ENVIRONMENTAL IMPACT STATEMENT CHAPTER 6: · PDF fileENVIRONMENTAL IMPACT STATEMENT CHAPTER 6:...

Magino Gold Project

MAGINO GOLD PROJECT Finan Township, Algoma District, Ontario

ENVIRONMENTAL IMPACT STATEMENT

CHAPTER 6: DESCRIPTION OF THE PROPOSED UNDERTAKING Submitted to: Ontario Ministry of Natural Resources Wawa - District Office 48 Mission Rd Hwy 101 PO Box 1160 Wawa ON P0S 1K0 Tel: 705-856-2396 Canadian Environmental Assessment Agency Ontario Region 55 St. Clair Avenue East, Room 907 Toronto, Ontario M4T 1M2 Telephone: 416-952-1576 CEAA Reference Number: 80044 June, 2017

Prodigy Gold Incorporated

Magino Gold Project Environmental Impact Statement

Description of the Proposed Undertaking Page 6.i

TABLE OF CONTENTS

6.0 DESCRIPTION OF THE PROPOSED UNDERTAKING ................................... 6.2

6.1 Project Location ...................................................................................... 6.2

6.2 Magino Site Access ................................................................................ 6.2

6.3 Existing Infrastructure ............................................................................. 6.5

6.4 Project Components ............................................................................... 6.5

6.4.1 Project Schedule.................................................................. 6.12

6.4.2 Access to the Magino Property ............................................ 6.14

6.4.2.1 Road Access ........................................................... 6.14

6.4.2.2 Public Bypass Road (Ring Road) ............................. 6.14

6.4.2.3 Rail Access and Staging Area at Goudreau ............. 6.14

6.4.3 Ore Body and Open Pit ........................................................ 6.15

6.4.3.1 Open Pit .................................................................. 6.15

6.4.3.2 Explosives Magazine ............................................... 6.15

6.4.3.3 Overburden Stockpiles ............................................ 6.16

6.4.3.4 Mitigation by Design Summary ................................ 6.16

6.4.4 Mining Material Management Area ...................................... 6.17

6.4.4.1 Mine Waste Disposal Alternatives Evaluation .......... 6.17

6.4.4.2 Conceptual Design of the Tailings Management Facility (TMF) ........................................................... 6.18

6.4.4.3 Mine Rock Management Facility (MRMF) ................ 6.21

6.4.4.4 Runoff Water Management for TMF and MRMF ...... 6.21

6.4.4.5 Mitigation by Design for the TMF and MRMF ........... 6.21

6.4.5 Plant Area ............................................................................ 6.23

6.4.5.1 Plant Site Facilities .................................................. 6.25

6.4.5.2 Coarse Ore Stockpile and Crushing ......................... 6.25

6.4.5.3 Mill Building ............................................................. 6.25

6.4.5.4 Grinding and Classification ...................................... 6.25

6.4.5.5 Gravity Circuit .......................................................... 6.25

6.4.5.6 Leaching Area ......................................................... 6.26

6.4.5.7 CIP & CIC Circuit ..................................................... 6.26

6.4.5.8 Carbon Plant and Refinery Area .............................. 6.26

6.4.5.9 Process Control Systems ......................................... 6.26

6.4.5.10 Plant Utilities ............................................................ 6.26

6.4.5.11 Surface Water Management .................................... 6.27

6.4.5.12 Mitigation by Design Summary for Plant Area .......... 6.27



Description of the Proposed Undertaking Page 6.ii

6.4.6 Ancillary Facilities ................................................................ 6.28

6.4.6.1 Administration, Mine Dry, Security and First Aid Buildings .................................................................. 6.28

6.4.6.2 Truck Shop .............................................................. 6.28

6.4.6.3 Warehouse & Maintenance Shop Building ............... 6.29

6.4.6.4 Detonator and Explosives Facilities ......................... 6.29

6.4.6.5 Assay Laboratory and Metallurgical Laboratory ....... 6.29

6.4.6.6 Fuel Storage ............................................................ 6.29

6.4.7 Chemical and Hazardous Materials Management and Storage Facilities ................................................................. 6.29

6.4.7.1 Reagents ................................................................. 6.29

6.4.7.2 Chemical and Hazardous Materials Management and Storage Facilities ......................... 6.29

6.4.7.3 Cyanide Destruction ................................................ 6.30

6.4.7.4 Mitigation by Design for Hazardous Chemical Use and Storage ...................................................... 6.31

6.4.8 Waste Management (Non Mining Wastes) .......................... 6.31

6.4.8.1 Hydrocarbon Contaminated Wastes ........................ 6.32

6.4.8.2 Hazardous Wastes .................................................. 6.32

6.4.8.3 Solid Waste ............................................................. 6.32

6.4.9 Enabling Infrastructure ......................................................... 6.33

6.4.9.1 Construction Camp and Mine Dry ............................ 6.33

6.4.9.2 Project Roads .......................................................... 6.33

6.4.9.3 Electrical Transmission Lines and Substation .......... 6.34

6.4.9.4 Power Generation Equipment .................................. 6.34

6.4.9.5 Potable Water Supply System ................................. 6.34

6.4.9.6 Sewage Treatment System ...................................... 6.34

6.4.9.7 Communications Systems ....................................... 6.34

6.4.9.8 Site Security ............................................................ 6.35


6.4.10 Surface Water Management Systems and Strategies ......... 6.36

6.4.10.1 Processing Plant, Maintenance Facilities and Indoor Storage Facilities .......................................... 6.38

6.4.10.2 Open Pit Dewatering ................................................ 6.38

6.4.10.3 Management of Surface Runoff ............................... 6.38

6.4.10.4 Diversions ................................................................ 6.39

6.4.10.5 TMF Water Management ......................................... 6.39



Description of the Proposed Undertaking Page 6.iii

6.4.10.6 TMF Seepage Water ............................................... 6.39

6.4.10.7 Water Supply ........................................................... 6.41

6.4.10.8 Fresh Water Requirements ...................................... 6.41


6.5 Project Works and Activities ................................................................. 6.43

6.5.1 Site Preparation Phase ........................................................ 6.43

6.5.1.1.1 Public Bypass Road and Access to the Magino Site ................................... 6.43

6.5.1.1.2 Electrical Transmission Lines and Substation ........................................... 6.43

6.5.1.1.3 Other Site Preparation Activities ......... 6.45

6.5.1.2 Site Clearing, Grubbing, and Pre-stripping ............... 6.45

6.5.1.3 Site Clearing ............................................................ 6.46

6.5.1.4 Grubbing and Pre-Stripping ..................................... 6.46

6.5.1.5 Production of Aggregate for Construction of the Project Infrastructure ............................................... 6.46

6.5.1.6 Water Management Strategies During Site Preparation .............................................................. 6.47

6.5.1.7 Construction of the Open Pit Slurry Wall and Stream Diversions ................................................... 6.47

6.5.1.8 Site Preparation Phase Workforce Requirements and Personnel Management ............. 6.47

6.5.1.9 Site Preparation Phase and Procurement ................ 6.47

6.5.1.10 Site Preparation Phase Materials and Personnel Transportation ......................................................... 6.47

6.5.1.11 Waste Management During Site Preparation ........... 6.48


6.5.2 Construction Phase Works and Activities ............................ 6.48

6.5.2.1 Closure of Existing Mine Facilities ........................... 6.49

6.5.2.1.1 Existing Buildings and Structures ........ 6.49

6.5.2.1.2 Existing Non-Mining Waste Landfill ..... 6.49

6.5.2.1.3 Existing Tailings .................................. 6.49

6.5.2.1.4 Residual Soils Removal ...................... 6.50

6.5.2.2 Topsoil and Overburden Stripping and Stockpiling ............................................................... 6.50

6.5.2.2.1 Topsoil Management .......................... 6.50

6.5.2.2.2 Overburden Management ................... 6.50

6.5.2.3 Stream Diversions, Draining, and Backfilling ............ 6.51

6.5.2.4 Construction of Enabling Infrastructure .................... 6.52



Description of the Proposed Undertaking Page 6.iv

6.5.2.4.1 Accommodation .................................. 6.52

6.5.2.4.2 Mine Haul Roads ................................ 6.53

6.5.2.4.3 Potable and Process Water Infrastructure ....................................... 6.53

6.5.2.4.4 Sewage Treatment System ................. 6.53

6.5.2.4.5 Waste Management during Construction ........................................ 6.53

6.5.2.4.6 Site Security ........................................ 6.53

6.5.2.5 Construction of Plant Area Components .................. 6.54

6.5.2.6 Construction of Chemical, Fuel, and Hazardous Materials Management Facilities .............................. 6.54

6.5.2.7 Construction of Mining Waste Management Components ............................................................ 6.54

6.5.2.7.1 MRMF Construction Phase ................. 6.54

6.5.2.7.2 Tailings Management Facility Construction ........................................ 6.55

6.5.2.8 Construction of Environmental Management Infrastructure and Monitoring ................................... 6.56

6.5.2.9 Construction Phase Workforce Requirements and Personnel Management .................................... 6.56

6.5.2.10 Construction Phase Payroll and Procurement .......... 6.56

6.5.2.11 Construction Materials and Personnel Transportation ......................................................... 6.56


6.5.3 Operations Phase Works and Activities ............................... 6.58

6.5.3.1 Operations and Maintenance of Enabling Infrastructure ........................................................... 6.58

6.5.3.1.1 Roads ................................................. 6.58

6.5.3.1.2 Mine Haul Roads and Service Roads ................................................. 6.58

6.5.3.1.3 Electrical Transmission Lines and Substation ........................................... 6.58

6.5.3.1.4 Potable and Process Water Infrastructure ....................................... 6.59

6.5.3.1.5 Sewage Treatment System ................. 6.59

6.5.3.1.6 Non-mining Waste Facilities ................ 6.59

6.5.3.1.7 Site Security ........................................ 6.59

6.5.3.2 Open Pit Mining ....................................................... 6.60

6.5.3.2.1 Mining Method .................................... 6.60

6.5.3.2.2 Pit Dewatering .................................... 6.60

6.5.3.2.3 Explosives Handling and Use.............. 6.60



Description of the Proposed Undertaking Page 6.v

6.5.3.2.4 Mining Equipment ............................... 6.70

6.5.3.2.5 Support/Ancillary Equipment ............... 6.70

6.5.3.2.6 On-site Materials Haulage ................... 6.71

6.5.3.2.7 Ore Stockpiling ................................... 6.71

6.5.3.2.8 Existing Tailings .................................. 6.71

6.5.3.2.9 Top-Soil and Overburden Stockpiling .......................................... 6.72

6.5.3.3 Operation and Maintenance of Ore Processing Plant and Plant Area Facilities ................................. 6.72

6.5.3.3.1 Ore Transport ..................................... 6.72

6.5.3.3.2 Primary Crusher Operations ............... 6.72

6.5.3.3.3 SAG and Ball Mills, Cyclone and Gravity Circuit Operations ................... 6.72

Leaching and Refining Operations ........................... 6.73

Electrowinning and Smelting .................................... 6.73

Cyanide Treatment .................................................. 6.75

6.5.3.4 Chemical, Fuel and Hazardous Materials Management ............................................................ 6.75

Chemical Reagents ................................................. 6.75

Fuels 6.76

6.5.3.5 Mining Waste Management ..................................... 6.77

Mining Material Management Facility Operations..... 6.77

Tailings Management Facility Operations ................ 6.77

6.5.3.6 Progressive Rehabilitation of Mining Material Management Facilities ............................................. 6.78

Existing Tailings Facility ........................................... 6.78

Mine Rock Management Facility .............................. 6.78

Tailings Management Facility .................................. 6.79

6.5.3.7 Operation and Maintenance of Water Management Infrastructure ...................................... 6.79

6.5.3.7.1 Groundwater Controls and Pit Water Management ............................ 6.81

6.5.3.7.2 Surface Water Diversions and Collection ............................................ 6.81

6.5.3.7.3 TMF and MRMF Seepage Water Management ....................................... 6.81

6.5.3.7.4 Sewage Treatment Facility Operations .......................................... 6.81

6.5.3.7.5 Water Quality Control Pond ................ 6.82

6.5.3.7.6 Discharge to the Receiving Environment ........................................ 6.82

6.5.3.7.7 Adaptive Management ........................ 6.82



Description of the Proposed Undertaking Page 6.vi

6.5.3.7.8 Ongoing Environmental Monitoring ..... 6.82

6.5.3.8 Support Mobile Equipment for Mill Operation ........... 6.83

6.5.3.9 Operations Phase Workforce Requirements and Personnel Management ........................................... 6.83

6.5.3.9.1 General Administration and Labour Staffing Schedule ................................ 6.83

6.5.3.9.2 Mine Personnel and Organization Structure ............................................. 6.84

6.5.3.9.3 Milling Operation Labour and Staffing Schedule ................................ 6.86

6.5.3.10 Operations Phase Materials and Personnel Transportation ......................................................... 6.86

6.5.3.11 Mitigation by Design Summary during Operation Phase ...................................................................... 6.87

6.5.4 Closure and Rehabilitation Related Works and Activities .... 6.90

6.5.4.1 Closure of Explosives Management Facilities .......... 6.90

6.5.4.2 Closure of Chemical, Fuel and Hazardous Materials Management Facilities .............................. 6.90

6.5.4.3 Closure of Enabling Infrastructure ............................ 6.90

Accommodation Complex ........................................ 6.90

Mine Haul Roads and Service Roads ...................... 6.90

Electrical Transmission Lines and Substation .......... 6.90

Potable and Process Water Infrastructure ............... 6.91

Sewage Treatment System ...................................... 6.91

Non-Mining Waste Facilities .................................... 6.91

Site Security 6.91

6.5.4.4 Closure of Ore Processing Plant and Plant Area Facilities .................................................................. 6.91

Low-Grade Ore Stockpile ......................................... 6.91

Primary Crushing Facility and Crushed Ore Stockpile ............................................. 6.91

Gold Processing & Ancillary Facilities ...................... 6.92

6.5.4.5 Final Rehabilitation of Mining Waste Management ............................................................ 6.92

Mine Rock Management Facility .............................. 6.92

Tailings Management Facility .................................. 6.92

6.5.4.6 Site Rehabilitation .................................................... 6.93

6.5.4.7 Operation and Maintenance of Environmental Management Infrastructure ...................................... 6.93

6.5.4.7.1 Surface Water Controls ....................... 6.95

6.5.4.7.2 Pit Filling ............................................. 6.95



Description of the Proposed Undertaking Page 6.vii

6.5.4.7.3 Ongoing Environmental Monitoring ..... 6.95

6.5.4.8 Closure and Rehabilitation Phase Workforce Requirements & Personnel Management ................ 6.95

6.5.4.9 Closure and Rehabilitation Phase Payroll and Procurement ............................................................ 6.95

6.5.4.10 Closure and Rehabilitation Phase Materials and Personnel Transportation ......................................... 6.96


6.5.5 Post Closure Phase ............................................................. 6.96

6.5.5.1 Pit Lake Filling ......................................................... 6.96


6.5.5.3 Adaptive Management ............................................. 6.98

6.6 Temporary Suspension of Operations or State of Inactivity .................. 6.98

6.7 Evolution of the Project ......................................................................... 6.98

6.7.1 Feasibility Studies ................................................................ 6.99

6.7.1.1 Current Feasibility Study .......................................... 6.99

6.7.1.2 Implication for the EIS .............................................. 6.99

6.7.2 Environmental Baseline Studies, Traditional Knowledge, and, Public Consultations .................................................. 6.100

6.7.2.1 Feedback from Engagement with Aboriginal Groups ................................................................... 6.100

6.7.2.2 Changes to the Project Design as a result of Public Consultation ................................................ 6.101

6.7.3 Changes to the Project ...................................................... 6.101

6.8 Summary of Mitigation Measures Incorporated into the Project .......... 6.104

6.9 References ......................................................................................... 6.115



Description of the Proposed Undertaking Page 6.viii

TABLES

Table 6-1: Magino Project Key Facts Table .............................................................................. 6.8

Table 6-2: Pit Area and Overburden Stockpiles Mitigation by Design Summary ..................... 6.16

Table 6-3: Mine Rock Management Facility Mitigation by Design Summary ........................... 6.22

Table 6-4: Plant Area Mitigation by Design Summary ............................................................ 6.27

Table 6-5: Mitigation by Design Summary for Hazardous Chemical Use and Storage............ 6.31

Table 6-6: Enabling Infrastructure Mitigation by Design Summary ......................................... 6.35

Table 6-7: Environmental Management Infrastructure Mitigation by Design Summary ........... 6.41

Table 6-8: Site Preparation Phase Mitigation by Design Summary......................................... 6.48

Table 6-9: On-site Waterbodies Impacted by the Mine Project Components .......................... 6.51

Table 6-10: Construction Phase Mitigation by Design Summary ............................................ 6.57

Table 6-11: Expected Mine Production and Ore Processing Schedule ................................... 6.62

Table 6-12: Initial Primary Open Pit Mining Equipment .......................................................... 6.70

Table 6-13: Reagent Consumption and On-site Storage ........................................................ 6.76

Table 6-14: Hydrocarbon Usage ............................................................................................ 6.77

Table 6-15: Support Mobile Equipment for Milling Operation.................................................. 6.83

Table 6-16: Expected General Administration and Labour Staffing Schedule ......................... 6.84

Table 6-17: Expected Mill Operation Staffing Requirements .................................................. 6.86

Table 6-18: Expected Heavy Vehicle Traffic Volume to Site for Operation Phase .................. 6.87

Table 6-19: Operation Phase Mitigation by Design Summary ................................................ 6.88

Table 6-20: Changes in Project Definition ............................................................................ 6.102

Table 6-21: Summary of Mitigation Measures Incorporated into the Project ......................... 6.106



Description of the Proposed Undertaking Page 6.ix

FIGURES

Figure 6-1: Regional Map ......................................................................................................... 6.3

Figure 6-2: Magino Site Map .................................................................................................... 6.4

Figure 6-3: Magino Project Site Layout .................................................................................... 6.6

Figure 6-4: Impacted Areas on the Magino Site ....................................................................... 6.7

Figure 6-5: Project Schedule .................................................................................................. 6.13

Figure 6-6: TMF Conceptual Design – Profile and Sections ................................................... 6.19

Figure 6-7: TMF Conceptual Design – Additional Details ....................................................... 6.20

Figure 6-8: Process Plant Site Layout .................................................................................... 6.24

Figure 6-9: Site Water Management ...................................................................................... 6.37

Figure 6-10: TMF Seepage Drainage System ........................................................................ 6.40

Figure 6-11: Magino Site – Bypass Road and Relocation of Power Line ................................ 6.44

Figure 6-12: Site and Pit Development Year -1 ...................................................................... 6.63

Figure 6-13: Site and Pit Development Year 1 ....................................................................... 6.64





Figure 6-18: Site and Pit Development Year 10 ..................................................................... 6.69

Figure 6-19: Gold Extraction Process Flowsheet .................................................................... 6.74

Figure 6-20: Water Balance for the Life of Project .................................................................. 6.80

Figure 6-21: Water Management Concepts for Closure-Post Closure Phase ......................... 6.94



Description of the Proposed Undertaking Page 6.1

PREAMBLE

Description of the Project Undertaking

Chapter 6 presents the Magino Project Description. It is structured to provide the reader with the information for the Magino Project as outlined in the GUIDELINES FOR THE PREPARATION OF AN ENVIRONMENTAL IMPACT STATEMENT (2013, November) as prepared by Environment Canada pursuant to the Canadian Environmental Assessment Act, 2012.

