Page 72 By Frank Giorno The historic gold region of Red Lake Ontario entered 2020 with a distinctly downunder tone The storied Red Lake Campbell and Couchenour operations are being run by Austra liabased Evolution Mining Those properties had been operated by V an couver based Goldcorp for several years until the company mer ged with Newmont in the spring of 2019 Seven months later Newmont worked out a deal to transfer its Red Lake Op erations to Evolution Mining a com pany whose top executive says had recently been looking to expand into Canada Executive chairman Jake Klein said the company is excited to add a highgrade longlife asset in Canada W e have been actively looking at as sets in Canada since 2017 as we be lieve it is a country with low geopoliti cal risk high geological prospectivity and a strong mining culture Klein said in a statement Red Lake is an undercapitalized asset which through a committed invest ment in development and exploration is inten ded to become a cornerstone asset in the Evolution portfolio add ed Klein This transaction both strengthens our AUSbased Evolution Mining takes r eigns of historic Red Lake pr operties balance sheet and provides ongoing exposure to new discoveries at Red Lake said T om Palmer President and Chief Executive Ofcer of New mont Evolution is a highly respected and responsible gold producer who is committed to the success of Red Lake and we believe will prove a great part ner for surrounding communities and stakeholders Palmer added Through the agreement with New mont Goldcorp Corporation Evolu tion Mining acquired 100 of the Red Lake gold complex in north western Ontario Red Lake is an under ground gold mining complex in northwestern Ontario The opera tion comprises of the Red Lake and Campbell complexes each consist ing of an under ground mine and as sociated processing facility and the Cochenour mine In the 2018 calendar year the mine produced 276000 ounces of gold at an allin sustaining cost AISC of US988 per ounce In 2019 Red Lake was forecast to produce 150000 160000 ounces at an AISC of approximately US1600 oz Since production comm enced in 1949 Red Lake mine has pro duced more than 25 million ounces of gold Upon closing of the transaction Newmont will receive 375 million in cash and contingent payme nts of up to an additional 100 million tied to new resource discoveries Under terms of the contingent pay ment Evolutio n will pay Newmont 20 million for each one million ounces of new gold resources added to the existing Red Lake re source base over a ffteenyear pe riod The contingent payment is applica ble to the frst fve million ounces of new resources Newmont inte nds to use proceeds from the transaction to support the Company s capital allocation prior ities of returning cash to sharehold ers maintaining an investment grade balance sheet and investing in a worldclass portfolio By acquiring Newmont Goldcorp s mines Evolution Mining becomes the major miner in the Red Lake District where mining dates to the 1870s Since 1949 Red Lake has pro duced more than 25 million ounces of gold In 2018 its mines pro duced 276000 ounces of gold but production is forecast to drop to 150000 to 160000 ounces this year Picture Evolution Mining Executive Chairman Jake Klein THUNDER BAY ON CLE Grounds SEPTEMBER 10 11 2020 300 Exhibits CEN CAN EXPO CENTRAL CANAD A S RESOURCES Showcasing the latest in technologies services for Mining Forestry Energy Construction Complete Event Agenda at wwwcencanexpoca P ALL ADIUM SPONSORS GOLD SPONSORS Page 73 THUNDER BAY ON CLE Grounds SEPTEMBER 10 11 2020 300 Exhibits CEN CAN EXPO CENTRAL CANAD A S RESOURCES Showcasing the latest in technologies services for Mining Forestry Energy Construction Complete Event Agenda at wwwcencanexpoca P ALL ADIUM SPONSORS GOLD SPONSORS