Wedoany.com Report-Nov. 19, Equinox Gold (TSX: EQX; NYSE-AM: EQX) has reached commercial production at its Valentine mine in central Newfoundland, the company announced on Tuesday. The milestone follows 60 days of operation at 80% of its nameplate capacity of 6,850 tonnes per day. The Valentine mine is located about 450 km west of St. John’s.

Progress at the Valentine gold mine.

“Achieving commercial production at Valentine marks an important milestone as we expand our Canadian operations,” CEO Darren Hall said. “The operation is performing well, with plant availability, throughput, and recoveries exceeding commissioning period expectations. I’m incredibly proud of the team for responsibly and efficiently ramping up production ahead of schedule.”

Valentine is now the only commercially producing gold mine in Newfoundland and Labrador. The achievement comes two months after the mine poured its first gold ahead of schedule and five months after Equinox acquired the site through its purchase of Calibre Mining. Gold recovery is averaging more than 93% on commissioning feed with a grade of 1.2 grams per tonne, and output is expected to reach the higher end of the fourth-quarter guidance of 15,000 to 30,000 ounces. Hall anticipates reaching full nameplate capacity by the second quarter of next year, which could produce 150,000 to 200,000 ounces annually.

Equinox is also advancing stage two studies that could increase throughput to 5 million tonnes per year, up from 4 million tonnes outlined in the 2022 feasibility study. Once fully operational, Valentine would become the largest gold mine in Atlantic Canada, with projected production of 175,000 to 200,000 ounces annually over the first 12 years of its 14-year reserve life.

The Valentine deposit hosts 2.7 million ounces in proven and probable reserves grading 1.62 grams of gold per tonne, within nearly 4 million ounces of measured and indicated resources averaging 1.9 grams per tonne.

This marks the second Canadian mine Equinox has brought into commercial production within two years. In November 2024, the company declared commercial production at its larger Greenstone mine in northern Ontario, expected to produce 330,000 ounces of gold over an initial 15-year mine life.

Equinox shares were flat at C$17.44 each on Tuesday morning in Toronto, giving the company a market capitalization of C$13.9 billion ($9.9 billion).

Valentine’s rapid ramp-up demonstrates Equinox’s operational expertise and commitment to efficient, responsible mining. The project positions the company as a key gold producer in Atlantic Canada while complementing its operations in Ontario. By achieving high recoveries on lower-grade feed and moving toward full capacity, Equinox is expected to meet its production forecasts and explore further expansion opportunities in the region.

The Valentine milestone strengthens Equinox’s portfolio, showcasing its ability to integrate newly acquired assets quickly and optimize production. It highlights the company’s focus on growth in Canadian gold mining, combining operational performance with strategic resource development to enhance shareholder value.