Section 6.1 of this Chapter presents an overview of the Project Components and their location on the Magino Property. Maps and drawings are provided at an appropriate scale, showing the project location, the project components, boundaries of the proposed site with Universal Transverse Mercator (UTM) coordinates, the major existing infrastructure, adjacent land uses and important environmental features where such features exist. Under each sub-section, mitigation designs incorporated into the Project in order to avoid, reduce or minimize adverse potential effects of the Project on the receiving environment are identified along with expected outcomes for such mitigations.

Section 6.2 focuses on Project activities. Included is a description of the site preparation, construction, operation and decommissioning of the Project site. This includes descriptions of the activities to be carried out during each phase, the location of each activity, expected outputs and an indication of the activity's magnitude and scale. The emphasis is placed on activities with the greatest potential to have environmental effects. The activities that involve periods of increased environmental disturbance or the release of materials into the environment have been identified. As per section 6.1, under each sub-section ‘mitigations by design’ are incorporated into the Project in order to avoid, reduce or minimize adverse potential effects of the Project on the receiving environment. They are identified along with the expected outcomes from such mitigations.

The Project's overall schedule is presented at the beginning of Section 6.1.




6.0 DESCRIPTION OF THE PROPOSED UNDERTAKING

This description of the proposed undertaking is intended to:

Identify the proposed location of each component and associated activities;

Provide an indication of the Project component’s or activity's magnitude or scale; and

Describe the expected manner in which the Project works and activities will be implemented during the various Project phases.

The Canadian Environmental Assessment Act (CEAA) 2012 defines "mitigation measures" as the means for the elimination, reduction, or control of the adverse environmental effects, and includes restitution for any damage to the environment caused by those effects through replacement, restoration, compensation or any other means. For the purposes of this Environmental Impact Statement (EIS), Prodigy has carefully considered the role of mitigation in the design of the Project. As such, the mitigation that has been taken into consideration during the Pre-Feasibility Study stage of Project design is described in the following sections. The intended outcomes of these “mitigation by design” measures are described.

A regional map of the Project area is presented in Figure 6-1. Figure 6-2 indicates the boundaries of the Magino property and mineral claims and land use in the surrounding the area. Figure 6-2 focuses on the present condition of the Magino property and identifies the streams and water bodies present on the site. For reference, the proposed Project footprint has been overlaid on this map.

6.1 Project Location

The Project is centered at Universal Transverse Mercator (UTM) 689049E 5351422N (North American Datum [NAD] 83 Zone 16U). The location of the Project is shown in Figure 6-1.

6.2 Magino Site Access

The Project is located in Finan Township, approximately 40 km northeast of Wawa, Ontario. The property can be accessed via a 14 km, all-weather gravel road (Goudreau) west of Dubreuilville, which is located on Highway 519, 30 km east of the junction of Highway 17 and Highway 519. This junction is approximately 40 km north of Wawa on Highway 17. Additional access to the Project is provided via Road 48, also from Dubreuilville, which is approximately 24 km along gravel road. Both of these roads include bridges across the Magpie River. Current access routes to the Project are shown in Figure 6-1.




Figure 6-1: Regional Map




Figure 6-2: Magino Site Map




6.3 Existing Infrastructure

The Canadian Pacific Railway main east-west railway line runs through Lochalsh, and is located 14 km east of the Property. The Algoma Central Railway runs west of the Property line, adjacent to the property boundary. The level crossing at Goudreau is located 7 km to the west of the future processing facilities. A 44 kV power line extends from Goudreau to Lochalsh and includes the historical Magino mine site. Most of the former surface buildings on the mine site have been dismantled, and only the electrical and carpenter shops remain in service. The underground workings were in operation until 1993, and are currently flooded and sealed to prevent entry. An existing 44 kV power line owned by Algoma Power Inc. (API) is currently servicing the property. This circuit originates near Highway 101, south of Hawk Junction, and provides power to the towns of Hawk Junction and Dubreuilville, as well as the settlements of Goudreau, Lochalsh and Missanabie.

6.4 Project Components

The proposed development of the Magino Project site layout is illustrated on Figure 6-3. The Project will include:

A site bypass road or “ring road”;

An open pit mine with in-pit haul roads;

A Mine Rock Management Facility (MRMF);

Overburden stockpiles;

Ore stockpiles and conveyors;

Ore crushing and grinding facilities;

A processing plant area (mill) and its associated equipment, facilities, structures, and enabling infrastructure;

A Tailings Management Facility (TMF);

A variety of site surface water management infrastructure including seepage trenches, ditches, pipelines and pumping systems; and

A freshwater intake in Goudreau Lake.

Areas within the Magino property likely to be impacted or disturbed by the Project construction and mining activities are illustrated on Figure 6-4.

Table 6-1 summarizes the key information about the Magino Project.




Figure 6-3: Magino Project Site Layout




Figure 6-4: Impacted Areas on the Magino Site




Table 6-1: Magino Project Key Facts Table

Key Project Facts

Mining Claims The Magino property comprise 18 patented mining claims (mining and surface rights), 62 leased mining claims, and 17 unpatented mining claims with a combined area of 2,261 ha.

Project Location The Project is located 195 km north of Sault Sainte Marie, Ontario, Canada. It is in Finan Township, approximately 40 km northeast of Wawa, Ontario and 10 km southeast of Dubreuilville, Ontario.

Site Existing Conditions

Brown-fields site that contains an historic underground gold mine, landfill and tailings facility.

Site Access

Via Goudreau Road for transport of crew, supplies, and other transport to and from the Project site.

Public Bypass Road to surround the entire site.

Deposit Mineral Reserve Estimate (Probable)

Diluted tonnage: 105 Mt; Cut-off grade: 0.34 g/t Au; Diluted grade: 0.89 g/t Au Contained gold: 3,000 koz

Project Purpose Mine the gold deposit using conventional open pit mining methods and extract gold from the ore using a 35,000 t/d carbon-in-pulp (CIP) mineral processing facility.

Project Life

18 years Life of Project (Construction – Operation – Closure)

Site preparation/ Construction – 3 years

Operation: mining 10 - years; milling – 12 - 15 years

Closure – 3 years Post Closure Monitoring

Site wide – 10 years

Pit Lake filling – up to 50 years

Open Pit

Total material hauled from the pit –up to 550 Mt over 11 years (including one year of pre-stripping)

- mine rock plus low grade ore range from 400 Mt to 430 Mt

- ore 120 to 150 Mt

- LOM average strip ratio: 3.8

- Lower cut-off grade: < 0.27 g/t Au

Ultimate pit opening: approximately 105 ha; Ultimate pit depth: 430 m

Bench height: 10 m (single, working); 20 m (double, final pit); Face angle: 55o to 76

o

(double bench, final pit); Berm width: 8.5 m; Ramp width: Upper bench - 31 m double lane; Lower bench – 23 m single lane; gradient of 10%

Material haulage: 150,000 t/d to 176,000 t/d

Haul truck size: 220 t

Haul trucks trips: 690 to 800 trips per day

Mining time frame: 10 years (plus 1 year of pre-production stripping)

Rock face ARD potential: < 1% (over 99% NAG)

Pit inflows pumped to Mill for make-up water and/or TMF

Explosives

Explosives (100% emulsion) delivered to site by Explosives Contractor. As Project evolves, ANFO/emulsion mixture ratio will be adjusted to remain in compliance with Air Quality criteria at Project boundaries.

Explosives magazine on site for up to 24 tonnes of product; cap magazine up to 3.6 tonnes of product

Explosives use: 0.2 kg/t of rock




Topsoil Stockpile and

Overburden Stockpiles

Top soil up to 1,500,000 m3; Overburden up to 16,000,000 m

3.

Overburden used screened and used for construction. Excess overburden stockpiled in three areas within boundaries of perimeter bypass road (northwest, west and southwest of the MRMF). Total surface area of stockpiles – 60 ha.

Top soil used for reclamation purposes.

Mine Rock Management Facility (MRMF)

Stockpile of mine rock up to 430 Mt (including mine rock used for TMF construction)

ARD potential of mine rock less than 1%

Used for construction of TMF embankment, road, and infrastructure pads.

Stockpile area north and east of TMF – up to 400 ha (including ore stockpile).

Elevation of MRMF up to 510 m.

Ore Stockpiles

Stockpile up to 15 Mt by year 3 of mining

Crushed ore: 20,000 tonnes

Stockpile up to 45 Mt (40 ha stockpile area) east of MRMF

Primary Crushing

Input top size: 850 mm; Product: 80% passing 150 mm

Gyratory crushers 1,250 x 1,625 – 373 kW; Crushing rate: 1,667 t/hr (75% utilization factor).

Crushed ore stockpile live capacity: 20,000 t

Grinding Circuit

SAG Mill (11 m diameter x 6.4 m long; 17 MW installed power); feed rate: 1,360 t/hr; final product size (P80): 75 micron

Pebble crusher: 450 MW installed power

Ball Mill: 8.2 m x 12.8 m long; 17 MW installed power

Processing Plant

Processing Rate: 25,000 to 35,000 t/day; 12,775,000 t/year; 365 day/year operation.

Process includes: Leach Circuit, CIP (carbon-in-pulp) Circuit, Thickeners, Carbon Acid wash, Elution, Regeneration, CIC Circuit, Electrowinning and Refinery, Carbon Stripping, Carbon Reactivation, Tailings wash thickeners, Cyanide detoxification (SO2-Air), and, Tailing Handling and Reclaim; Au recovery of 93.5%.

Mill water requirements: Circulating water load of 1,300 m3/hr; Plant start-up water

requirement: up to 500,000 m3; Freshwater make-up requirement approximately 70 to

80 m3/hr; 70 m

3/hr at end of pit life.

Reagents Consumption and Storage

Reagent

Consumption Storage

tonnes/year Capacity Method

Lime (CaO)

2555 100 tonnes (2 weeks supply)

Stored in 100 tonnes silo.

Sodium Cyanide (NaCN)

9580 200 tonnes (one week

supply)

Stored in 10 seacan containers on site (20 t capacity per container). Bags/wooden box transferred to mill as required.

Caustic Soda (30% strength)

255 40 m3

Up to two iso-containers on site stored on laydown area close to the mill.

Hydrochloric Acid (36 - 38% strength)

130 40 m3


Activated Carbon

640 60 tonnes

(one month supply)

Three 20 ft. seacan container stored on laydown area next to mill. Bag transferred to mill by forklift as required.




Sodium Metabisulphate

4800 400 tonnes (one month

supply)

Twenty 20 ft. seacan container stored on laydown area close to the mill. Bag transferred to mill by forklift as required.

Copper Sulphate (CuSO4.4H2

O)

1625 140 tonnes (one month

supply)

Seven 20 ft. seacan container stored on laydown area close to the mill. Bag transferred to mill by forklift as required.

Magnafloc 155

255 20 tonnes

(one month supply)

One 20 ft. seacan container stored on laydown area close to the mill. Transferred to mill as required.

Anti-scalant 385 30 tonnes

(one month supply)

Two 20 ft. seacan container stored on laydown area close to the mill. Transferred to mill as required.

Other minor reagents may include antiscalants, Leachaid and standard industry fluxes, typically consisting of borax, silica and nitre for use in the induction furnace

Tailings Management Facility (TMF)

Disposal of up to 150 Mt; Construction of TMF completed in stages.

Surface area – 390 ha (outside toe of embankment).

Tailings surface area – 260 ha

Crest elevation of embankment - 480 m (maximum tailings deposition thickness ranging up to 80 m).

Three (or more) stage construction for impoundment with spillway constructed for each stage.

Tailing slurry is 55% solids by weight (thickened tailing).

Reclaim water system incorporated in TMF facility.

Seepage control is incorporated; seepage monitored and discharges to Water Quality Control Pond; or is returned to TMF (depending on seepage water quality).

Air Supply Five 18,000 Nm

3/hr @ 550 kPag air compressor supply low pressure air for cyanide

detoxification.

Water Supply

Reclaimed water from TMF is main source of process water. Runoff collected in Water Quality Control Pond is the secondary source of process water. Fresh water make-up for mill and reagent preparation taken from Goudreau Lake: 1,680 m

3/day; estimated

annual requirements at 620,000 m3.

Potable water requirement of 120 m3/day from Goudreau Lake.

Sewage Treatment Plant

Package treatment plant; Capacity of up to 120 m3/day.

Treated sewage effluent pumped to TMF.

Heavy Industrial Facilities

Processing Plant; Mine Equipment Maintenance Shops.

Light Industrial Facilities and Buildings

Warehouses, maintenance facilities, Administration building, Temporary Camp, Mine Dry

Temporary camp capacity of 400 people on site.

Power Supply and On-site Generation

Supplied by local utility company API; 44 kV line from Hawk Junction; Total connected load of 50 MW; Operating demand of 37 to 40 MW.

Main substation contains two transformers rated at 44 kV – 25 kV and on-site power distributed to the plant at 25 kV. Back-up power provided by 3 x 1 MW gen sets.

Site Water Management

Diversion of natural runoff around disturbed areas (from Water Body 10 and upper reaches of McVeigh Creek).

Interception ditches located around mine facilities and disturbed areas. All mine contact water channelled to Water Quality Control Pond (Water Body 7) constructed to capture runoff from disturbed areas, MRMF ore stockpiles, and plant and ancillary areas.




Open pit dewatering pumped to process plant or TMF.

TMF water collected and recycled to the process plant.

All mine contact water collected in Water Quality Control Pond is discharged or pumped to TMF or process plant if water quality unsuitable for discharge to receiving environment. WQCP water is pumped to TMF as make-up and the excess is treated as necessary before discharge to the environment

TMF effluent discharges to Water Quality Control Pond. Adaptive management consist of treatment of TMF and/or Water Quality Control Pond water, if required.

Discharge from Water Quality Control Pond to Otto Lake via an outfall.

Fuels

Solid Waste Management

Sorting and recycling program implemented on site. Metal scrap and recyclable wastes shipped off site for recycling.

Burn pile for wood/paper and other non-plastic combustible wastes.

Organic and camp waste landfilled on site or shipped to municipal landfill in Dubreuilville (preferred alternative).

Estimated volume of solid waste - 300 to 500 kg/day.

Hazardous wastes ship off site to accredited hazardous waste treatment facility.

On-site Accommodation

Construction Phase - Temporary camp on-site for up to 400 persons. Remainder of construction crews housed in Dubreuilville.

Operation Phase – Accommodation located at Dubreuilville

Estimated Work Force

Site development – 50 persons.

Peak construction workforce – 500 to 600 persons of which 400 will be lodged on site.

Operations (mining and milling) – up to 375 persons.

Environmental Assessment

Temporal Boundaries

Site Preparation / Construction: 3 years.

Operation: 10 to 15 years.

Closure: 3 years.

Post closure monitoring until closure objectives are achieved.

Spatial Boundaries

Regional Study Area (RSA) – 11,120 ha (110 km2).

Local Study Area (LSA) – 3,623 ha (36 km2) – varies with each VECs.

Project Study Area (PSA) - 1,802 ha (18 km2).

Facilities footprint inside of perimeter road - 1,070 Ha.

Valued Ecosystem and Socio Economic Components

Five (5) VCs relevant to the Atmospheric Environment:

Air quality; Noise, Vibrations; Light; Greenhouse Gases/Climate Change.

Six (6) VCs relevant to the Physical Environment;

Terrains and Soils; Groundwater; Surface Water Hydrology; Surface Water

Quality; Stream and Lake Sediments; and Visual Resources.

LSA – 3,623 ha – includes sub-watersheds associated with Herman-Otto,

Spring-Lovell and Webb-Goudreau drainage.

Eight (8) VCs relevant to the Biological Environment:

Fish and Fish Habitat; Terrestrial Vegetation; Wetlands; Significant Wildlife

Habitat; Migratory and Breeding Birds; Mammals; and Species at Risk

(aquatic and terrestrial).

On-site Storage

trips/year Tanker truck trips/day Tank Capacity

Diesel 40,000 Litres/trip 1225 Three to four 2000 m3

Gasoline 20,000 Litres/trip 8 One tanker every 6 weeks 10 m3

Fuel Oil 20,000 Litres/trip 12 One tanker per month 10 m3

49,000,000

165,000

250,000

TypeConsumption Transportation to Site

Litres/year Amount per trip




LSA – 3,623 ha – includes sub-watersheds associated with Herman-Otto,

Spring-Lovell and Webb-Goudreau drainage.

Four (4) VCs relevant to the Social Environment:

Population and Demographics; Community Vitality; Infrastructure; and

Services.

Three (3) VCs relevant to the Economic Environment:

Land use and Tourism; Employment and Business Opportunities; and

Government Revenues.

Three (3) VCs relevant to Aboriginal interests:

Aboriginal Employment and Business Opportunities; Traditional Use of

Lands and Resources; Aboriginal Cultural Activities and Special Places.

Two (2) VCs relevant to health:

Public Health; and Worker Safety.

Project Economics

Capital Costs-initial $540 M (US $)

Capital Costs Sustaining $195 M (US $)

6.4.1 Project Schedule

The overall project schedule is presented in Figure 6-5.




Figure 6-5: Project Schedule

0 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34

Environmental Assessment and Permitting

Post Closure (Monitoring until closure objectives are satisfied)

Closure (Decommissioning 3 years)

Operation (10-15 years)

Construction (2 years)

Site Preparation (1 year)

Year

Proposed Magino Gold Project Schedule




6.4.2 Access to the Magino Property

6.4.2.1 Road Access

The main access to the Project is from Highway 17 (Trans-Canada Highway) via Highway 519 and Goudreau Road. Highway 17 and Highway 519 are paved roads, operated and maintained by the Ontario Ministry of Transportation (MTO). Goudreau Road is a primary all-weather gravel road owned by the Crown and maintained by the Ontario Ministry of Natural Resources and Forestry (MNRF) when funding is available. Goudreau Road is open for public use and is used as access to the recreational areas of Goudreau, located southwest of the property, as well as the recreational area of Lochalsh, located to the east. It is also used by the forestry industry and by Richmont Mines Inc., to access the neighbouring Island Gold Mine and Edwards Mine. Currently, the costs to maintain the section of Goudreau Road to the mine site area are borne by Richmont and Prodigy, in a cost-sharing arrangement. The existing road network will continue to provide access to the site.

6.4.2.2 Public Bypass Road (Ring Road)

Public access to the recreational area of Goudreau will be retained. Public traffic will remain outside of the proposed mine site. At the onset of site preparation activities, Prodigy will aim at routing public traffic away from the Project site. A public bypass road will be constructed on the property to circumvent the mine infrastructure. The selected route will connect to the Goudreau Road in the north-east portion of the property, and will go around the site as shown in Figure 6-3. The bypass road will connect with the existing Goudreau Road in the south. Depending on final design and alignment, this route will be approximately 8 to 8.5 kilometres (km) long.

All Project components and infrastructure will be constructed to the east of this bypass road.

6.4.2.3 Rail Access and Staging Area at Goudreau

As an alternative to the exclusive use of public roads, Prodigy is exploring the feasibility of developing a staging area along one of the railway lines neighboring the Magino site. While personnel and employees from local communities would commute to the Magino site via the existing roads, one of the existing railways could be used for transportation of fuel, supplies, construction equipment and other material to the project site. The use of the railways would require the upgrading of the existing spur line and the development of a staging area next to the railway line. The staging area would essentially be a secure laydown area that provides sufficient space (i.e., approximately 50 hectares (ha)) for unloading and temporary storage of materials, supplies, equipment, fuel and reagents delivered by rail cars.

