For the first time, Calibre Mining Corp (TSE: CXB) (OTCMKTS: CXBMF) has published a report showcasing its initiatives to combat climate change.
The gold producer released its 2023 Climate Change Report on Monday morning. Calibre’s American and Nicaraguan operations have been considered therein. Newfoundland’s Valentine Gold Mine will be assessed in next year’s report.
“By sharing our journey, we aim to foster greater understanding and collaboration among our stakeholders, including investors, employees, communities and regulatory bodies,” chief executive Darren Hall said in the report’s introductory letter.
Calibre initiated a review of its Environmental Performance Standards last year. This has enabled the company to establish a framework of minimum requirements for efficiently managing resources and reducing emissions.
This framework will complement Calibre’s adherence to the World Gold Council’s Responsible Gold Mining Principles. Calibre was recognized in March for its third year of conformance with these tenets.
The report examines potential transition risks and opportunities associated with the global shift to a greener economy.
New policies that demand more stringent emission reporting obligations, the costs associated with transitioning to lower emission technologies and increasing fuel expenses were points considered. Also, the potential to reduce operating costs and boost revenue with more efficient equipment and operating practices.
It assesses natural disaster risk levels across the company’s U.S. and Nicaragua mine sites too. These include river flooding, drought, hurricanes, wildfires and landslides.
It covers the potential financial and operational impacts of each natural calamity.
Risk levels. Table: Calibre Mining
Read more: Mid-tier gold producer reconsiders production guidance after Q3 setbacks
Read more: Calibre celebrates completing major heap leach pad expansion at the Pan Mine
Calibre outlines adaption and mitigation strategies
The company has formulated a plan to cope with the impact of nature’s unpredictability.
Notably, Calibre plans to augment its underground ventilation systems to deal with potential extreme heat. The company will also utilize dust control options that minimize water usage.
In case there are heavy storms in a project area, the gold producer will be adapting the design of its water diversion channels. Former pits will be kept flooded at the company’s projects as alternative water sources.
These and multiple other mitigation actions were outlined in the company’s inaugural report. In the coming years, Calibre will be setting up various renewable energy projects at its international mine sites.
“Looking ahead to the medium and long term, we aim to enhance our response capabilities through transition planning, including the development of a comprehensive funding strategy,” Calibre concluded.
Read more: Calibre Mining shuffles strength into its board for future growth
Read more: Calibre Mining seeks new employees for the Valentine gold project
Calibre celebrates recent successes; gold continues ascending
In the U.S., Calibre recently completed a major heap leach pad expansion at Nevada’s Pan Mine. This has provided an additional four years of mining capacity at the site.
In Nicaragua last month, the gold producer discovered a promising new target at the Limon Mine Complex. The “San Jose” discovery has yielded high-grade drill results, including 13.2 grams per tonne gold over 4.9 metres.
A couple weeks ago, the National Bank of Canada (TSE: NA) raised its share target price for Calibre from C$2.85 to C$4.00. Additionally, Raymond James Financial Inc (NYSE: RJF) and the Bank of Nova Scotia (TSE: BNS) upped their share targets for Calibre by C$0.50 and C$0.25 respectively in September.
Gold’s historically high price, currently sitting at about US$2,743 per ounce, provides Calibre with incentive for the continued ramp-up of its operations in the Americas.
A precious metals trader in the United Kingdom, the London Bullion Market Association, recently predicted that the commodity would be worth about US$200 more by this time next year.
Calibre Mining is a sponsor of Mugglehead news coverage
rowan@mugglehead.com
