Current planning is for
an open pit mine to a depth of just over 220
metres, with a mining rate of about 2.5 million
tonnes a year. This gives a mining life of around
15 years, two for construction, 11 for mining and
two for closure of the mine Current estimates for
construction capital are around $730 million.
Current Internal rates of return estimates are just
over 8%, which is below the company’s hurdle
rate of 12%.
Because the site is entirely with in the muskeg of
the James Bay Lowlands, access and foundations
are problematic. There are no roads, and it is
difficult to move when the ground is not frozen as
everything is one huge swamp. Gravel and sand
deposits are few and far between: there are
however, a number of limestone bioherms that
come close to surface, and inn places outcrop. It is
planned to use these to provide aggregate.