The use of railway transportation and a staging area is contingent on successful commercial negotiation with the existing railway companies. This will be pursued during the feasibility study. Three areas are under consideration for the development of this staging area. They are:

1) At the existing Goudreau level crossing located 7 km from the future plant site where a spur line already exists on the Algoma Rail Line. Development of a staging area at this site would require purchase of the land, the upgrade of the existing spur line and earthworks for the development of the staging area.

2) At the southeast corner of the Magino property where the Algoma Rail Line runs through the property. This would require the construction of a new connector road and staging area, both of which would be entirely on Prodigy property.




3) At Lochalsh, near the level crossing of the main Canadian Pacific Railway. This site is located 14 km to the east of the future plant site and is connected to the plant site by an existing gravel/forestry road. Development of a staging area at this location would require purchase of the land, upgrade of the existing 14 km forestry road and the earthwork for the development of the laydown area.

The proposed staging area would be fenced with access limited to Prodigy employees and contractors. Equipment at the staging site would consist of a container handler/forklift required to unload and stack containers onto the laydown area. Flatbed trucks would transport material and supplies to the mill site. Fuel would be brought to the staging area in rail tank cars, transferred into tanker trucks and transported to the site fuel storage depot.

6.4.3 Ore Body and Open Pit

As this is a mining project, the location of the ore body and the mining method to be used will determine the configuration of the site layout.

Prodigy’s exploration activities completed in 2011, 2012 and 2015 have focused on the Webb Lake area and the former Magino Mine gold mineralization. These drilling campaigns have delineated the ore body in the southeast corner of Magino property that is amenable to open pit mining. Exploration activities to date have identified an estimated mineral reserve of 105 Mt of high grade ore at a cut-off grade of 0.34 g/t of Au for an estimated production of 3,019 koz of gold. An additional 45 Mt of lower grade ore (mineral resources) has also been identified (grade of 0.27 g/t Au).

6.4.3.1 Open Pit

The open pit covers approximately 105 ha and ultimately will reach a depth of 430 m by the end of mining activities. Section 6.2.3.2 and Figure 6-12 describe the manner in which mining and the open pit will evolve over the project time frame.

The full development of the open pit will span 11 years which include one year for pre-stripping of topsoil and overburden from the pit surface.

The side slopes of the pit will be benched to provide slope stability and space for mine truck access ramps and roads. Ramp grades will be 10% or less. Groundwater wells will be used to dewater the pit to improve slope stability and allow the blasting to occur in dry conditions. The pit slope has been designed to a safety factor of 1.6.

6.4.3.2 Explosives Magazine

Explosives are required for open pit mining operations. A qualified contractor will supply pre-packaged explosives to the site. The Project will initially use 100% emulsion for explosives. As the Project progresses and air quality monitoring information becomes available, Prodigy will optimize the explosive mixture (emulsion/ANFO ratio) to remain compliant with air quality standard at the Project fence line.

An explosives magazine for detonators and explosives storage are located outside the blast radius of the open pit, and away from the worker accommodations, process plant, and waste management facilities. The explosives magazine will be sized for up to 24 tonnes of product,




and the cap magazine will be sized for up to 3.6 tonnes of product. It will be located to the south or south east of the pit. Prodigy will comply with all licensing, safety, and security requirements set out by the explosives regulations administered by NRCan (Natural Resources Canada).

6.4.3.3 Overburden Stockpiles

Topsoil and overburden (till and glaciofluvial deposits) removed from the pit area during pre-stripping will be stockpiled and/or used for construction activities. Stockpile locations for the storage of topsoil and overburden are identified in Figure 6-3.

Topsoil and overburden excavated from the footprint of the TMF embankment will also be stockpiled at these stockpile areas. The expected volume of excavated topsoil and overburden are shown in Table 6-1.

Runoff water management from these stockpiles is discussed in section 6.1.9.

6.4.3.4 Mitigation by Design Summary

Table 6-2 provides a summary of key mitigation measures that have been designed into the Project with their intended outcome.

Table 6-2: Pit Area and Overburden Stockpiles Mitigation by Design Summary

PROJECT COMPONENTS MITIGATION DESIGNED INTO

THE PROJECT INTENDED OUTCOME OF

MITIGATION

Open Pit

Open pit is designed to maximize the potential for ore extraction with the minimum volume of rock removed.

Minimizes the amount of overburden, mine rock handled.

Optimizes the overall footprint for the open pit.

Pit and ramps have been designed to maximize slope stability.

Slope stability maximizes worker safety and limits slope failure risks and associated effects on adjacent waterbodies.

Explosives Magazine

The explosives magazine is located in an isolated area.

Prodigy will comply with all licensing, safety and security requirements.

Minimizes hazards to mine workers and reduces potential releases to the environment.

Overburden Stockpiles

Strategically located to reduce haul distance of the excavated materials to the stockpiles.

Minimizes overall footprint size, fuel consumption and corresponding GHG emissions.

Sizes of stockpiles are designed to safe heights.

Most stockpiles are located away from waterbodies.

All stockpile areas will have appropriate erosion protection measures. The

Minimizes potential for sediment discharges into waterbodies and the potential for serious harm to fish and fish habitat.




stockpiles are designed to reduce the number of effected waterbodies.

Runoff captured and directed to Mine Contact Water Control Pond.

The overburden stockpile is located in the same watershed as the TMF and MRMF.

Stockpiles of materials to be used for final rehabilitation will be allowed to revegetate.

Minimizes fugitive dust and the need for active dust control.

6.4.4 Mining Material Management Area

The two major materials produced by the Magino Project will be the mine rock and the tailings resulting from processing of the gold bearing ore. The total tonnage of material to be excavated from the open pit amounts to an estimated 550 Mt, of which up to 150 Mt is the gold-bearing ore. Processing of this ore will generate up to 150 Mt of tailings.

6.4.4.1 Mine Waste Disposal Alternatives Evaluation

The “Guidelines for the Assessment of Alternatives for Mine Waste Disposal” published by Environment Canada (EC guidelines, 2011) was used to identify:

1) The most suitable technology for the production of tailings; and 2) The preferred disposal site for the disposal of these tailings.

Tailings production technologies are classified according to the volume of residual water contained in the tailing stream. The technologies considered for tailings production included:

In-pit disposal of slurried tailings;

Paste tailing production (tailings densified and mixed with binding agent) for use in underground mine backfill;

Filtered tailing (less than 20% water by weight);

Thickened tailings (more than 50% solids by weight); and

Conventional tailings slurry production (less than 50% solid by weight).

Ten candidate sites were identified for the potential disposal site for the tailings. As required by the guidance document, one of the disposal site considered does not overprint any water bodies. Of these ten sites, only one is located within the boundaries of the Magino property.

The “multiple account analysis” methodology described in the Environment Canada (EC) guidelines document was applied to identify the most suitable tailing disposal technology and most suitable disposal site. The outcome of this assessment concluded that due to the scale of this project, the most suitable technology for tailing production and disposal are either conventional tailings or thickened tailing since both techniques require the same infrastructure components. However, thickened tailings production introduces pumping distance restrictions due to the higher solid content of the tailings stream.




As for the candidate sites, several of the sites are eliminated due to their physical distance from the proposed mill location, ownership of the land for these candidate sites, Aboriginal and local residents land use and, potential difficulties associated with water management.

The outcome of the multiple account analysis for tailings disposal concludes that the preferred tailing disposal site is within the Magino property as shown on Figure 6-3. This site offers many advantages such as:

Prodigy is the owner of the land;

Proximity to the mill - pumping distances from the mill to this site is approximately 0.6 km thus minimizing operational complexity, energy and maintenance cost; and

The site has the most suitable topography for the construction of a tailings embankment.

In terms of tailing production technology, the Magino Project will generate a thickened tailing which will enable the project to maximize water recirculation/reuse and minimize fresh water make-up requirements.

The complete report of the multiple account analysis is attached in TSD 5.

6.4.4.2 Conceptual Design of the Tailings Management Facility (TMF)

The TMF will be designed to contain up to 150 Mt of tailings. The construction of the TMF will be staged over the life of the mining operation. The conceptual design and key features of the proposed TMF are presented in TSD 6. Figure 6-6 and Figure 6-7 present the conceptual design of the TMF.




Figure 6-6: TMF Conceptual Design – Profile and Sections




Figure 6-7: TMF Conceptual Design – Additional Details




Thickened tailings will be pumped from the mill and conveyed by pipeline to spigots positioned on the crest of the tailing embankment. As the tailing slurry is discharged, the solids settle out forming a sloped “beach”, allowing a pond to form at the lowest part. Water is then collected from this pond using barge-mounted pumps, and recycled back to the mill.

6.4.4.3 Mine Rock Management Facility (MRMF)

Over 99% of the mine rock is anticipated to be non-acid generating (NAG) based on static Acid-Base Accounting (ABA) testing. Humidity cell testing of both the mine rock and the ore was performed to characterize the sulphide oxidation potential of the various rock types which produces sulfate and possibly dissolved metals. The work completed to date on the geochemical characterisation in summarized in TSD 2.

Given the geotechnical and geochemical properties of the mine rock, it is not necessary to develop a quarry to supply rock and aggregate material for construction of the Project infrastructure. A Mine Material Management Plan (TSD 20) will be developed that will outline procedures for the screening of the mine rock and overburden for ARD/ML leaching potential. Non-acid generating rock (NAG) will be used, crushed and sized as required, for the construction of site roads, the construction of the TMF embankment, to backfill areas of the site, to construct infrastructure pads, and, wherever construction or fill material is required. Overburden material (NAG material) from the stockpiles may also be used, as appropriate and necessary. Thus, a large percentage of the mine rock will be utilized to construct the facilities.

The expected surplus of mine rock will be stockpiled in the Mine Rock Management Facility (MRMF) located on the northeast side of the TMF. The stockpiled mine rock will serve as additional buttress on the northeast side of the tailings embankment. The conceptual design of these MRMF is presented in TSD 6.

The Mine Material Management Plan (TSD 20 – EMP 8) will provide guidance throughout the construction and operation periods for the disposal of PAG and NAG material.

6.4.4.4 Runoff Water Management for TMF and MRMF

The water management system for the site is described in section 6.1.9.

6.4.4.5 Mitigation by Design for the TMF and MRMF

Mitigation by design features of the MRMF and TMF are summarized in Table 6-3.




Table 6-3: Mine Rock Management Facility Mitigation by Design Summary

PROJECT COMPONENTS

MITIGATION DESIGNED INTO THE PROJECT

INTENDED OUTCOME OF MITIGATION

Mine Rock Management Facility and Tailings Management Facility

Selection of minimal footprint alternative and located on a portion of the site with high elevation.

Both storage facilities are located in the same watershed.

Efficient use of mine rock to provide supplemental dam support.

Minimizes overall project footprint.

Minimizes overprinting of waterbodies and wetlands.

Located in close proximity to the open pit and process plant.

The location is designed to facilitate water management.

Selected location makes optimal use of topographical features for storage locations.

Improved economics and environmental efficiency (e.g., reduced fuel consumption and GHG emissions and energy efficiency).

MRMF and TMF side slopes designed to have adequate factors of safety against slope failure.

Mine rock stockpiles will be developed in stages and designed to minimize wind and water erosion.

Provides a long-term stable configuration to minimize impacts on human health and the environment in the post closure phase.

Placement of mine rock against the outer slopes of the TMF will provide additional buttress to the TMF embankments.

Mine contact water management system is design to intercept/capture all runoff in contact with mine workings.

Gravity drainage systems ensure reliability. Limited pumping is required for ponds adjacent to process plant.

All surface water channeled to a single Surface Water Collection Pond, with a single point of discharge to the receiving environment.

Improved reliability of surface water collection system – ability to monitor and implement adaptive management as required.




6.4.5 Plant Area

The processing plant area consists of the crushing and grinding equipment and the processing plant (mill). The plant is designed to operate for two 12-hour shifts per day, 365 days per year, at a design processing rate of up to 35,000 tonnes per day (t/d). The location of the plant area and its main components is presented on Figure 6-8. These components are described below.




Figure 6-8: Process Plant Site Layout




6.4.5.1 Plant Site Facilities

All plant site and infrastructure buildings and structures will be built and constructed to applicable codes and regulations. All cyanide contacting equipment and processes are planned to be designed and constructed with cyanide contact material secondary containment as per the Cyanide Code.

6.4.5.2 Coarse Ore Stockpile and Crushing

Run-of-mine (ROM) ore will be hauled from the pit area with 220 tonne trucks and dumped on ore stockpile areas. The ROM ore will be reclaimed by front end loader and fed to the crushing plant. The primary crusher equipment will be installed on a prepared pad near the open pit, outside the blast zone safety radius. A loader will be stationed at the stockpile to feed the crusher. The crusher is an enclosed installation with a removable roof and two sides dump, and is serviced by a mobile crane for maintenance activities. The installation has its own substation, Motor Control Centre (MCC) and a control room located at the crusher. An overland stockpile feed conveyor transports the crushed ore to the coarse ore stockpile. A service road and utility corridor is installed along the stockpile feed conveyor between the crusher installation and coarse ore stockpile. The coarse ore stockpile is constructed on a pad with concrete tunnel housing of the reclaim apron feeders. The reclaim feeders transfer material to an overland conveyor, which in turn transfers material to the Semi-Autogenous Grinding (SAG) feed chute. The SAG mill feed conveyor is in an enclosed galley. A 90 tonne lime silo, complete with pebble lime measuring and screw feeding system, dispenses lime onto the SAG mill feed conveyor.

6.4.5.3 Mill Building

The process plant building is a pre-engineered structure, specifically designed for the process equipment layout. It consists of a grinding building and a refinery building. Both buildings are multi-storey structures. These buildings house the majority of the processing plant equipment, with the leach tanks and thickeners being placed outside due to their size. All equipment supports are with structural steel and concrete engineered separately from the building, with the exception of the overhead bridge cranes.

6.4.5.4 Grinding and Classification

The grinding and classification equipment is located in its own building separate from the rest of the processing plant, with its own sump, laydown and clean out area. A single overhead bridge crane, with 40 tonne hoists and a single liner handler, services both mills. The concrete stem walls in the grinding area, with floor slab sloped into the sump pit, provides the required containment for the area.

6.4.5.5 Gravity Circuit

The gravity circuit is located within the grinding building, in a separate secured room, which is equipped with a security system and closed circuit television (CCTV) monitoring. Coarse gold liberated from the concentrators and shaker table is collected and transferred to the refinery




using concentrate bins. The final security plan will be completed during the detailed design phase.

6.4.5.6 Leaching Area

The thickener and leach tanks are installed outside the process plant. The thickener is insulated for winter operation, with an insulated housing over the drive and control station. Leach tanks are supported on concrete foundations. The tank area has a tank containment using a concrete slab and containment wall, connected and sloped to drain into the process plant. A sump pump system is located outside with the leach tanks and the sumps inside the process plant acts as back-up.

6.4.5.7 CIP & CIC Circuit

The tanks are placed inside the process plant on concrete foundations, and there is an overhead crane for maintenance within the carbon-in-pulp (CIP) area. CIP tank containment is a concrete slab and containment wall of the process plant containment with sump and sump pump. The CIP area is equipped with hydrogen gas detectors (HCN) for monitoring and alarm systems.

6.4.5.8 Carbon Plant and Refinery Area

The carbon plant and refinery are split up into three separate areas:

Carbon elution/desorption/stripping;

Electrowinning and refinery; and

Carbon re-activation.

The refinery area is a security controlled access area. The area is equipped with CCTV cameras for security monitoring.

6.4.5.9 Process Control Systems

The process control system is a Programmable Control System (PLC) based system. The PLC is used to control and monitor all the operations of the plant. The plant is broken into different process areas. Each process area is controlled by a single PLC system. The PLC systems are linked together to form a plant-wide control system by the use of an Ethernet communication system. The motor starter, as well as some of the field devices, are controlled by the PLC. Process control and monitoring for the facility is performed in a control room utilizing Human Machine Interface (HMI) operator stations. These HMIs contain the graphical representation of the process equipment and will interface to the PLCs via the Ethernet network. There are two operator control rooms: The control rooms are located in:

Primary Crusher Area; and

Grinding and Processing Building.

6.4.5.10 Plant Utilities

The plant is also equipped with the following plant utility systems:

Air Compressor/blowers; and




Process & fire water tanks, system.

6.4.5.11 Surface Water Management

The surface water management strategies for this area are discussed in section 6.1.9.

6.4.5.12 Mitigation by Design Summary for Plant Area

Mitigation by design features for the Plant area are summarized in Table 6-4.

Table 6-4: Plant Area Mitigation by Design Summary

PROJECT COMPONENTS



General Site Configuration

Compact footprint and close proximity by the placement of process plant and stockpiles to the open pit and TMF.

Improved economics and environmental efficiency (e.g., reduced fuel consumption and corresponding Greenhouse Gas (GHG) emissions for ore and mine rock haulage), short conveyor runs, energy efficiency, and limited material re-handling.

Coarse Ore Stockpile

The coarse ore stockpile and reclaim area will be equipped with a dust control system to control fugitive dust generated during conveyor loading, the transportation of feed material, and at transfer points.

Reduced dust emissions and related effects.

Process Plant

The process plant and stockpiles are placed as close as practicable to the open pit.

Improved economics and environmental efficiency (e.g., reduced fuel consumption and corresponding GHG emissions, short conveyor runs and energy efficiency, limited material re-handling).

Operation and maintenance manuals will be developed for all pollution control equipment and a preventative maintenance program will be implemented.

Installation of baghouse dust collectors for all dry material handling activities at the processing plant. All baghouses will have an outlet loading Long-term Exposure Limit (LEL) less than 5 mg/m

3.

Baghouse specification is consistent with best available control limits and leak detectors will alert operators to the presence of any broken bags.

Minimizes dust accumulation on equipment surfaces in the plant, reducing the probability of re-entrainment and generation of fugitive dust emissions. Equipment operating to the original design specifications.




PROJECT COMPONENTS



Sources of noise will be enclosed.

Building dimensions, layout and orientation provide shielding for noise sources. Physical design of building minimizes noise emissions from sources such as the baghouses.

Ore Stockpile Stockpile is located adjacent to

the MRMF and crushing circuit. Reduces the Project footprint.

Other

Exhaust emissions from non-road vehicles will be managed through regular maintenance of vehicles.

Original noise controls (e.g., mufflers will be maintained in good working order).

Reduced fuel consumption for ore and mine rock haulage, and corresponding reductions in GHG and noise emissions.

Purchase lighting fixtures with a specified limit of less than 5% on the Upward Light Ratio (the percentage of light rising above 90° nadir).

Minimizes light trespass and sky glow to help maintain a dark sky in the environmental lighting zones in accordance with the international guidelines.

6.4.6 Ancillary Facilities

6.4.6.1 Administration, Mine Dry, Security and First Aid Buildings

The administration, security office, and first aid are combined in one pre-engineered building with concrete foundations and floor slab. The building includes a garage for emergency response vehicles. Access to the gold refinery and gold vault is fenced with security controlled access for entry and exit to the area. The security office in the administration building has full visual access to the outside entry and exit of the gold refinery and vault area. A separate guardhouse and gate is located at the entrance of the site for security in and out of the site.

6.4.6.2 Truck Shop

The truck shop is built to service the mine fleet mobile equipment. It is designed and built to accommodate the 220 tonne haul trucks. The truck shop is a pre-engineered structure with concrete foundations and floor slab. The mine dry will be a modular pre-fabricated structure shipped to site for final assembly and will be connected to the site potable water and sewage treatment system. It will be located on its own prepared pad, and mounted on prepared cribbing and mud slab foundations.

The truck shop is located on its own prepared earthworks pad separate from the plant site, and located in closer proximity to the pit and MRMF. It has space allocated for vehicles requiring




maintenance, a ready line, and room for the equipment to manoeuvre. The pad is graded to ensure surface water drainage is collected in a detention pond.

