The Bidjovagge mining project comprises gold and copper ore field in Bidjovagge in northern Norway. Arctic Gold owns 5 "utvinningsretter" total area 5 square kilometres and 8 "mutinger" (Norwegian exploration permits) with an area totaling 2.1 square kilometres. These permits cover several areas, including the entire ore field where Outokumpu produced 6,292 kg of gold and 23,752 tonnes of copper from around ten ore bodies between 1985 and 1991.
Bidjovagge is located in Norwegian Finnmarken and the nearest town is Kautokeino, with a population of 3,000. The nearest major town is Alta, which is 130 km away and has a population of 18,000. Bidjovagge is 320 km north of Kiruna in Sweden and 410 km away from Tromsö in Norway.
The ores at Bidjovagge are located along an antiform structure that runs from north to south, where around ten partially mined ore bodies and a number of mineralisation have been discovered. The ore field appear in a Proterozoic greenstone belt, which was formed in a rift basin with volcanic and sedimentary rock types. The greenstone belt, which is called "Kautokenio Greenstone Belt" could be followed from Alta in the north approximately 10 km through the whole of northern Norway and further into northern Finland. Parallel to this is an additional, a similar greenstone belt called "Karasjok Greenstone Belt", which extends even further and which has several interesting gold finds.
Since the past mining period there are nine known deposits with different amount of mineral resource remaining. Historical estimated mineral resources were made during 1991 and 1998 but are not qualified according to modern standards. However I December 2010 Arctic Gold received a mineral resource estimate of six mineralisations made by Outotec in accordance with the JORD code. All together they got an indicated mineral resource of 1.36 million tons with 2.74 gram per ton gold and 1.21 % copper and inferred resource of 30 000 tons with 2.2 gram per ton gold and 1.1 % copper.
A scoping study also reported in December 2010 indicated positive results and an NPV for the project of approximately 500 MSEK, using metal prices from December 2010 and an interest rate of 5%. This estimation was conclude out of an assumption that the mineral resource could be transformed into an ore reserve of 1.77 million tons and if so it should be enough for five years production in a plant of the same kind as Outokumpu use to have.
The mineral resource in Bidjovagge has been increased by 35% through a recent study by Outotec (Finland) Oy after the drilling in 2011. The results show a 2.06 million ton indicated mineral resource with 1.60 g/t gold (2.23 g/t “uncut”) and 1.15% copper as well as 240,000 ton inferred mineral resource with 2.6 g/t gold (2.6 g/t “uncut”) and 0.9% copper. This mineral resource refers to in situ resources in the bedrock at a cut off of 2.0 g/t gold equivalent (Aueq=Au+2.1*Cu bases on a gold price of 950 Us$/tr oz and a copper price of 5,500 Us$/t).
Previously the company has also reported a mineral resource of 300,000 tons with 1.79 g/t gold and 0.60% copper in the old marginal ore heaps which is equivalent to 537 kg of gold and 1,800 tons of copper. This resource should be added to the in-situ resource making the total indicated mineral resource 2.3 million tons with 1.62 g/t gold and 1.08% copper, which is equivalent to around 3,800 kg gold and 25,000 tons of copper.
Updated Mineral Resource Estimation 2012-01-31 (pdf)
Updated Mineral Resource Estimation 2011-03-31 (pdf)
Scoping Study Bidjovagge (pdf)
Bidjovagge Mineral Resource Estimation (pdf)
Picture of Bidjovagge's geology (pdf)
Picture of Bidjovagge mining district (pdf)