A mechanical failure has forced an unplanned shutdown at the Blackwater Mine, reducing expected gold output for the first quarter of 2026.
Artemis Gold Inc. (CVE: ARTG) said a ball mill gearbox failed on March 11, halting milling operations at its flagship Blackwater project in central British Columbia. The company disclosed the disruption in a Thursday media release.
The mill processes crushed ore to extract gold and silver from the rock. Consequently, the breakdown temporarily stopped that processing stage while crews prepare repairs. The company said it has a replacement gearbox on site. Additionally, Artemis expects the repair work and mill restart to take between eight and 10 days.
Mining operations at the site continue despite the interruption. Meanwhile, crews are extracting ore and stockpiling material until the mill returns to service. Blackwater Mine sits about 160 kilometres southwest of Prince George and roughly 450 kilometres northeast of Vancouver. The project represents Artemis Gold’s primary producing asset.
The mine poured its first gold and silver in January 2025. Subsequently, the operation reached commercial production on May 1, 2025. The company said the outage will reduce production for the current quarter. However, Artemis Gold has not changed its full-year output guidance.
Management still expects Blackwater to produce between 265,000 and 290,000 ounces of gold in 2026.
During the shutdown, crews will complete maintenance work that had been planned for early in the second quarter. Consequently, the company aims to limit additional downtime later in the year.
The company also said it continues evaluating ways to recover the lost production. Additionally, management is assessing operational adjustments that could increase output.
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Mining crews continued extracting ore during shutdown
Ball mills play a central role in gold processing plants. The equipment grinds crushed ore into fine powder before chemical recovery separates gold and silver from the rock. Large electric motors rotate the mill’s steel cylinder using heavy gear systems. Consequently, the gearbox transfers power that allows the grinding drum to turn continuously.
If a gearbox fails, operators must stop the mill to prevent further mechanical damage. However, most modern processing plants keep spare components to shorten repair times. At Blackwater, mining crews continue extracting ore from the open pit during the shutdown. Meanwhile, trucks haul material to stockpiles until the processing circuit resumes operations.
Stockpiling allows the company to maintain mining productivity despite temporary processing interruptions. Additionally, stored ore can be fed through the mill once operations restart. Mechanical failures in large processing equipment occasionally interrupt mining operations worldwide. Furthermore, operators often use unplanned downtime to complete maintenance tasks earlier than scheduled.
Artemis Gold said it plans to advance some maintenance work originally planned for the second quarter. Consequently, completing that work now could reduce the need for additional stoppages later this year. Blackwater represents one of the newest large-scale gold mines in British Columbia. The project entered commercial production in May 2025 following several years of construction and development.