6.4.6.3 Warehouse & Maintenance Shop Building

A separate pre-engineered building is on the plant site for warehouse storage and plant maintenance. It has a concrete foundation and concrete slab floor, lighting, heating and ventilation.

6.4.6.4 Detonator and Explosives Facilities

Detonator and explosives storage are on separate pads located outside the blast radius of the pit, and away from the process plant and waste management facilities. The explosive magazine is sized for up to 24 tonnes of product, and the cap magazine is sized for up to 3.6 tonnes of product.

6.4.6.5 Assay Laboratory and Metallurgical Laboratory

The assay laboratory is in a separate pre-engineered building located in close proximity to the processing plant. The lab is housed on concrete foundation and concrete slab floor, and equipped with its own lighting, heating and ventilation. It has a fume extraction system installed with a dust collector.

6.4.6.6 Fuel Storage

There is a diesel fuel storage tank and dispensing station for the mine haul fleet located on the truck shop pad. The facility is complete with the requisite spill storage capacity (secondary containment), and meets the fuel storage requirements of the Technical Standards & Safety Authority (TSSA).

6.4.7 Chemical and Hazardous Materials Management and Storage Facilities

Hazardous material received, stored and handled onsite will be managed in accordance with Prodigy’s Hazardous Substances Management Plan (TSD 20).

6.4.7.1 Reagents

There is one main reagent area at the South East end of the refinery building. The exception is for the caustic (NaOH) and hydrochloric acid (HCl) used for the acid wash and stripping circuits. There is concrete containment and an unloading area at the reagent area for the NaCN and NaOH unloading and storage areas. The HCl area by the acid wash circuit has concrete containment for the HCl unloading and storage. The NaCN and HCl unloading, handling, and storage areas are kept in separate areas of the process plant. The grades are sloped away from each other so that precipitation from the two areas are kept separate to avoid any contact between the NaCN and HCl.

6.4.7.2 Chemical and Hazardous Materials Management and Storage Facilities

These facilities include:




A main reagent and bulk chemical preparation and storage area that is located at the northeast end of the process plant. The reagent storage area is a concrete containment structure with an unloading area.

Lime is shipped by the supplier in bulk and unloaded to a 100 tonne silo. Lime is mixed with water in a lime slaking tank.

Cyanide is purchased in dry form (sodium cyanide) and delivered in bags inside wooden boxes, in International Organization for Standardization (ISO) containers. The containers are delivered in a sea can container and remain in the transport container in a secure laydown area until needed at the mill. Bags are transferred to the mill and placed in the preparation tanks. The cyanide solution is pumped to the gold leaching process via a pipeline.

Both the cyanide and lime solutions are pumped to the leaching tanks, depending on the process selected.

Sodium hydroxide (NaOH) for gold elution is delivered by tanker trucks as a solution and stored in a tank.

A hydrochloric acid (HCl) storage area with concrete containment.

All other bulk chemicals are delivered to the site in super bulk bags within 20 feet long sea can containers. These sea cans are stored on a secure laydown area. Bulk bags are transferred to the mill as required. Bulk chemicals that are stored on-site in this manner include: o Sodium metabisulphite for use in cyanide destruction. It is dissolved in water before

use. o Copper sulphate for use in cyanide destruction is delivered as solid crystals. It is

mixed with water before use. o Activated carbon for use in gold.

Fresh water is used in the making up or the dilution of the various reagents that are supplied in powder/solids form, or which require dilution prior to the addition to the slurry. These reagent solutions are added to the addition points of the various circuits and streams using metering pumps.

To ensure spill containment, the reagent preparation and storage facility (including the HCl storage area) are located within a containment area designed to accommodate 110% of the content of the largest tank. In addition, each reagent is prepared in its own bermed area in order to limit spillage and facilitate its return to its respective mixing tank. The storage tanks are equipped with level indicators and instrumentation to ensure that spills do not occur during normal operation. Appropriate ventilation, spill response equipment, fire and safety protection, eye wash stations, and Material Safety Data Sheet (MSDS) stations are provided at the facility.

6.4.7.3 Cyanide Destruction

Treatment for cyanide involves pumping the tailings to a thickener tank to initially remove the cyanide for reuse before pumping the tailings to the cyanide detoxification plant. In this plant, the cyanide concentration levels will be chemically reduced to acceptable levels prior to disposal to the TMF. The SO2/air process has been selected for the Project.

Additional detoxification of cyanide will also occur in the TMF through natural processes such as hydrolysis, dissociation, volatilization, photo-oxidation, chemical and bacteriological oxidation, and precipitation-dissolution.




6.4.7.4 Mitigation by Design for Hazardous Chemical Use and Storage

Table 6-5 provides a summary of key mitigation measures that have been designed into the Project.

Table 6-5: Mitigation by Design Summary for Hazardous Chemical Use and Storage

PROJECT COMPONENTS



Chemical, Fuel, and Hazardous Materials

Management and Storage Facilities

Chemical and fuel storage tanks designed with secondary containment.

Comprehensive Hazardous Substance Management Plan (TSD 20)

Secondary containment avoids uncontrolled releases of any spilled materials into the environment and allows for more effective spills clean-up.

Prodigy will become a signatory to the International Cyanide Management Code (ICMC or Cyanide Code) for the gold mining industry prior to the Project becoming operational. The Cyanide Code contains a far-reaching and comprehensive set of principles and standards of practice. Cyanide producers and transporters are subject to the applicable portion of the Cyanide Code, which addresses production, transport, storage, and use of cyanide, and the decommissioning of cyanide facilities. It also includes requirements related to financial assurance, accident prevention, emergency response, public reporting, stakeholder involvement, and verification procedures.

6.4.8 Waste Management (Non Mining Wastes)

Prodigy is committed to minimizing the environmental effects of the Project, which includes designing the mine with closure requirements in mind, as well as undertaking closure activities concurrently during the operating period to the extent practicable. Waste management practices at the site will comply with the requirements of the Transportation of Dangerous Goods Acts and associated regulations, and, the Ontario regulation on general waste management (R.R.O. 1990, Reg. 347: GENERAL - WASTE MANAGEMENT, under the Environmental Protection Act, R.S.O. 1990).

With respect to solid waste management, it will entail adherence to a hierarchy of waste management preferences. In general terms, the waste management options in order of preference (from highest to lowest) are:

Prevention;




Minimization;

Recovery (first reuse, then recycling, and finally energy recovery); and

Disposal.

In accordance with these general principles, waste management operations shall include:

Planning of operations to minimize the generation of non-hazardous and hazardous wastes;

Source separation of waste materials to the greatest degree practical in order to maximize resource recovery;

Handling and storing wastes to limit releases to the environment and ensure worker health and safety (H&S); and

Disposal of wastes in appropriately designed and permitted facilities.

These principles will form the basis of a Waste Management Plan for the Project (TSD 20), which will provide detailed protocols for all waste management activities. The remainder of this section provides further information for specific waste management and disposal activities for Prodigy’s consideration.

6.4.8.1 Hydrocarbon Contaminated Wastes

Small quantities of other used fluids, such as cleaning solvents and degreasing agents, will be classified by type and either treated on-site, if appropriate, or stored and transported off site to licensed processing facilities in accordance with applicable regulations and best management practices. In the event of a spill, overburden and other materials associated with any such spills, will be excavated and treated in an on-site remediation area, or transported off-site to a licensed facility for disposal, as appropriate.

6.4.8.2 Hazardous Wastes

Hazardous wastes generated onsite will be managed in accordance with Prodigy’s Hazardous Substances Management Plan (TSD 20). Explosive wastes will be disposed of according to an approved methodology by the explosives contractor or licensed personnel. Only very small quantities of biomedical waste associated with first aid are likely to be created on the site. Biomedical waste and other similar items, such as sharps and used needles, will be transported off site to a licensed facility for proper disposal. Other hazardous waste resulting from the use of hazardous chemicals (laboratory wastes, solvent, paints, acids, etc.) will be collected and stored in accordance with the Transportation of Dangerous Goods Regulations (TDGR).

6.4.8.3 Solid Waste Quantities of non-mining solid waste generated will peak during the construction period. This type of waste includes wood, packaging material, plastics, scrap metal, paper and various camp/office organic wastes. As part of its environmental management plan for the site, Prodigy




will implement a waste sorting program and various containers/bins will be strategically placed around the site to collect and segregate the types of waste. Scrap metal and recyclable material will be shipped off-site in containers to a recycling facility. A burn pile will be constructed in proximity to the MRMF where combustible waste wood, paper and cardboard will be burnt. The remaining solid waste (miscellaneous packaging materials, paper products, and organic waste (camp and offices) will be compacted and transported to the local landfill site in Dubreuilville. Prodigy is a member of the local Dubreuilville Recycling Committee and is working to identify the potential for coordinated recycling efforts. Prodigy will engage in discussions with both the neighboring mine operators and the municipality of Dubreuilville to develop a consolidated approach for their solid waste management. As the use of the Dubreuilville landfill site is contingent on this site being available, the fall-back position for Prodigy is to develop its own solid waste landfill site on the Magino Property. The location of this landfill site is identified on Figure 6-3.

6.4.9 Enabling Infrastructure

In addition to the ancillary facilities described previously, other enabling infrastructure for the Project includes Project roads (including a public bypass road), electrical transmission lines and substation, power generation equipment, the potable water supply system, sewage treatment system, and site security features. The location of these Project components are provided on Figure 6-3 and described below.

6.4.9.1 Construction Camp and Mine Dry

A temporary camp facility for 150 people is planned to be located in Dubreuilville. Currently Richmont Mine Inc. has two accommodation complexes located in Dubreuilville. The Town has identified two areas for future mining camp expansions. Under provincial land use policies, on- site mine camps are prohibited. Moreover the Town of Dubreuilville and other Municipalities have requested the accommodation complex be situated closer to the community. The camp is self-contained with kitchen and dining facility, laundry, recreation, potable water treatment and sewage treatment. Prefabricated modular structures will be purchased and installed during the initial year of Project construction, and used throughout the construction period. The mine dry will also be a modular pre-fabricated structure shipped to site for final assembly, and be connected to the camp for access, water and sewage systems. The construction camp and mine dry will be located on their own prepared pad, and mounted on prepared cribbing and mud slab foundations.

6.4.9.2 Project Roads

Several haul roads will be constructed on-site for transporting ore and mine rock from the pit to their designated destinations. The main mine rock haul road will connect with the crusher pad and also serve as the access to the process plant for the pit and primary crusher.




6.4.9.3 Electrical Transmission Lines and Substation

The power requirements for the Magino Project will be provided by Algoma Power Inc. (API). An additional 44 kilovolt (kV) line will be installed from Hawk Junction to the site. The incoming power line will terminate at a main substation on the Magino Property. The main substation will contain one transformer that will feed power to an outdoor switchgear unit located inside a prefabricated building within the substation area. The installation will include a grounding grid and will be fenced in on a pad in close proximity (within 100 m) to the grinding area, which will be the single biggest draw on power.

The power from the outdoor switchgear will be distributed throughout the plant site to substations located at the process plant, crusher installation, coarse ore stockpile, and truck shop. This secondary power distribution will consist of transformers that will be oil-filled and outdoor-rated. These transformers will be located adjacent to the electrical rooms.

Power distribution to tailings area reclaim pumps and seepage collection pumps will be by local substation tapping off the API transmission line. The power distribution system will use a combination of overhead structures, buried conduit and cable.

6.4.9.4 Power Generation Equipment

Three power generation sets of 1 megawatt (MW) each will be installed on-site to supply back-up power to the process plant, administration building, and the staff accommodation complex.

6.4.9.5 Potable Water Supply System

Potable water amounting to approximately 120 m3/day will be required for the administration building, laboratory, construction camp, the mine dry, and the process plant. The water supply will be obtained from Goudreau Lake. The water will be filtered and treated before use.

6.4.9.6 Sewage Treatment System

Sewage from the staff accommodation complex and offices, workshops, and laboratories will be treated in a package sewage treatment plant. The sewage treatment plant will discharge treated effluent to the TMF. Sewage sludge will be pumped and hauled off-site. For smaller isolated sources of sewage, septic systems may also be used. The sewage treatment plant will be supplied during the construction phase and remain on-site to meet long-term sewage treatment requirements during operations. These plants will satisfy provincial requirements under the Ontario Environmental Protection Act and the Ontario Water Resource Act. Treated effluent from the sewage treatment plant will be pumped to the TMF.

6.4.9.7 Communications Systems

The site will be connected to land line based telephone and internet service for communication off-site. The site will have an internal business Ethernet communication system (1000/100). The business systems, office computers, and telephone (IP) systems will be connected to this system. There will be a site-wide fibre optic backbone interconnecting all buildings.




A mine dispatch radio system will be used for communication between mobile equipment, mine pit control and the process plant site and crusher facilities.

6.4.9.8 Site Security

Construction of ancillary infrastructure will include security fencing and guarded gates at the main mine site access point off Goudreau Road. A combination of fencing and/or safety berms for safety and wildlife deterrence will be provided around key project components, including the accommodation complex and various plant areas. Fencing will be installed around the chemical storage facilities and the explosives magazine. Safety berms will be provided around the open pit area.


Table 6-6 provides a summary of key mitigation measures that have been designed into the Project and their intended outcome.

Table 6-6: Enabling Infrastructure Mitigation by Design Summary

PROJECT COMPONENTS



Accommodation Complex

On-site accommodation of 400 workers during construction.

Work force housed in Dubreuilville for the Operations Phase.

An on-site accommodation complex during construction results in lower effects on the atmospheric, human health, and the social and economic environments.

Maximize local economic benefits.

Project Roads

Public bypass road located at the limits of the area that is expected to be disturbed by mining operations.

Public bypass road avoids major wetlands and waterbodies.

Minimizes disturbance to biological features on-site and avoids off-site development.

Public bypass road alignment follows topography.

Minimizes need for excavation and major cut and fills.

Electrical Transmission Lines and Substation

Transmission line is to be co-located along the public bypass road.

Minimizes disturbance to biological features on-site and avoids off-site development.

Power Generation Equipment

Requirements for on-site power generation are limited to the initial site preparation and construction phases, and to provision of back-up power.

Minimizes storage and use of diesel fuel to reduce GHG and other emissions to the atmosphere.




PROJECT COMPONENTS



Potable Water Supply System

The preferred alternative selected involves one intake from Goudreau Lake as this source has the largest inflow.

Avoids impacts to surface water quantity in multiple waterbodies.

Sewage Treatment System

Package plant is designed to ensure discharges meet Provincial regulatory requirements.

Reduces effects on groundwater and surface water quality.

Site Security

Gates and security personnel are to restrict unauthorized access to the mine site.

Fencing is to be installed around chemical storage facilities and the explosives magazine.

Reduces potential for accidents and malfunctions.

6.4.10 Surface Water Management Systems and Strategies

The overall surface water management strategy is presented on Figure 6-9.




Figure 6-9: Site Water Management




6.4.10.1 Processing Plant, Maintenance Facilities and Indoor Storage Facilities

Water used inside buildings is contained within these buildings. The design of these facilities includes adequate sumps and storage to contain spills and enable pumping of spills back into the milling process.

Wash water used to clean equipment in the maintenance shops is contained in a sump, treated in an oil/water separator and reused in the shop. Excess water is pumped to the milling/TMF circuit. The oily water residues are collected and shipped off-site to a licenced facility for treatment/disposal.

Liquid storage tanks are erected within suitable secondary containments to prevent spillage. Spill, when they occur, are cleaned up and disposed of in the process plant.

6.4.10.2 Open Pit Dewatering

Groundwater inflow into the open pit will be minimized with:

1) the construction of a slurry wall around a portion of the open pit perimeter to reduce groundwater flows from Goudreau Lake into the pit;

2) dewatering wells installed strategically around the perimeter of the pit; 3) construction of a diversion channel south of the pit to drain water from the area of

Waterbody 10 toward Goudreau Lake to improve drainage of the area and minimize hydrostatic groundwater pressure on the open pit; and

4) Diversion of surface flows away from the pit using ditching and pumping systems.

Groundwater modelling indicates that the expected drawdown on Goudreau Lake will be minimal (Refer to TSD 4).

Despite these measures, as the mine pit expands, it is expected that groundwater inflow as well as the amount of direct precipitation and runoff into the open pit will increase over time. A pumping system will be installed in the pit to dewater and keep the working areas of the pit dry. The pit water will be pumped directly to the mill or TMF and be used as process water in the mill.

6.4.10.3 Management of Surface Runoff

All Project components are constructed within the perimeter of the Goudreau bypass road (refer to Figure 6-9). To the extent practicable, the drainage strategy utilises the natural topography of the site to collect and contain runoff that is in contact with mine workings.

Two perimeter collection ditches will be constructed downslope of all project infrastructure components (plant area, MRMF, ore stockpiles, TMF). Drainage works (ditches/trenches) from the MRMF, overburden stockpiles, process plant pads, ore stockpiles and other areas will be graded and backfilled so that they drain naturally towards the perimeter ditches. The Water Quality Control Pond (WQCP) will be constructed on the west side of the TMF (Figure 6-9). The two perimeter ditches, one on the north side of the TMF/MRMF and one on the south side of the TMF/MRMF, will direct runoff by gravity to this runoff water quality control pond. Runoff collected in this pond will be pumped back to the TMF for re-use as mill process water.




The WQCP will have ample capacity to contain the 100-year return storm event for precipitation. The design parameters for the surface water management systems are provided in TSD 6.

The water quality of the pond will be monitored. Excess water will be pumped from this pond to the discharge diffuser in Otto Lake. This WQCP discharge will be the only discharge of mine contact water for the entire Project site during mining and milling operations.

6.4.10.4 Diversions

On the south side of the property, two diversions will be constructed to prevent runoff/drainage from non-project areas into the Project area. These diversion works are shown on Figure 6-9.

A drainage channel will be constructed north of Water Body 10 to enhance flow and drainage from this marshy area. This diversion will be constructed in a manner to enhance fish habitat.

A channel will be constructed to connect the outflow of Spring Lake to the lower reach of McVeigh Creek, south of the bypass road.

6.4.10.5 TMF Water Management

The design parameters of the TMF are summarized in TSD 6. The TMF is designed to act as storage for mill process water. TMF water is the main source of water used in the milling operation. There will be no discharge of TMF pool water during the operations period.

The TMF pumping/water reclaim systems will be mounted on a floating barge. Access to the barge will be provided by a floating ramp. The pumps will connect to a fixed pipeline installed on the crest of the TMF embankment.

6.4.10.6 TMF Seepage Water

The pool of water maintained in the TMF will result in seepage from the TMF. The design of the TMF incorporates seepage collection structures under the embankment to ensure stability of the structure. The conceptual design of the TMF provides a description of the seepage collection network (TSD 6). Figure 6-10 shows the TMF seepage water collection system.

Each seepage trench will daylight near the toe of the embankment and will flow by gravity into a sump. The sumps will either flow by gravity or be pumped into the perimeter runoff ditches and report to the water quality control pond.




Figure 6-10: TMF Seepage Drainage System




6.4.10.7 Water Supply

A variety of pipelines are required to supply process and potable water at the mine site. Water is required during the start-up of the process plant and TMF; thereafter, makeup water is used on an ongoing basis during operations:

The start-up water is obtained from water that is impounded in Lovell and Webb Lakes and naturally within the TMF starter dam (Stage 1 embankment after the initial retaining embankment is constructed). The volume of start-up water required is estimated to be approximately 500,000 cubic metres (m3);

Water make-up during operation is sourced from Goudreau Lake; and

Potable water is obtained from Goudreau Lake and treated in a potable water treatment plant on-site.

