Wesdome Gold Mines grows reserve base to support production through 2033

Wesdome Gold Mines (TSX: WDO) has extended the operating life of both of its mines to eight years after updating their reserve estimates, which it says provide the foundation for sustained production through at least 2033.

In a press release on Thursday, the Canadian gold miner said the combined reserve count across its two operations has risen by 17% to a record 1.4 million oz. At the Eagle River mine in Ontario, the reserve base grew by 39% to 676,000 oz., while the Kiena mine in Quebec had a marginal increase to 711,000 oz. after accounting for depletion.

The combined reserves, says Wesdome, are expected to bolster the company’s production profile over the next three years, rising from 180,000-205,000 oz. in 2026 to 185,000-220,000 oz. in 2027, then to 185,000-230,000 oz. in 2028. By then, Eagle River and Kiena are expected to account for about half of the annual production.

The company also notes that this would be the first time that both assets are underpinned by eight-year reserve plans, taking their respective mine life to 2033.

Shares of Wesdome Gold Mines advanced by more than 3% on the update amid weakness in the precious metals mining sector. The company has a market capitalization of C$3.6 billion ($2.5 billion).

‘Foundation for growth’

 “Today marks a defining milestone in Wesdome’s evolution,” CEO Anthea Bath said in a press release. “We have increased mineral reserves, extended mine life across the portfolio and established mine plans that support a growing production profile, stronger operating performance and significant free cash flow generation.”

“Importantly, we have strengthened the foundation from which we can continue to grow the business for many years to come,” she added.

At Eagle River, Wesdome said its global model initiative has successfully converted near-mine tonnes at an economical gold price of $1,800/oz., providing additional material to improve mill utilization and extend the mine life while preserving flexibility to re-sequence the mine plan as higher-grade zones are delineated.

The company will look toward improved execution at Kiena Deep as well as flexibility across multiple mining levels including the Presqu’île Zone, which is expected to achieve commercial production in fall 2026.

Wesdome estimates that its updated mine plans would provide over C$1 billion in free cash flow for the next three years, assuming a gold price of $4,000/oz. Meanwhile, consolidated all-in sustaining costs over that period are expected to remain broadly in line with its 2026 guidance of $1,525-$1,700/oz.

Exploration opportunities

Wesdome has also flagged further growth opportunities on the existing reserves, including resource conversion, highlighting an 87% increase in inferred resources, on top of operational optimization and productivity initiatives.

Beyond reserves growth, the company has identified a series of exploration targets with potential gold mineralization of between 2.4–6.3 million oz., comprising 27.1 to 40 million tonnes with weighted-average gold grades ranging from 2.7 to 4.9 grams per tonne across both properties.

These opportunities are expected to leverage existing infrastructure and provide multiple pathways to extend mine life and support potential future growth, it said.