Miramar moving closer to construction at Hope Bay

Miramar Mining (MAE-T, MNG-X) moved a step closer to getting its Doris North project up and running after the Ministry of Indian and Northern Affairs (INAC) gave the nod to construction permits.

The company still, however, needs a water license and a number of other permits — such as authorizations from the Department of Fisheries and Oceans and a foreshore lease from the INAC — before it can move into production.

In Toronto on Aug. 2 the company’s shares were up nearly 5% or 21 to $4.51 on roughly 1.5 million shares traded.

Doris is one of three deposits on Miramar’s wholly owned Hope Bay project. The project is a greenstone belt located on the Arctic coast in Nunavut and covers over 1,000 sq. km.

As of Dec. 31, 2005, Hope Bay’s indicated resource stood at roughly 17.9 million tonnes, with an average grade of 6.3 grams per tonne for roughly 3.5 million oz. of gold. Inferred resource stood at 33.6 million tonnes with an average grade of 5.1 grams per tonne for roughly 5.5 million oz.

INAC gave the nod to construction permits after reviewing the Nunavut Impact Review Board’s (NIRB) positive recommendation for the project.

The NIRB completed its review of the environmental impact assessment in March of 2006. That review included 35 conditions, all of which, Miramar says, are achievable.

In a press release Miramar’s president and chief executive Tony Walsh says the decision “opens the door for us to get down to business.”

“We are now in the last leg of the permitting process for Doris North and hope that Nunavut’s first new gold mine can get up and running on schedule,” he says.

If it obtains all of its final licenses and permits, the company plans to be operating at Doris North in mid 2008.