The Project will maximize the recycling of water on-site (TMF water, mine contact runoff water, open pit dewatering) in order to reduce freshwater make-up from Goudreau Lake. As the entire site is graded to drain towards perimeter interception ditches (refer to section 6.1.9.3), spills caused by pipeline failures will be contained within the site surface water management system.

6.4.10.8 Fresh Water Requirements

The site water balance (TSD 7) shows that some freshwater will be required by the mill where recycling is infeasible (gland water, regent use, etc.). Freshwater will also be required for potable water and for pump gland water. The estimated volume of fresh water required from Goudreau Lake ranges from 70 to 120 m3/hr.

A pumping station and water intake will be constructed at Goudreau Lake.


Table 6-7 provides a summary of key mitigation measures that have been designed into the Project and their intended outcomes.

Table 6-7: Environmental Management Infrastructure Mitigation by Design Summary

PROJECT COMPONENTS



Water Use

Water recycling and reuse is maximized.

No discharge from TMF pool to the receiving environment for the operations period.

Maximum water recycling and reuse minimizes freshwater requirements from Goudreau Lake.

Diversions

Diversion constructed on McVeigh Creek and Water Body 10 drainage to minimize natural drainage inflow into project areas.

Reduced volume of contact water with Project components.

Minimize impact on or improve aquatic habitat

Water Pipelines The preferred alternative selected

involves the shortest pipeline route and pipeline lengths.

Reduces Project and pipeline corridor footprint.




PROJECT COMPONENTS



Open Pit Water Inflows

Slurry wall between open pit and Goudreau Lake incorporated into open pit design.

Seepage collection and recycle systems to be installed at TMF and MRMF.

Minimizes seepage of groundwater from Goudreau Lake and local wetland areas into open pit.

Minimizes effects on groundwater quality and potential for contaminated water seepage into local waterbodies.

Groundwater Controls

Dewatering wells and pump-back systems installed at the open pit.

Improved stability of pit walls.

Internal pit sumps. Pit sumps collect seepage

water in the pit for recycling and reuse.

TMF seepage collection daylight above surface runoff collection channel.

Ability to monitor and intercept TMF seepage and pump back to TMF if necessary

Surface Water Controls

All surface water from project activities is contained and routed to a single water quality control pond.

Maximize use of natural topography to facility drainage.

Single point discharge of mine contact water to the receiving environment.

All contact water is collected, stored, and released as necessary in compliance with provincial and federal effluent discharge limits.

If required, treatment can be provided for final discharge from the Water Quality Control Pond. The discharge is directly to Otto Lake via an outfall system.

Contact water and runoff is contained in the water quality control pond where suspended solids will settle. This water will be pumped to the TMF for reuse as mill process water.

The Water Quality Control Pond has ample capacity to accommodate large storm events (i.e., 100-year flood, 24-hour event).

Natural channel design is incorporated into linkages between waterbodies and in diversion channels.

All surface water controls aim to minimize potential effects to surface water quality and quantity.

Reliability of operation.

Ability to monitor and control quality of discharged water.




6.5 Project Works and Activities

The following sections provide details regarding the works or activities associated with the site preparation, construction, operation, closure, and post-closure phases of the Project. Site preparation activities lead into construction and some site preparation and construction activities will overlap.

6.5.1 Site Preparation Phase

6.5.1.1.1 Public Bypass Road and Access to the Magino Site

The construction of the public bypass road will be advanced as part of the site preparation phase (refer to Figure 6-11). This road will be built with native on-site fill, and with side ditches and appropriately sized culverts at creek crossings. This road will be built as a primary forest road and designed in accordance with the Ontario Ministry of Natural Resources and Forestry (MNRF) “Crown Land Roads Manual”.

Upgrades to the Goudreau road to improve reliability for the anticipated increases in traffic and loading may include gravel re-surfacing, repairs to the cable guide rails, ditching and culvert improvements, and re-alignment to reduce sharp corners and steep grades. With the completion of these upgrades, the ongoing maintenance requirements for the road are not expected to increase substantially beyond the current requirements.

At the onset of Project approval, Prodigy will award a contract for the design and construction of the Goudreau bypass road. All proposed road work will require approval from the MNRF under the Public Lands Act.

6.5.1.1.2 Electrical Transmission Lines and Substation

The electrical transmission line is owned and operated by Algoma Power. The existing 44 kV line that crosses the site and open pit will therefore need to be re-routed during the construction phase of the proposed public bypass road.

Prodigy will engage with API regarding the relocation and construction of the power line which will service the Magino site (refer to section 6.1.8.3 and Figure 6-11). This scope of work will either be managed directly by API or awarded to a qualified local contractor under the supervision of API.




Figure 6-11: Magino Site – Bypass Road and Relocation of Power Line




6.5.1.1.3 Other Site Preparation Activities

With respect to the Magino site, most of the site preparation works and activities will occur prior to or during the early part of the construction phase. Early site preparation activities will include:

Upgrading of the site’s main access road and construction of auxiliary service roads within the site;

Securing the site (fencing, gated access) and controlling access by unauthorized personnel;

Surveying and continued geotechnical investigations to support detailed design activities;

Setting up of temporary facilities to support construction such as laydown areas, power supply and substations, fuel supply and storage, temporary offices, warehouses, camps, workshops, and, construction equipment maintenance facilities; and

Setting up the construction camp and associated water supply and sewage treatment plant.

Once these basic facilities are in place, site preparation will proceed with the following activities:

Site clearing and grubbing of construction priority areas for removal of vegetation cover;

Removal of topsoil and overburden as required;

Removal of topsoil as required (key project facilities and the open pit);

Site grading, extraction and backfill for building sites and infrastructure components;

Re-routing and construction of internal site roads; and

Construction of the Goudreau bypass road.

The site preparation activities are expected to take up to one year. Top soil and overburden removed and stockpiled during the site preparation phase will be managed in accordance with Prodigy’s Mine Material Management Plan (TSD 20).

6.5.1.2 Site Clearing, Grubbing, and Pre-stripping

Site clearing, grubbing, and/or pre-stripping are required for the construction of the mine and its related infrastructure. All areas disturbed by various earthworks and construction activities are within the re-routed public bypass road as illustrated on Figure 6-3. The project sites requiring clearing, grubbing and pre-stripping include:

Open pit footprint;

TMF embankment footprint;

Crusher area;

Conveyor route;

Ore stockpile area;

Process plant area;

Truck shop;

Explosives storage area; and

Construction accommodations area.




6.5.1.3 Site Clearing

Valuable lumber resources within the Project footprint will be surveyed and a contract will be awarded to a local company for the clearing of timber from the various project sites. It is expected that this clearing will occur during the winter months in order to minimize potential impacts on surface water streams and waterbodies.

6.5.1.4 Grubbing and Pre-Stripping

Once clearing is completed, grubbing and stripping of topsoil from the footprint of Project components will begin. Priority will be given to the mine open pit area as mine rock will be used as the sole source of aggregate for construction of all Project infrastructures.

Topsoil stripped from the mine area will be stockpiled for future use in reclamation activities. The location of this stockpile site is shown on Figure 6-3. Overburden excavated from this area will be used for backfilling and infrastructure pad construction at the processing plant site, ore stockpile pad, laydown area, camp pads and other infrastructure components. Overburden which is not suitable for use in construction will be used as backfill, disposed of at the overburden stockpile, or disposed of at the Mine Rock Management Facility. Topsoil and overburden excavated from the process plant area will be stored and used for reclamation.

For construction of the stage 1 TMF embankment, the footprint of the embankment must be excavated to the bedrock. The topsoil and overburden recovered from the TMF footprint will also be stockpiled to the north of the TMF as shown on Figure 6-3.

6.5.1.5 Production of Aggregate for Construction of the Project Infrastructure

As mentioned in section 6.1.1, all aggregate and rock used for the construction of the Project components will be sourced from the mine’s open pit. Only non-acid generating mine rock will be used for construction. Procedures for screening the mine rock for ARD/ML properties are incorporated in Prodigy’s Mine Material Management Plan (TSD 20).

Once the bedrock of the open pit area is exposed, the development of the open pit will begin. Most of the initial mine rock blasted and excavated will be used as fill to level the sites of the Project infrastructure components, such as:

Laydown areas;

Camp site, administration building, warehouses and maintenance facilities;

Site road construction;

Ore pad construction; and

Process plant pad construction.

A portion of the mine rock will be transported to a crusher train installation which will produce the sized aggregate required for the construction of the various infrastructure pads and concrete foundations. This crushed material will be stockpiled on one of the construction laydown areas until it is needed.

Non-acid generating mine rock and overburden material will also be used for the construction of the Goudreau bypass road and site internal roads.




6.5.1.6 Water Management Strategies During Site Preparation

Environmental concerns during site preparation activities are mainly related to suspended solid entrainment in streams, erosion and spill containment.

As much of the site preparation earthwork activities will be of short duration and will occur over the winter months. As required, silt fences and temporary diversion channels and sedimentation ponds will be constructed to intercept runoff from areas disturbed by site preparation activities.

The construction of the permanent diversion and surface water collection ditches will be prioritized (described in section 6.1.9 and illustrated in Figure 6-9).

Prior to the commencement of site preparation a Construction Environmental Protection Plan will be prepared and issued to all contractors working at the site.

6.5.1.7 Construction of the Open Pit Slurry Wall and Stream Diversions

To prevent groundwater flows from Goudreau Lake into the open pit Prodigy proposes to construct a slurry wall which will extend to bedrock. The construction of the slurry wall will begin at the onset of pre-development activities.

The other two diversion works proposed in the site water management strategy involve:

1) The construction of a channel to the north of Water Body 10 to improve drainage of this marsh area and minimize inflows onto the Project area; and

2) The construction of a diversion channel from the outflow of Spring Lake to the lower reach of McVeigh Creek, south of the bypass road.

Prodigy intends to undertake the construction of these diversion channels during the site preparation activities. These diversion channels are essential for minimizing inflow of surface and groundwater into the Project area. Further discussion on these diversions is provided in section 6.2.2.3.

6.5.1.8 Site Preparation Phase Workforce Requirements and Personnel Management

Approximately 50 workers will be required during the site preparation phase. These workers will operate on a regular daily work schedule. The workforce is likely to be hired from local communities.

6.5.1.9 Site Preparation Phase and Procurement

It is expected that available local contractors will participate in this phase of work, particularly for tree removal and stockpiling, earthworks and hauling, and provision of on-site equipment.

6.5.1.10 Site Preparation Phase Materials and Personnel Transportation

A wide range of activities will be undertaken by local contractors. All traffic to the site is expected to come down from the two current roads (Highway 519 and Goudreau Road) shown on Figure 6-1. Vehicular traffic on public road for the site preparation phase is expected to be in the range of 100 to 150 vehicles per day.




6.5.1.11 Waste Management During Site Preparation

The approach to waste management is described in section 6.1.7.


Table 6-8 provides a summary of key mitigation measures that have been designed into the Project and their intended outcome.

Table 6-8: Site Preparation Phase Mitigation by Design Summary

PROJECT WORKS AND ACTIVITIES



Site Clearing, Grubbing and Pre-stripping

Organic materials and topsoil will be separated and stockpiled for future use.

Provides materials that can enhance site rehabilitation through revegetation.

Materials suitable as aggregate will be stockpiled for future use. Mine Material Management Plan (TSD 20) provides guidance on screening, use and storage of materials used for construction purposes

Provides materials for on-site construction and reduces need for transport of aggregate from off-site sources.

Water Management

Construction of Water Diversion Works. Prioritise construction of water management structure for the Life of the Project. Construction Environmental Protection Plan (TSD 20-6).

Minimize groundwater and surface water inflows into Project area. Ensure effectiveness of site water management practices.

Site Preparation Phase Workforce Requirements and

Personnel Management

Prodigy is committed to local hiring and contracting opportunities.

Maximizes local economic benefits.

Site Preparation Phase Payroll and Procurement

Prodigy is committed to providing competitive wages and salaries and maximizing local purchasing.


Local Business Opportunities Construction of Goudreau bypass road. Construction of API power line.

Award of contract to local contractor.

6.5.2 Construction Phase Works and Activities

Construction will begin once the basic infrastructure described in section 6.2.1 is in place and can support construction activities. Construction of all Project infrastructure, including Stage 1 of the TMF, is expected to be completed within two years. As mentioned in Section 6.2.1.5, all construction materials (aggregate) will be sourced from the site (overburden or mine rock). Only non-acid generating material will be used for construction. Prodigy’s Mine Material Management




Plan (TSD 20) outlines the approach for screening and disposing of material with ARD/ML potential.

6.5.2.1 Closure of Existing Mine Facilities

Prodigy is committed to minimizing the environmental effects of the Project, which includes properly rehabilitating existing mine facilities. Closure of the existing mine facilities will commence during the construction phase and may extend into the operations phase of the Project. Construction-phase closure activities will involve removal and decommissioning of the existing industrial sewage works (polishing pond and existing tailings pond), and demolishing and landfilling of the historic mine workings/buildings that will not be restored as part of the proposed project.

6.5.2.1.1 Existing Buildings and Structures

Two buildings on the mine site related to historic operations are a core shack and maintenance shop. The two buildings are not 40 years or older and the remaining structures are, for the most part, movable. Other structures on the site include:

Mine portal doors;

Old core shack and maintenance shop;

Telephone communications tower;

Vent raise cover;

Cyanide tower;

Electrical substation; and

Mine offices.

These existing buildings and structures will be demolished and removed, and all hazardous materials will be appropriately disposed of in a licensed facility. Non-hazardous wastes will be disposed of within a new on-site landfill or at the Dubreuilville site.

6.5.2.1.2 Existing Non-Mining Waste Landfill

An existing non-mining waste landfill site is located approximately 600 m northwest of the existing underground mine site, upgradient of Lovell Lake and south of the polishing pond west dam. The landfill is approximately 0.5 ha in area. It is a typical trench-and-fill operation that was used primarily for the disposal of non-hazardous domestic and industrial waste. However, given that the mine was in operation several decades ago, the existing landfill may contain some hazardous materials. All hazardous materials will be appropriately disposed of in a licensed facility. Non-hazardous wastes will be disposed of within a new on-site landfill or at the Dubreuilville landfill site.

6.5.2.1.3 Existing Tailings

The existing tailings pond and polishing pond facilities cover an area of approximately 16 ha and 4.8 ha, respectively. The historic tailings from the mine will likely be reprocessed as part of the Project for their residual gold values. In the event that these tailings are not reprocessed, they will be incorporated into the proposed design of the TMF.




6.5.2.1.4 Residual Soils Removal

Investigations to identify potentially contaminated soils in the vicinity of the historic mine workings were undertaken. The results of these investigations were presented in Chapter 4. Remediation of historic contaminated soils will be undertaken in during construction phases in accordance with relevant Ontario Ministry of Environment and Climate Change (MOECC) regulations.

6.5.2.2 Topsoil and Overburden Stripping and Stockpiling

Topsoil horizons on the Project site are range from less than 2 centimetres (cm) to a maximum of about 25 cm. Topsoil will be stripped, where and as feasible, from below TMF embankment footprints and within the pit area footprint, and stockpiled for future reclamation activities. Overburden, including granular construction materials (sands, gravels, and cobbles) which have been previously identified, will be excavated and stockpiled. Any bedrock blasted for construction, such as crushed rock, will be crushed and screened to the appropriate size and stockpiled.

Till, overburden, and crushed rock materials are suitable as construction and mine reclamation materials. Light structures such as staff housing, administrative buildings, warehouses, etc., can be constructed on these materials with appropriate foundation preparation. Bedrock at the Project is considered very competent and suitable as foundation material for larger process equipment such as crushers and grinding mills.

6.5.2.2.1 Topsoil Management

Clearing, grubbing, and soil recovery will be done in the footprints of the TMF embankment, pit area, accommodation complex, process plant, crusher, crushed ore stockpile, conveyor, public bypass and on-site haul roads, water quality control ponds, and landfill. It is expected to provide approximately up to 1,500,000 m3 of topsoil that will be stockpiled for use during rehabilitation of the Project. In addition, non-commercial trees and organic detritus will be recovered and stored in the stockpiles, where it will be used to generate additional topsoil during the operations phase of the Project.

As was shown on Figure 6-3, two stockpile areas, located west of the TMF, have been designated for topsoil and overburden storage.

6.5.2.2.2 Overburden Management

In addition to the topsoil removal described above, overburden material consisting of silts, sands, gravels, and cobbles will be removed from the pit area to clear it for mining. Overburden will also be removed from the various facilities described above, in order to create suitable level surfaces and sufficiently strong foundations for the construction of the facilities. This will result in the removal of up to 16 million m3 of overburden. The overburden material will be screened and used to construct the embankments for the TMF, the sediment detention and water quality control ponds and the public bypass and on-site roads. The reject from the wet screening operation and excess overburden will be stored in the stockpiles designated for topsoil and overburden storage.




6.5.2.3 Stream Diversions, Draining, and Backfilling

A variety of Project works require backfilling as seen in Table 6-9. Some creeks and smaller tributaries will need to be diverted. Smaller water bodies (wetlands, creeks and lakes) will need to be drained and backfilled to allow for the construction or the efficient operation of mine infrastructure. Sedimentation ponds will be constructed where necessary, and a larger water quality control pond will be constructed where waterbody 7 is located.

Table 6-9: On-site Waterbodies Impacted by the Mine Project Components

Summary of total habitat (m2) lost to the Magino Mine

Habitat Schedule 2

(m2)

Fisheries Act Authorization (m

2)

Total Lost Habitat (m

2)

Stream 22,024 84,705 106,729

Waterbody 313,835 202,363 516,198

Breakdown of habitat (m2) by waterbody and watershed lost to development of Magino Mine

McVeigh Creek Watershed - Streams

Inlet to Waterbody 2 Schedule 2 TMF / MRMF 43

Waterbody 2 to confluence with McVeigh Creek Tributary

Schedule 2 TMF / MRMF 6,572

Waterbody 1 to confluence with Unnamed Tributary


McVeigh Creek Tributary to confluence with McVeigh Creek


Sedimentation Pond to Lovell Lake Schedule 2 Stockpile/Fill Area 981

Lovell Lake to Spring Lake Schedule 2 TMF / MRMF 2,313

Waterbody 3 to Spring Lake Schedule 2 TMF / MRMF 223

McVeigh Creek (downstream of Spring lake)

FAA

TMF/MRMF/ Stockpile/Fill Area

and Decrease in Water

Flow

69,361

McVeigh Creek (downstream of Spring Lake) to Summit Lake

FAA Decrease in Water

Flow 5,107

Total 96,477

Webb-Goudreau Lake Watershed - Streams

Waterbody 10 to Webb Lake and Upstream Inlets to Webb Lake

Fisheries Act Authorization

Open Pit 9,775

Webb to Goudreau Lake Fisheries Act Authorization

Open Pit 462

Total 10,237

Herman Otto Lake Watershed




Outlet of Waterbody 7 Schedule 2 Stockpile / Fill Area 19

McVeigh Creek Watershed - Waterbody

Waterbody 2 Schedule 2 TMF / MRMF 23,236

Waterbody 1



TMF / MRMF (outside footprint)

5,656

Lovell Lake Schedule 2 TMF / MRMF /

Stockpile / Fill Area 131,977

Pond Fisheries Act Authorization

Plant / Crusher Pad 18,601

Waterbody 3 Schedule 2 TMF / MRMF 28,871

Waterbody south of Lovell Lake

Schedule 2 5,319


TMF / MRMF (outside footprint)

1,028

Total 250,876

Webb-Goudreau Lake Watershed - Waterbody

Webb lake Fisheries Act Authorization

Open Pit 114,408

Waterbody 10 Fisheries Act Authorization

Open Pit (drawdown)

14,176

48,494

Total 177,078

Herman Otto Lake Watershed - Waterbody

Waterbody 7 Schedule 2 Water Quality Control Pond /

Fill Area 88,243

6.5.2.4 Construction of Enabling Infrastructure

6.5.2.4.1 Accommodation

During the construction phase, the required work force is estimated to be between 500 and 600 people; however, the company expects to draw much of this work force from the local communities who will commute daily to the site. In addition, it is expected that other transient workers will take up temporary accommodations in the local communities and commute daily to the site. A construction camp facility for 400 people is planned. The camp will be self-contained with a kitchen and dining facility, laundry, recreation, potable water treatment and sewage treatment. Prefabricated modular structures will be purchased and installed at the onset of the Construction Phase, and used for the duration of the construction period. The remaining construction crews (up to 200 workers) will be housed in accommodation complexes in Dubreuilville.




The mine dry will also be a modular pre-fabricated structure shipped to site for final assembly, and be connected to the camp for access, water and sewage systems. The camp and mine dry will be located on their own prepared pad, and mounted on prepared cribbing and mud slab foundations (refer to section 6.1.6.1). 6.5.2.4.2 Mine Haul Roads

Mine haul road and service roads will be constructed with native fill to accommodate 220 tonne trucks carrying ore from the open pit to the crusher, TMF, and MRMF.

6.5.2.4.3 Potable and Process Water Infrastructure

Construction of the potable and process water infrastructure will involve the installation of a subsurface water intake structure in Goudreau Lake, a pump station, and buried pipelines to convey the water to the intended use locations (e.g., office and auxiliary infrastructure, process plant, TMF, etc.). Separate process and potable water supply systems will be provided after the water is pumped from Goudreau Lake.

6.5.2.4.4 Sewage Treatment System

Another source of water requiring treatment is sewage from the accommodation/administration complex and offices, workshops, and laboratories. Sewage waters will be treated and the treated effluent will be pumped and discharged in the TMF. During the construction phase, with an estimated peak workforce of 400 person resident on site, it is estimated that up to 120 m3/day of wastewater will be generated.

6.5.2.4.5 Waste Management during Construction

The approach to waste management is described in section 6.1.7.

Hazardous waste materials will be handled, stored and transported in accordance with the TDG regulations. The hazardous waste will be placed in appropriate containers which in turn will be temporarily stored on site in sea can containers. These sea cans will be clearly identified and placed on laydown areas isolated from other types of wastes.

Non-mining wastes include food scraps, cardboard, plastics, metal tins, glass, scrap metal, wood, and paper. It is estimated that approximately 300 to 500 kilograms (kg)/day will be produced.

6.5.2.4.6 Site Security

Construction of ancillary infrastructure will include security fencing and guarded gates at main mine site access points. A combination of fencing and/or safety berms for safety and wildlife deterrence will be provided around key project components, including the administration complex and plant areas. To the maximum extent practicable, safety berms will be provided around pit areas, and along main haul roads.




6.5.2.5 Construction of Plant Area Components

Construction of the process plant will commence with foundation excavation in both overburden and rock once the primary earthworks have been completed. Erosion and runoff water control measures will be employed with the aim of preventing sediment-laden runoff from impacting the area and surrounding the construction sites.

Concrete foundations, pedestals, and walls will be poured and allowed to set. As the concrete work is completed, the major pieces of equipment and major building structural elements will be installed on the prepared foundations. As the major equipment is installed, piping, electrical, and control systems will be installed and the administrative and other support buildings will be constructed.

6.5.2.6 Construction of Chemical, Fuel, and Hazardous Materials Management Facilities

Containment areas will be constructed to ensure spill containment for the reagent preparation and storage facilities. The containment areas are designed to accommodate 110% of the content of the largest tank. In addition, each reagent will be prepared in its own bermed area in order to limit spillage and facilitate recycling of spilled materials. The storage tanks will be equipped with level indicators and instrumentation to ensure that spills do not occur during normal operation. Appropriate ventilation, fire and safety protection, eye wash stations, and MSDS stations will be provided at the facility.

There will be fuel storage tanks and dispensing stations for the mine haul fleet located on the truck shop pad. The facility will be completed with the requisite spill storage capacity.

Hazardous substances onsite will be managed in accordance with the requirements of Prodigy’s Hazardous Substances Management Plan (TSD 20).

6.5.2.7 Construction of Mining Waste Management Components

6.5.2.7.1 MRMF Construction Phase

Over the life of the mine, up to 430 Mt of mine rock will be produced. Mostly, mine rock from the open pit will be used to construct the various stages of the TMF and all other infrastructure pads and roads. Only non-acid generating material will be used for construction (refer to Mine Material Management Plan - TSD 20). The excess mine rock not used for construction activities or back fill will be disposed of in a MRMF located on the east side of the TMF. Mine rock is non-acid generating (refer to TSD 2) The MRMF will be constructed by the placement of the material hauled directly from the open pit. It will be end-dumped by mine trucks in 5 to 10 m high lifts. At specified vertical intervals, wide flat benches will be created to achieve the overall average slope. As the footprint of the MRMF is filled, perimeter seepage collection ditches will be constructed where needed to collect water infiltration through the mine rock. This seepage will be collected by a perimeter ditch located at the toe of the MRMF and channeled by gravity to the runoff water quality control pond located west of the TMF.




The conceptual design of the MRMF is provided in TSD 6. Final side slopes of the MRMF will range between 2:1 to 3:1 (H:V), depending on stability and closure and post-closure grading considerations. Intermediate slopes may be as steep as 1.5:1 (H:V). Given the deposit geometry and preferred phase design and mining sequence, no backfilling of mine rock into the mined out pit is currently planned. In addition, an area of 40 ha to the east of the crusher has been reserved for the ore stockpile. An additional temporary (i.e., early in the operations period) 45 Mt ore stockpile is located adjacent to mine rock on the south side of the TMF. 6.5.2.7.2 Tailings Management Facility Construction

Construction of the TMF will occur in three stages and the facility is designed to contain up to 150 Mt of tailings. The embankments will be constructed of mine rock. The embankment design and construction will be compliant with the Canadian Dam Standards (Canadian Dam Association, 2013). A typical cross-section through the TMF embankment is shown in Figure 6-6 and the construction methodologies are described in TSD 6.

Excess mine rock will be placed in the MRMF on the east side of the TMF, thus providing additional buttress for the eastern embankment. Preliminary design planning shows that the TMF would encompass up to 390 ha. The maximum thickness of the stored tailings would be up to 72 m.

Tailings will be pumped from the mill and conveyed by pipeline from the plant to the TMF where the tailings will deposit and consolidate within the embankment. The mill tailings will be pumped to the TMF at a solid to liquid ratio in the slurry of up to 55% tailings particles by total slurry weight. The tailings particles/liquid ratio for the tailings slurry is controlled by thickening of the mill tailing slurry at the process plant and spigotted around the perimeter of the TMF. The surface of the tailings will form a sloped “beach” allowing for a pond to form at the lowest part of the TMF. Precipitation, snowmelt, runoff, and water released from the deposited tailings as they consolidate, will be collected in the TMF and recycled to the process plant. The TMF will be provided with seepage controls to limit seepage that migrates to groundwater. Seepage collection includes a system of collection trenches underneath the footprint of the TMF embankment (Figure 6-10). These trenches daylight at the toe of the embankment and would flow by gravity or be pumped into the perimeter runoff ditches to be conveyed to the Water Quality Control Pond. At the onset of construction, the perimeter collection ditches surrounding the MRMF and TMF, and the Runoff Water Quality Control Pond (Figure 6-9) will be constructed to enable capture and management of runoff from construction activities. Additional temporary sediment detention ponds and berms will be constructed within the ultimate footprint of the TMF if necessary.

Organic materials and overburden that is otherwise unsuitable for construction will be removed from the footprint of the Stage 1 TMF embankment to ensure the embankment contains no potentially weak material. The inner seepage collection trench will be constructed/installed by drilling and blasting, or otherwise excavating into shallow bedrock along the inner toe of the




embankment. A granular “filler” layer of sand and gravel will be placed on the upstream slope of the embankment to provide a protective cushion for the overlying geomembrane liner. The liner will be placed on last and will reduce permeability of the embankment. The bottom of the geomembrane will be keyed into a concrete-filled trench (or other suitable material such as bentonite clay) which is cut into bedrock.

As necessary, intermediate seepage collection trenches or ditches will be installed along the topographic low-points of the outer toe of the embankment to convey any infiltration through the embankment. This seepage will be routed to the main perimeter seepage collection trench and sumps.

6.5.2.8 Construction of Environmental Management Infrastructure and Monitoring

The surface water, air, and biological environmental monitoring systems will be installed prior to construction. Other construction activities will include installing groundwater monitoring wells, and constructing stream flow and air quality measuring stations.

The construction of the environmental control systems, including the runoff collection ditches, seepage collection trenches, detention ponds, and water quality control pond, will be constructed ahead of the major construction activities associated with the process plant, the pit, the TMF and the MRMF. These control systems are illustrated on Figure 6-9.

6.5.2.9 Construction Phase Workforce Requirements and Personnel Management

Prodigy is committed to local hiring and contracting opportunities. During the construction phase of the Project, the workforce needed is estimated to be between 500 to 600 positions. Prodigy intends to fill as many of these positions locally as possible.

6.5.2.10 Construction Phase Payroll and Procurement

Prodigy is committed to providing competitive wages and salaries and maximizing local purchasing. There will be scope for local contractors to participate in the work, including soil excavation and hauling, provision of on-site electrical and mechanical services, site cleanup and revegetation, building construction, and the provision of supervisors and general laborers. The Company will be entering into agreements with a number of relevant Aboriginal communities.

6.5.2.11 Construction Materials and Personnel Transportation

Personnel that do not live locally can drive to the area or fly to Wawa or Sault Ste. Marie, and then drive to the Town of Dubreuilville and/or the mine site. The camp on-site will accommodate up to 400 persons during construction. The remaining personnel are expected to be local hires who live in the adjacent communities and commute to the site daily or find local accommodation. Daily traffic volumes for locally hired personnel and contractors is expected to range between 250 and 300 trips per day.

Vehicular traffic to the site, consisting mostly of light vehicles, is expected to follow Highway 519, Goudreau Road and/or Route 48 shown on Figure 6-1. All heavy equipment, construction material and supplies required for the construction phase will come via the established road network. Flatbed trucks and tanker trucks will transport this material to the construction site. The mine haul trucks and larger process equipment will be brought to the Project area in segments




and assembled on-site. Transportation of construction material, equipment, supplies, fuel and reagent is expected to add an additional 200 to 300 trips per day during peak construction activities.


Table 6-10 provides a summary of key mitigation measures that have been designed into the Project and their intended outcomes in terms of avoidance or reduction in the severity of adverse environmental effects.

Table 6-10: Construction Phase Mitigation by Design Summary




Closure of Existing Mine Facilities

The closure of existing mine facilities has been incorporated into the new mine site design and the current certified closure plan.

Closure of existing mine facilities removes environmental liability and potential threats to humans and the environment.

Complies with regulatory requirements and conforms with good governance practices

Stream Diversions, Draining and Backfilling of On-site

Waterbodies

Selection of the reduced footprint alternative.

Minimizes the need for disturbing other waterbodies and wetlands and reduces potential effects to fish, fish habitat, and wetlands.

Diversion of McVeigh Creek incorporates natural channel design principles and follows the alignment of a historic ox-bow channel.

Minimizes effects on surface water flow, fish, and fish habitat in McVeigh Creek. Re-establishes historic drainage patterns.

Webb Lake and Lovell Lake are to be drained early in the construction phase.

A diversion channel will prevent drainage into the open pit.

Avoids large volume of water discharges to streams and wetlands. Minimizes effects on surface water quantity in Goudreau Lake and Spring Lake.

Construction Phase Workforce Requirements

and Personnel Management



Construction Phase Payroll and Procurement

Prodigy is committed to provide competitive wages and salaries and maximize local purchasing.


Construction Materials and Personnel Transportation

Major component shipments to be pre-scheduled.

Bus service will be provided for community-based workers.

Minimizes congestion on local roads and the potential for accidents.




6.5.3 Operations Phase Works and Activities

6.5.3.1 Operations and Maintenance of Enabling Infrastructure

6.5.3.1.1 Roads

Mine site roads and the public access bypass will be used throughout the operations phase to move construction and operational mine material, personnel, and equipment on-site.

From Dubreuilville, vehicles are likely to be a combination of buses, personal vehicles (cars, pick-up trucks), tractor-trailers, and armoured vehicles. Road maintenance will be routinely conducted on all mine site roads and may also include maintenance on Goudreau Road. Road maintenance will be carried out with ancillary equipment. This will include bulldozers, small front-end loaders, motor graders, and water trucks for dust suppression.

6.5.3.1.2 Mine Haul Roads and Service Roads

There are numerous gravel roads in good condition within and near the Project, which were built to service previous logging activity, mining operations and drilling programs. New two-way service roads internal to the site will be constructed to connect the process plant, the office/maintenance/warehouse complex, staff accommodation facilities, the explosives storage facility, and the TMF. A mine haul road that can accommodate the mine trucks will also be required. The mine haul road will be designed in accordance with the specifications for mine road construction in the Province of Ontario. Some of the proposed roads are shown on Figure 6-3 and total between 5 and 10 km in length (excluding any roads contained in the pit and in the footprint of the mine rock and tailings management facilities).

6.5.3.1.3 Electrical Transmission Lines and Substation

An existing 44 kV power line owned by API is currently servicing the property. This circuit originates near Highway 101, south of Hawk Junction, and provides power to the towns of Hawk Junction and Dubreuilville, as well as to the settlements of Goudreau, Lochalsh, and Missanabie.

The maximum power needs of the Project are estimated to be approximately 50 MW. The existing single-circuit 44 kV system cannot accommodate this additional load and will need to be upgraded. In addition, the line across the area where the pit will be excavated will have to be relocated. The existing main transformer on the property is in operational condition; however, it will be replaced with a main substation for the Project. This new substation will be located close to the grinding circuits where most of the required power will be consumed. On-site power for the various Project ancillary facilities will be distributed via overhead lines.

The power supply to the office/warehouse building and mine equipment maintenance building will go through step-down transformers. The power supply to all on-site exterior lighting will be through single-phase, pole-mounted transformers. All major motors will be soft-started to reduce the in-rush current and improve the power factor and harmonic emissions.




6.5.3.1.4 Potable and Process Water Infrastructure

A relatively small quantity of potable water amounting to approximately 120 m3/day (or approximately 40,000 m3/per year) will be required for the office and auxiliary facilities, the mine, and the process plant. This supply will be obtained from Goudreau Lake and/or groundwater wells in the Project area. This potable water system will comply with the requirements of the Safe Drinking Water Act of 2002 (O. Reg. 169/63). The water will be treated as required to meet the drinking water standards as provided in Ontario Regulation (O. Reg.) 169/03 and be licensed as a small residential system meeting the requirements of O. Reg. 170/03 Drinking Water Systems.

The process plant will circulate approximately 25,000 m3 of water per day. The majority of the process water will be obtained through recirculation from the various thickeners in the process plant, recycled from the TMF, pumped from the pit, and seepage collected from around the Project facilities.

Fresh water will be required during the start-up of the process plant and TMF; thereafter during operations, makeup water for the plant and potable water for the facilities will be required on an ongoing basis. The start-up water will be obtained from water that is impounded naturally within the TMF when the initial retaining embankment is constructed, from the existing tailings facility, and from Lovell and Webb Lakes, as they are to be backfilled. Start-up water required is estimated to be on the order of 500,000 m3.

During years of the operations up to 1,640 m3/day (approximately 730,000 m3/year) will be required and will be pumped from Goudreau Lake.

The associated water supply infrastructure will include a subsurface water intake structure in Goudreau Lake, a pump station, and pipelines to convey the water to the process plant. Potable water will divert from the pipeline, using a valving system in the plant area, to a potable water storage tank. Expected water requirements over the life of the project are presented in TSD 7.

6.5.3.1.5 Sewage Treatment System

Other sources of impacted water are sewage from staff housing and offices, workshops, and laboratories. Pre-fabricated sewage treatment plants will be used to treat the site wastewater.

It is estimated that up to 120 m3/day of waste water will be generated at the facility. The treated sewage plant effluent will be pumped to the TMF.

6.5.3.1.6 Non-mining Waste Facilities

Waste management is described in section 6.1.7.

6.5.3.1.7 Site Security

Site security will be provided 365 days/year and 24 hours a day. Parties entering the site will be required to pass through a security station located at the entrance to the Project area. The security guards will operate computer systems to track the entry and departure of the mine personnel, contractors, visitors, regulation, etc.




Security is provided not only to prevent trespassing, but also to ensure the necessary Health and Safety (H&S) training for all persons entering the Project area. For all visitors that have not gone through Project-specific H&S training, training specific to the activities they will be performing in the Project area will be provided by the security guards and supplemented by the Project’s H&S officials.

On the public accessible perimeter road, warning signs will be posted at regular intervals explaining that mining activities are occurring, highlighting the key safety issues, and identifying areas prohibiting public access.

The entrance to the dangerous chemicals storage areas and the explosives and detonator storage area will be locked and signage will be posted. Access will be limited to authorized personnel only.

6.5.3.2 Open Pit Mining

Excavation of the open pit will commence during the construction phase to provide materials for the construction of roads, building foundations, and initial TMF embankments. Full mining operations will commence immediately following the construction phase, and will include mining from the open pit, ore stockpiling, processing of the ore, removal and placement of overburden and mine rock, equipment and facilities maintenance, various administrative activities, and environmental monitoring. Open pit mining will occur over a 10-year period during the operations phase.

6.5.3.2.1 Mining Method

A preliminary mine production schedule is provided in Table 6-11. Overall, the mining operation is designed to achieve the required plant feed production rate, mining higher-grade material early in the schedule, while balancing grade and strip ratios (see Figure 6-12 to Figure 6-18 for expected pit development).

The open pit will extend to approximately 430 m below ground surface. Mining will be conducted by drilling and blasting zones of the rock, and by using a shovel or loader and mine trucks to remove the blasted material. The mine rock will be hauled to the MRMF while the ore will be hauled to the designated stockpile areas.

6.5.3.2.2 Pit Dewatering

Groundwater inflows into the pit will be minimized with the construction of a slurry wall around the outer perimeter of a portion of the open pit and dewatering wells as shown on Figure 6-9 (refer to section 6.2.1.7). A diversion ditch will also be constructed north of Water Body 10 to minimize surface water inflows to the open pit.

The open pit will be dewatered as mining proceeds through the use of sump pumps and pipelines, and possibly extraction wells drilled into the pit walls.

6.5.3.2.3 Explosives Handling and Use

Explosives will be required for both construction and for mining. For these purposes, explosives will be supplied by an off-site service provider. For mining operations, the mixing, if required,




and delivering of explosives to the hole will also be the responsibility of the selected supplier. Prodigy staff will be responsible for the blasting pattern design and for tie-ins.

For blasting agents, initially 100% emulsion will be used and are proposed to comply with NOx standards. However, Prodigy will explore the use of a mixture of ammonium nitrate/fuel oil (AN/FO) and emulsions once the exact specification of the blasting agents are known and if such mixtures are in compliance with regulatory standards. Approximately 150 tonnes of emulsion will be stored at site or if a mixture is used, then 75 tonnes of Ammonium Nitrate and 75 tonnes of Emulsion will be stored on-site.




Table 6-11: Expected Mine Production and Ore Processing Schedule

Unit LOM

Mt -1 1 2 3 4 5 6 7 8 9 10 11 12 Total

Milling Rate Mt 12.8 12.8 12.8 12.8 12.8 12.8 12.8 12.8 12.8 12.8 12.8 9.5 150.0

Mined Ore (High Grade) Mt 6.9 11.7 14 16.5 3.8 3.4 9.4 10.9 12.7 9.2 6.9 105.4

Year End High Grade

Stockpile6.9 5.8 7.1 10.8 1.8 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0

Low grade ore processed Mt 0 0.0 0.0 0.0 0.0 7.6 3.4 1.9 0.1 3.6 5.9 12.8 9.5 45

Gold Grade g/t 0.84 0.83 0.82 0.97 0.87 0.78 0.73 0.97 1.05 0.98 0.76 0.89

Contained Gold k Oz. 185 312 368 514 106 85 221 340 430 287 168 3019

Waste Rock Tonnage Hauled

from Open PitMt 18.1 43.3 41 38.5 51.2 51.6 45.6 44 42.3 18.3 4.6 0 0 398.5

Total Tonnage Hauled from

Open PitMt 25 55 55 55 55 55 55 55 55 55 31 0 0 551

Waste Rock Stockpile Mt 18 61 102 141 192 236 278 320 363 377 376 363 354 354

Stip Ratio (waste/ore) 2.6 3.7 2.9 2.3 13.4 15.2 4.9 4 3.3 2 0.7 3.8

Mining Rate tpd 69 151 151 151 151 151 151 151 151 147 31

Explosives used (0.2 kg/t) t/y 5,000 11,000 11,000 11,000 11,000 11,000 11,000 11,000 11,000 11,000 6,200

MaterialsYear




Figure 6-12: Site and Pit Development Year -1




Figure 6-13: Site and Pit Development Year 1
























6.5.3.2.4 Mining Equipment

The type of major equipment used in the mining operation includes drills to allow blasting to occur, loading equipment with a capacity of approximately 20 m³, and mine trucks of approximately a 220 tonne capacity. Additional auxiliary equipment will include track dozers, graders, excavators, backhoe or small front-end loaders, forklifts and lift trucks, tire handlers, and a variety of light and heavy trucks (i.e., water trucks, personnel carriers, maintenance trucks, fuel/lube trucks, pickup trucks, and trailers).

The support vehicles at the Project site are expected to be Class 2B and Class 3 heavy-duty vehicles with the capacity to meet emission limit regulations for carbon dioxide (CO2), nitrogen oxides (NOx), and methane. These regulations will also require annual fleet model reporting under the Canadian Environmental Protection Act (CEPA). The initial major open pit mining equipment requirements are indicated in Table 6-12.

Table 6-12: Initial Primary Open Pit Mining Equipment

Description Number of Units

311 mm diameter Rotary, Crawler Drill 4

115 mm diameter Percussion, Crawler Drill 1

22 m3 Front Shovel 3

20 m3 Wheel Loader 1

220 t Haul Truck 18

Komatsu D375 Class - Tracked Dozer 5

Komatsu WD600 Class - Rubber-tired Dozer 2

Komatsu GD825 Class - Grader 4

140 tonne - Water Truck 1

Source: PFS 2016

Any reference to a specific supplier or piece of equipment should not be seen as an endorsement; this information is provided for reference purposes only. Additional analysis regarding equipment selection is to be carried out at the engineering and procurement stages of the Project. 6.5.3.2.5 Support/Ancillary Equipment

The selection of auxiliary and support equipment will consider the size and type of the primary loading and hauling fleet, the geometry of the open pit, and the number of roads and mine rock management facility that would be in operation at any given time. The auxiliary equipment fleet is planned to be composed of one type of track dozer (Komatsu D375A-class), one type of wheel dozer (Komatsu WD600 -class), one type of grader (Komatsu GD825-class), and one size of water truck (140 tonne). The major tasks to be completed by the support equipment include the following:

Bench and road maintenance;

General maintenance;

Reclamation support;




Tailings facility construction support; and

Shovel support/cleanup.

The primary support equipment unit functions are as follows:

Komatsu D375A Track Dozer – primarily used for shovel support/cleanup, mine rock management facility maintenance, road construction, high wall cleaning and other Projects as needed;

Komatsu WD600 Wheel Dozer – used to support WRF maintenance, drill pattern cleanup, and support for shovel floor maintenance;

Komatsu GD825 Grader – primarily used for road maintenance and pit and mine rock management facility maintenance, road construction and service road maintenance; and

Water Truck – primarily used for dust suppression on haul roads.

The following items are also included as support equipment:

Drill (115 mm) for secondary blasting and pre-split drilling;

Fuel trucks to supply diesel fuel to all the hydraulic diesel excavators, dozers, drills, as required;

Lube truck to supply lubricants, hydraulic fluids, and cooling water to all open pit equipment;

Mobile mechanical trucks, equipped with tools, welding machine, worktable with press, and replacement parts, to provide preventative and corrective maintenance in the field;

Small excavator (3 m³) for road and pit maintenance;

Low-boy transporter truck (100 tonne) to transport dozers, drills, small backhoe and major components;

Tire manipulator for tire maintenance;

Mobile crane (65 t) for field maintenance; and

Mobile lights to illuminate waste dumps and construction areas.

6.5.3.2.6 On-site Materials Haulage

An estimated 150,000 to 176,000 tonnes per day of ore and mine rock will be hauled to the MRMF, the low grade ore stockpile, and during embankment rising periods, to the TMF. This will require between 690 and 800 truck trips per day. Hauling will be conducted on a 24-hour basis, 365 days per year.

6.5.3.2.7 Ore Stockpiling

Two ore stockpiles will be established. One stockpile will be located in proximity of the process plant (up to 15 Mt) and a second ore stockpile will be located adjacent to the south MRMF (up to 45 Mt).

6.5.3.2.8 Existing Tailings

Existing tailings will be tested to determine if they can be re-processed. The tailings will be excavated and hauled to the process plant for re-processing for gold. Surface water from the tailings impoundment will be drained off and the tailings will be excavated with heavy equipment. Water that collects in the tailings excavations will likely consist of pore water, and will be pumped as make-up water to the process plant.




6.5.3.2.9 Top-Soil and Overburden Stockpiling

Overburden stockpiles for storage of topsoil and overburden (till and glaciofluvial deposits) stripped from the pit area and from below the proposed TMF embankment areas will be stockpiled on-site at the locations shown in Figure 6-3. The proposed overburden stockpiles will be constructed with stable side slopes of 2.5:1 to 3:1.

The stockpile areas will be cleared of vegetation before use, and runoff diversion ditches will be provided as necessary to prevent runoff from adjacent areas eroding the stockpiled material. Sediment detention berms will be constructed as necessary. These berms will be retained even after the stockpiles are revegetated in order to provide sedimentation control when materials are excavated from the stockpiles during rehabilitation of the Project.

The material to be stockpiled will be hauled by trucks to the stockpile area, and dumped, graded, and shaped using a small dozer. Additional sediment control features such as silt fences, berms, and ditches will be provided as needed to facilitate sediment control.

To the extent practicable, the soil containing organics will be stockpiled separately. The overburden material will be placed separately and revegetated.

6.5.3.3 Operation and Maintenance of Ore Processing Plant and Plant Area Facilities

The process plant will operate year-round in two 12-hour shifts per day, with scheduled downtime for equipment maintenance. The plant throughput will range from 25,000 to 35,000 tonnes per day (t/d) and peak at approximately 35,000 t/d of ore. The movement of material from the mine through processing to completion is laid out in Figure 6-19 and described below.

6.5.3.3.1 Ore Transport

Raw ore material extracted from the open pit or transferred from the ore stockpile will be dumped into the 400 tonne live capacity primary crusher feed hopper.

6.5.3.3.2 Primary Crusher Operations

Material placed in the hopper will be transferred to the primary gyratory crusher using a vibrating grizzly feeder system. The crushed material will then be dumped directly onto a conveyor and sent to the coarse ore stockpile. The primary crusher operational utilization will be 75% to allow sufficient downtime for scheduled and unscheduled maintenance of the crushing and process plant equipment. A pebble crusher will be included in closed circuit, with the SAG mill to handle oversized material. The crushing circuit will have enough capacity to allow for increased throughput if required.

6.5.3.3.3 SAG and Ball Mills, Cyclone and Gravity Circuit Operations

The crushed material will feed the grinding circuit that reduces the size of the crushed material to a final product size of 80% passing 1/10th of a mm (75 um). The grinding process is to be a two-stage operation, with the SAG mill followed by the ball mill in closed circuit, with classifying cyclones and a gravity concentrator circuit. Steel balls will be used as the grinding media in both the SAG and the ball mills in order to maintain grinding efficiency.




Cyanide and other reagents will be added to the leach tanks to initiate the leaching process. The SAG mill discharge will combine with the ball mill discharge and the tails from the gravity concentrator to become the feed to the classification cyclones. The concentrate obtained from the gravity concentrators will be sent to a refinery system, and the tailings will be returned to the mill discharge pump box for further classification.

Leaching and Refining Operations

The leaching and refining operations include relatively fine grinding and a gravity recovery circuit, followed by cyanide leaching and gold recovery circuits to extract approximately 95% of the available gold from the ore.

Prior to the leaching, the ground product is thickened. The thickener overflow is directed to a Carbon-in-Column (CIC) circuit for the recovery of gold as well as any silver present in the solution. The thickener underflow will enter the leach circuit, and then flow into the Carbon-in-Pulp (CIP) circuit to recover gold and any silver from the leached slurry.

Electrowinning and Smelting

The gold and/or silver are recovered by electrowinning from a “pregnant solution”. The pregnant solution is pumped from the pregnant solution tank to the electrowinning cells. Gold and/or silver is then electroplated onto stainless steel wool cathodes. Smelting to produce gold doré will occur twice weekly from the electrowinning circuit. Barren electrolyte solution exiting the electrolytic cells will be returned to the barren/strip solution tank.




Figure 6-19: Gold Extraction Process Flowsheet




Cyanide Treatment

The cyanide treatment plant will be operated on a continuous basis. Reagent additions, including sodium metabisulphate and anhydrous copper sulphate act as a catalyst, and will take place in a mixing tank. The treated effluent, a tailings slurry, will be tested to ensure it meets the required standard before being discharged to the TMF.

Additional detoxification of cyanide will occur in the TMF through natural processes such as hydrolysis, dissociation, volatilization, photo oxidation, chemical and bacteriological oxidation, and precipitation-dissolution. The final Project design and operational plans will incorporate an appropriate combination of cyanide treatment at the plant and natural degradation in the TMF.

6.5.3.4 Chemical, Fuel and Hazardous Materials Management

Chemical Reagents

Table 6-13 presents preliminary estimates of the amount of annual chemical usage in the process plant.

Lime will be delivered in bulk and transferred to the 100 tonne storage silo. A lime slaking facility will be installed to slurry the lime. From this tank, the lime slurry will be pumped to the SAG mill, ball mill or leach tanks as required.

Cyanide will be purchased in dry form (sodium cyanide) and delivered in bags inside wooden boxes or in ISO containers. The wood boxes will be placed within sea can containers for transport to the site (by rail or truck). Purchasing, packaging, transportation, storage and handling will be carried out in compliance with the Cyanide Code. It is expected that up to 20 sea can containers of cyanide briquettes will be stored on site in order to maintain up to two weeks supply of the reagent on site. These containers will be stored in a secure laydown area close to the mill. Individual wooden boxes of briquettes will be transferred by forklift to the mill as required and placed in the preparation tanks. The cyanide solution will be pumped to the gold leaching process via a pipeline. The cyanide solutions will be pumped to the SAG mill, ball mill, or leaching tanks.

Other bulk chemicals include hydrochloric acid (36% - 38% strength), caustic soda (30% NaOH), sodium metabisulphite for use in cyanide destruction, copper sulphate, activated carbon, anti-scalant and a number of other minor reagents such as leachaid and standard industry fluxes, typically consisting of borax, silica and nitre for use in the induction furnace. Quantities, delivery methods and expected storage quantities on site are presented in Table 6-13.

Fresh water will be used in the making up or the dilution of the various reagents that will be supplied in powder/solids form, or which require dilution prior to addition to the slurry. These reagent solutions will be added to the addition points of the various circuits and streams using metering pumps.




Table 6-13: Reagent Consumption and On-site Storage

Reagent Consumption Storage

tonnes/year Capacity Method

Lime (CaO)

2555 100 tonnes

(2 weeks supply) Stored in 100 tonnes silo.

Sodium Cyanide (NaCN)

9580 200 tonnes

(one week supply)

Stored in 10 seacan containers on site (20 t capacity per container). Bags/wooden box transferred to mill as required.

Caustic Soda (30% strength)

255 40 m3


Hydrochloric Acid (36 - 38% strength)

130 40 m3


Activated Carbon 640 60 tonnes

(one month supply)

Three 20 ft. seacan container stored on laydown area next to mill. Bag transferred to mill by forklift as required.

Sodium Metabisulphate

4800 400 tonnes

(one month supply)

Twenty 20 ft. seacan container stored on laydown area close to the mill. Bag transferred to mill by forklift as required.

Copper Sulphate (CuSO4.4H2O)

1625 140 tonnes

(one month supply)

Seven 20 ft. seacan container stored on laydown area close to the mill. Bag transferred to mill by forklift as required.

Magnafloc 155 255 20 tonnes

(one month supply)

One 20 ft. seacan container stored on laydown area close to the mill. Transferred to mill as required.

Anti-scalant 385 30 tonnes

(one month supply)

Two 20 ft. seacan container stored on laydown area close to the mill. Transferred to mill as required.

Other minor reagents may include antiscalants, Leachaid and standard industry fluxes, typically consisting of borax, silica and nitre for use in the induction furnace

Fuels

The estimated consumption of fuel and on-site storage quantities are presented in Table 6-14.




Table 6-14: Hydrocarbon Usage

Fuel will be delivered to the site in tanker trucks (40,000 litres capacity) and stored in a 2000 m3 storage tank adjacent to the heavy equipment shop. The fuel tank will be built within a secondary containment area in accordance with applicable regulations. A fuel station will be established adjacent to the truck shop, for easy access by heavy equipment such as haul trucks. The fuel station will have a diesel fuel pump station for mining vehicles and a containerized lube top-off system for oil, grease, windshield washing fluid and coolants. Other vehicle maintenance liquids will be stored in double-walled tanks or equivalent. A small quantity of gasoline will also be stored in a double-walled Enviro tank at the Project site for use by light vehicles, all-terrain vehicles, snowmobiles, boats and gas-powered tools, along with propane. Propane may be required at the Project site for use in equipment and potentially for heating. Any storage of pressurized gases will be in accordance with applicable regulations. All liquid fuel transfer areas, where there is a reasonable potential for spills, will be constructed to contain fuel that might inadvertently be spilled. Automatic shut-off valves and other such equipment as dictated by best practice, will be installed to further reduce the risk of spills during fuel transfer operations. Oil/water separators will be installed in such locations to treat runoff. Equipment maintenance materials, such as engine oil, hydraulic oil, transmission fluid, gear oils and greases will be stored in secured containers within the maintenance shop or warehouse. Lubricants will also be securely stored for use at the ore processing plant. Various solvents, other cleaners and antifreeze will also be required for equipment and vehicle maintenance. These materials will be stored in secured containers within the maintenance garage and protected area of the warehouses. Solvents and cleaners will also be securely stored for use at the ore processing plant.

6.5.3.5 Mining Waste Management

Mining Material Management Facility Operations

The design of the MRMF and the manner in which it will be constructed was described previously. During operations, the mine rock generated throughout operations will be placed in lifts along the outer rim of the TMF and will be graded to flatten the slopes in order to allow concurrent reclamation to start along these outer edges during the operational phase of mining.

Tailings Management Facility Operations

The process plant will generate up to 35,000 t/d of slurried thickened tailings. Slurried tailings will be conveyed by pipeline from the plant and spigotted around the perimeter of the TMF, starting at the western side of the TMF. The surface of the tailings will form a slightly sloped “beach”, allowing a pond to form at the lowest part and on the eastern side of the TMF where it will be adjacent to the MRMF and away from the TMF embankment. The water that will

On-site Storage





49,000,000

165,000

250,000


Litres/year Amount per trip




accumulate in the eastern side of the TMF will be collected using barge-mounted pumps, and recycled to the process plant.

6.5.3.6 Progressive Rehabilitation of Mining Material Management Facilities

Progressive rehabilitation will be conducted to the extent possible. It will focus on features that are completed during the construction and operations phases, such as construction access roads and laydown areas, portions of the MRMF, the overburden management facilities, and some of the ore and mine rock haul roads.

Existing Tailings Facility

The proper reclamation of the existing tailings facility and polishing pond associated with historic mining activities will ameliorate a current environmental liability.

The existing tailings facility and polishing pond may initially be used for water storage for both the construction phase and start-up of operations. Dam safety inspections have been regularly undertaken at these facilities (AMEC, 2007 and 2011), most recently in 2013 (SLR, 2013). The most recent inspections were carried out at the following facilities:

East Dam, which provides containment along the east side of the existing tailings impoundment;

Centre Dam, which provides containment along the west side of the existing tailings impoundment; and

West Dam, which retains a polishing water pond and is located downstream and to the west of the Central Dam.

The most recent dam safety inspections were carried out in accordance with the CDA Dam Safety Guidelines (CDA, 2007). The hazard potential classification of the dams was evaluated as low. This rating was based on the criteria outlined in CDA Dam Safety Guidelines (CDA, 2007) and the Ontario MNRF Technical Bulletin: Classification and Inflow Design Flood Criteria (MNR, 2011a). The catchment areas draining to the existing dams and extreme flood flows were evaluated as part of the review of safe passage of the inflow design flood. These catchment areas are relatively small and are not subject to the high flood risks.

At the time of the most recent inspections (SLR, 2013), all three dams appeared to be stable and showed no visible signs of distress or instability under current loading conditions. However, the replacement of rip-rap for erosion protection and continued interim use was recommended and these repairs were subsequently implemented by Prodigy crews in late 2013.

Prior to any use for the Magino Gold Project, the ponds will be drained and the tailings removed for reprocessing for their gold values, or capped. Portions of the area covered by the tailings facility will be incorporated into the Project facilities. The unused embankments and pond areas will be graded to stable slopes and seeded with native plant mixtures to initiate natural rehabilitation.

Mine Rock Management Facility

The MRMF will be closed after the mining phase. Ultimately, the placed mine rock will be graded to flatter overall slopes in some areas, while in others, the individual bench slopes will be retained and smoothed out or flattened. The intent is to create a more natural-looking rock pile




with different surfaces, ranging from almost flat to steeper rock slopes in order to create varying types of wildlife and avian habitats.

Selective overburden and soil cover will be placed in the flatter and gently sloping areas to promote vegetative growth. Selective seeding will be undertaken to initiate natural revegetation and rehabilitation.

Tailings Management Facility

Towards the end of operations, the top of the TMF embankment will be shaped for maximum stability. Construction benches will be incorporated for increased stability and to avoid long runoff slopes that are more prone to erosion.

To the extent practicable, overburden and soil cover will be placed on the outer side of the embankment. The water management features of the TMF, including spillway and seepage controls, will continue to be operated as required by the applicable permits and approvals. Spillway and surface water controls on the TMF will be managed in order to maintain required freeboard behind the embankment. The discharge water will be monitored for quality.

6.5.3.7 Operation and Maintenance of Water Management Infrastructure

While Figure 6-9 and Figure 6-10 illustrate the water management strategies for the site, Figure 6-20 presents the project water balance for the Operations Phase. Details of the Project water balance are presented in TSD 7. The operating strategy adopted by Prodigy is to maximize reuse and recycling of industrial water in the milling/TMF circuit, which will minimize requirements of freshwater. For the duration of the operations period, there will be no discharge of water from the TMF pool to the receiving environment. Make-up water required for milling and for the loss of pore water trapped within the consolidated tailings will be provided primarily from the open pit dewatering, and, the reuse of runoff collected in the WQCP.




Figure 6-20: Water Balance for the Life of Project




6.5.3.7.1 Groundwater Controls and Pit Water Management

Groundwater controls are required at the open pit, MRMF, and TMF. TSD 4 presents the results of the groundwater modelling for the Project area.

The open pit will be dewatered as mining proceeds downward using sump pumps and pipelines, and extraction wells drilled into the pit walls. When mining starts, very little groundwater will be extracted. The amount of groundwater to be managed will gradually increase with mining depth. As discussed in Chapter 7, groundwater drawdown will cause a lowering of groundwater levels in the vicinity of the open pit.

The open pit will also have ditches located around the perimeter to intercept runoff water. Dewatering wells will also be installed strategically around the perimeter of the pit in order to minimize water inflows into the pit. During mining operations, some groundwater seepage, precipitation, and snowmelt will collect in the open pit.

All pit related water collection will be pumped to the TMF or the process plant and be used as process water.

6.5.3.7.2 Surface Water Diversions and Collection

Non-contact water will be directed away from site facilities through diversion works as described in section 6.2.2.3.

Mine contact water will be intercepted throughout the site and channeled by a network of runoff collection ditches, to a single runoff water quality control pond as illustrated on Figure 6-9. All project areas are graded in a manner that allows drainage of runoff to flow by gravity to two main surface water collection ditches located on the north and south side of the TMF/MRMF.

All collection ditches are designed and constructed to handle precipitation occurring for the 100 year storm event.

6.5.3.7.3 TMF and MRMF Seepage Water Management

Groundwater seepage from the MRMF will be intercepted and routed to the Water Quality Control Pond. Drains will be installed beneath the MRMF to convey the natural groundwater in the area to the site perimeter collection ditch (refer to Figure 6-9). The TMF will be constructed with seepage controls to prevent any impacts to receiving waters that could result from groundwater seepage (refer to Figure 6-10).

The underdrain installed to capture seepage from both the TMF and the MRMF are designed and constructed to flow by gravity to the toe of the embankment where it either flows by gravity or is pumped into the perimeter ditches described above. All seepage water from the TMF and MRMF will report to the water quality control pond.

6.5.3.7.4 Sewage Treatment Facility Operations

Other sources of impacted water are sewage from staff housing and offices, workshops, and laboratories. The sewage treatment plant will be used to treat this water. The treated sewage effluent will be pumped to the TMF.




6.5.3.7.5 Water Quality Control Pond

The interception and routing of the mine contact surface water to a single runoff water quality control pond will enable Prodigy to monitor the quality of this water.

This water quality pond is equipped with two pumping systems. Prodigy intends to use runoff water collected in the WQCP for make-up water in the milling process. Most of the water collected in this pond will be pumped to the TMF for reuse as process water at the mill. As indicated by the site water balance in TSD 7, excess water collected in this pond will be discharged to Otto Lake via a diffuser system. Figure 6-20 presents the site water balance for the operation period.

6.5.3.7.6 Discharge to the Receiving Environment

As shown in Figure 6-9, excess mine contact water will be discharged to the receiving environment via a diffuser system. The discharge will occur over a 7 month period annually (spring-summer and early fall). This discharge will be the single mine contact water discharge from the entire Project site. Discharge water quantities and quality will be monitored in accordance with the regulatory requirements of the MISA regulation (O.Reg 561/94).

6.5.3.7.7 Adaptive Management

The water management strategies are simple, effective and reliable. Collection and channeling of mine contact water relies on gravity. The TMF and the runoff water quality pond provide ample storage capacity to cope with major storm events, in excess of the 100-year return period (refer to TSD 6).

The single point of water discharge from the entire Project site during the operation phase is the controlled discharge from the water quality control pond. The water quality in this pond is expected to be compliant with O.Reg 561/94.

Characterization work carried out to date indicates that both mine rock and tailings are non-acid generating (TSD 2), and the Project water balance indicates that water quality in the WQCP should not be a concern after closure (TSD 7). Therefore, no treatment is provided for the WQCP discharge water.

Should treatment be necessary, a treatment facility can be constructed and operated adjacent to the WQCP pond.

6.5.3.7.8 Ongoing Environmental Monitoring

Monitoring will commence prior to construction (refer to TSD 20-13, Environmental Monitoring Plan). The existing baseline data, baseline monitoring, and sampling locations will be utilized in the development of the operational monitoring and follow-up plan. Monitoring will be focused on those components where there is the greatest potential for effects from Project activities, and will include compliance and environmental effects monitoring. Adaptive management will be used to address changes to predicted effects.




6.5.3.8 Support Mobile Equipment for Mill Operation

Expected requirements for support mobile equipment for the mill operation is presented in Table 6-15.

Table 6-15: Support Mobile Equipment for Milling Operation

Support Equipment Quantity

Light vehicles 6

Crane – 60t 1

Bob Cat 1

Deck truck – boom truck 1

All terrain fork lift 1

Front end loader 1

Source: JDS 2016

6.5.3.9 Operations Phase Workforce Requirements and Personnel Management

Prodigy is committed to local hiring to the maximum extent possible. It is estimated that up to approximately 375 positions are required during the operations phase, working on various rotational shifts (e.g., 4x3, 5x2, or 7x7).

Prodigy is committed to providing competitive wages and salaries, and maximizing local purchasing. There will be scope for local contractors to participate in the work, including the supply and transportation of materials to and from the mine site, provision of on-site electrical and mechanical services, staff accommodation services, building maintenance, etc.

6.5.3.9.1 General Administration and Labour Staffing Schedule

Anticipated general administration and labour staffing requirements are listed Table 6-16.




Table 6-16: Expected General Administration and Labour Staffing Schedule

6.5.3.9.2 Mine Personnel and Organization Structure

The work schedule assumes a 24 hours/day, 7 days/week and 365 days/year mining. Operations and mining personnel would work on two 12-hour shifts per day. Production, maintenance and technical personnel are planned to be primarily on a 1-week-in / 1-week-out rotation. With the exception of the blasting crew, all hourly labour and supervisory personnel would rotate between day and night shifts. Management and technical staff would work the day shift only, with the exception of ore control technicians who would rotate with the crews.

Department G&A Labour Department Shift Main Office Site

Admin Admin General Manager 5 x 2 1

Admin Admin Executive Assistant 5 x 2 1

Admin Community Relations Coordinator 5 x 2 1

HESC Environmental Superintendent 5 x 2 1

HESC Environmental Technicians (Env Monitor) 4 x 3 2

HESC Safety Manager (H&S Officer) 5 x 2 1

HESC Safety Admin 5 x 2 1

HESC Safety Coordinators 7 x 7 2

HESC Clinic Nurse (Contract) 7 x 7 2

HESC Security Supervisor 7 x 7 1

HESC Security (Contract) 7 x 7 4

HESC Security (For Furnace Room) 7 x 7 4

HR HR Manager 5 x 2 1

HR Training Officer 5 x 2 1

Finance Finance Accounting Manager/Financial Controller 5 x 2 1

Finance Finance Payroll Coordinator 5 x 2 2

Finance Finance Accountants 5 x 2 2

Finance Finance Accounting Clerks 5 x 2 2

Facilities Administrative Assistant 5 x 2 1

Facilities Contracts Administrator 4 x 3 1

Facilities Purchasing Superintendent 5 x 2 1

Facilities Purchasing Agents 5 x 2 1

Facilities Warehouse Supervisor 7 x 7 1

Facilities Site Services - Supervisor 7 x 7 1

Facilities IT Network Admin 7 x 7 1

Facilities SS Equipment Operators 7 x 7 6

Facilities SS Laborers 7 x 7 8

Facilities SS Janitors 5 x 2 2

Facilities SS Warehouse Attendant 7 x 7 4

Facilities SS Warehouse (shipper/receiver) 7 x 7 2

Total for General Administration and Labour 18 41

General Adminiatration and Labour Staffing Schedule




The open pit labour requirements are based on experience from similar gold operations of this size. The labour requirements are divided into salaried and hourly personnel and the mine operations consists of four areas:

Supervision – The Supervision area is responsible for the direction of the mine equipment, drilling and blasting operations and the safety and welfare of the equipment operators and blast loading personnel;

Load and Haul – The Load and Haul area includes equipment operators skilled in running shovels, loaders, excavators, trucks, tracked dozers and graders;

Drill and Blast (D&B) – The Drill and Blast area includes skilled drill operators, as well as blast loading personnel. Also included are any contract explosives personnel;

Mine Maintenance – The Mine Maintenance area will consist of supervisors who will monitor the skilled owner maintenance personnel responsible for maintaining, repairing, fueling and lubricating the mobile mine equipment. The owner maintenance team is supplemented with contract maintenance specialists for equipment, tires, light vehicles, and non-mining support fleet; and

In addition, Technical services personnel are responsible for mine engineering, geology, surveying and IT/communication services.

The open pit mine operation is expected to require a total of 136 personnel; mine maintenance requires 52 personnel; and supervision/technical needs a total of 36 personnel.




6.5.3.9.3 Milling Operation Labour and Staffing Schedule

Anticipated Mill Operations labour and staffing requirements are listed Table 6-17.

Table 6-17: Expected Mill Operation Staffing Requirements

6.5.3.10 Operations Phase Materials and Personnel Transportation

The materials and equipment necessary to operate the mine will be transported to the site by railway to the staging area and by road to the site. This will include large pieces of equipment on flat-bed trucks, construction materials in variously sized trucks and smaller vehicles, chemical materials on tanker trucks, and personnel in motor vehicles and buses. Expected quantities of reagents and fuels required for the mining and milling operations are presented in Table 6-13 and Table 6-14. Based on expected consumption quantities, traffic volumes for the supply of

Department Operating Labour Shift Site

Maintenance Mill Maintenance Superintendent 4 x 3 1

Maintenance Maintenance Maintenance Foreman 7 x 7 2

Maintenance Maintenance Maintenance Planner 7 x 7 2

Maintenance Maintenance Electrical Supervisor 7 x 7 1

Operations Mill Operations Superintendent 4 x 3 1

Operations Plant Operation Foreman 7 x 7 4

Operations Mill Admin Assistant (Secretary) 7 x 7 1

Tech Services Sr. Metallurgical Engineer (Chief Metallurgist) 4 x 3 1

Tech Services Metallurgical Engineer (Process Control) 7 x 7 1

Tech Services Metallurgy Technicians 7 x 7 2

Tech Services Chief Assayer 7 x 7 1

Tech Services Assay Technician (Fire Assay) 7 x 7 6

Tech Services Laboratory Technicians (Chemical Technicians) 7 x 7 4

Operations CIC/CIP Operator 7 x 7 4

Operations Control Room Operator 7 x 7 4

Operations Crusher Operator 7 x 7 4

Operations Grinding Operator 7 x 7 4

Operations Elution / Regen Operator 7 x 7 4

Operations Tailings/Detox Operator 7 x 7 4

Operations Reagents helpers/Operators 7 x 7 8

Operations Mill Labourer 7 x 7 8

Maintenance Electrician Apprentice 7 x 7 2

Maintenance Electrician 7 x 7 4

Maintenance Instrumentation Technician 7 x 7 2

Maintenance Millwright 7 x 7 6

Maintenance Pipefitter 7 x 7 4

Maintenance Welder 7 x 7 4

Total for Milling Operation 89

Milling Operation




reagents fuel and miscellaneous maintenance and operating supplies to the site for the operation phase are presented in Table 6-18.

Table 6-18: Expected Heavy Vehicle Traffic Volume to Site for Operation Phase

For the operations phase, the daily traffic volume for heavy vehicles will be in the range 8 to 16 per day. The operation is expected to create up to 375 positions. The expected commuter traffic from local communities to the site (using Goudreau Road or Route 48) could reach up to 750 vehicles per day.

6.5.3.11 Mitigation by Design Summary during Operation Phase

Table 6-19 provides a summary of key mitigation measures that have been designed into the Project.

On-site Storage

tonnes/year Litres/year trips/year trips/day

Lime (CaO) 2555 20 tonnes/trip 130 One shipment every three days Stored in 100 tonnes silo.

Sodium Cyanide

(NaCN)9580 20 tonnes/trip 480 One to two shipment per day

Stored in 40 seacan containers on site (20 t

capacity per container). Bags/wooden box

Caustic Soda

(30% strength)255 200,000 20,000 Litres/trip 11 One shipment per month

Up to two iso-containers on site stored on

laydown area close to the mill.

Hydrochloric Acid

(36 - 38% strength)130 110,000 20,000 Litres/trip 6 One shipment every 60 days

Up to two iso-containers on site stored on

laydown area close to the mill.

Activated Carbon 640 20 tonnes/trip 32 On shipment every 10 daysThree 20 ft seacan container stored on

laydown area next to mill. Bag transferred

Sodium

Metabisulphate4800 20 tonnes/trip 240 One to two shipment per day

Twenty 20 ft seacan container stored on

laydown area close to the mill. Bag

transferred to mill by forklift as required.

Copper Sulphate

(CuSO4.4H2O)1625 20 tonnes/trip 80 One shipment every 5 days

Seven 20 ft seacan container stored on

laydown area close to the mill. Bag

transferred to mill by forklift as required.

Magnafloc 155 255 20 tonnes/trip 13 One shipment every 28 days

One 20 ft seacan container stored on

laydown area close to the mill. Transferred

to mill as required.

Anti-scalant 385 20 tonnes/trip 19 One shipment every 20 days

Two 20 ft seacan container stored on

laydown area close to the mill. Transferred

to mill as required.

On-site Storage





Equipment, consumables and supplies variable 744

Expected total Deliveries to the Site during operations 3000

165,000

250,000

Transportation to Site

Reagents

Fuels

Consumption

Amount per trip


Amount per tripLitres/year

As required for maintenance and operation.

Miscellaneous Deliveries

49,000,000

Transport trucks in the range of 20 tonnes.




Table 6-19: Operation Phase Mitigation by Design Summary




Operations and Maintenance of Enabling Infrastructure

Operations and maintenance staff will be trained in accordance with Ontario Ministry of Labour requirements and Prodigy’s own operating procedures and management plans.

Training will minimize the potential for accidents and malfunctions that may result in environmental effects or harm to workers and the public.

Open pit mining The size of the trucks to be used for haulage of ore and mine rock has been maximized.

Using large trucks minimizes vehicle movements and resultant dust and noise emissions.

Operation and Maintenance of Ore Processing Plant and

Plant Area Facilities

Operations and maintenance staff will be trained in accordance with operating procedures and management plans.

Training will minimize the potential for accidents and malfunctions that may result in environmental effects.

Chemical, Fuel and Hazardous Materials

Management

The reagent preparation and storage facility will be located within a containment area designed to accommodate 110% of the content of the largest tank.

Minimizes the potential for accidents and malfunctions that may result in environmental effects.

Mining Waste Management


Training in accordance with operational procedures and management plans will minimize nuisance effects from operations (e.g., dust) and the potential for accidents and malfunctions that may result in environmental effects.

Operations will comply with CDA guidelines and standards, including regular inspections and periodic dam safety reviews.

Operational procedures and management plans will include controls on the size of the operational / seasonal pool and timing of discharges.

Prevents risks of structure failure of facility embankments.

Embankment staging is designed to maintain sufficient free-board for large storms and wet periods (e.g., 100 year annual flood event).

Embankment staging prevents uncontrolled releases of tailings waters, which may result in effects to wetlands and surface water quality.







Mine Material Management Plan to provide guidance on segregation of PAG rock from NAG rock and address stockpiling of mine rock at the MRMF.

Management of PAG and NAG materials to minimize risk of acid drainage.

Progressive Rehabilitation of Mining Waste Management

Facilities

Grading design and waste placement plans for the TMF and MRMF will maximize the extent of surfaces that can be reclaimed progressively.

Maximizes opportunities for progressive rehabilitation through revegetation, thereby reducing the long-term legacy of the mine on the landscape.

Operation and Maintenance of Environmental

Management Infrastructure

Environmental management plans and required infrastructure will be in place in advance of associated operations.


Training in accordance with operational procedures and management plans will minimize nuisance effects from operations (e.g., dust) and the potential for accidents and malfunctions that may result in environmental effects.

Environmental monitoring will be ongoing throughout the operations phase.

Monitoring allows for verification of mitigation effectiveness.

Monitoring allows for the detection of changes to predicted effects to enable adaptive management.

Site Water Management

Reuse/recycling of TMF pool water

No discharge of TMF pool water to receiving environment.

Capture and collection of site wide runoff in the WQCP

Reuse of WQCP water for milling process

Single point of discharge for site-wide mine contact water from WQCP

Monitoring water quality of single discharge to Otto Lake allows for detection of changes and implementation of adaptive management for mine contact water discharge.

Operations Phase Workforce Requirements and Personnel

Management



Operations Phase Payroll and Procurement

Prodigy is committed to provide competitive wages and salaries and maximize local purchasing.


Operations Phase Material Goods and services shipments to Minimizes congestion on local roads







and Personnel Transportation

the site will be pre-scheduled.

Reagents, fuel and supplies shipped by railway and unloaded at staging area – transport by trucks to site on Goudreau staging area road.

Bus service will be provided for community-based workers.

and the potential for accidents. Maintains heavy vehicle traffic on Goudreau staging area road. Limited use of other road by heavy vehicles and loads.

6.5.4 Closure and Rehabilitation Related Works and Activities

6.5.4.1 Closure of Explosives Management Facilities

Closure activities will include the removal and transport off-site of all explosives present in the magazine and the demolition or removal of bunkers and storage bins. The soils will be inspected and remediated as necessary, and the area and access road will be rehabilitated.

6.5.4.2 Closure of Chemical, Fuel and Hazardous Materials Management Facilities

Closure activities will include the removal and transport off-site of all chemical, fuel and hazardous materials on-site, and the demolition or removal of any buildings or structures, including above-ground fuel storage tanks. All hazardous materials will be disposed of at a licensed facility.

Surface soils will be inspected and tested as necessary to determine if there are any fuel spill residues requiring clean-up. Soil remediation will be conducted as necessary.

6.5.4.3 Closure of Enabling Infrastructure

Accommodation Complex

The accommodation complex located at the town of Dubreuilville will be either demolished, removed, or transferred to another party for potential future use.

Mine Haul Roads and Service Roads

Unneeded access and haul roads will be graded, covered with soil, and seeded as necessary to initiate natural rehabilitation. Certain access roads needed for long-term post-closure activities will be retained.

Electrical Transmission Lines and Substation

The connector transmission lines no longer needed after Project closure will be removed and the disturbed areas rehabilitated. The Project power distribution systems and substations that are not needed after closure will also be removed. Power lines no longer required for the Project will be decommissioned.




Potable and Process Water Infrastructure

The mechanical, hydraulic, and electrical systems for the potable treatment plant will be demolished and removed as they become unnecessary. Major equipment will be cleaned and decontaminated as necessary. Hazardous materials or liquid wastes will be removed from the Project area for management and disposal in accordance with applicable regulations.

Sewage Treatment System

The mechanical, hydraulic, and electrical systems for the sewage treatment plant will be demolished and removed as they become unnecessary. Major equipment will be cleaned and decontaminated as necessary. Hazardous materials or liquid wastes will be removed from the Project area for management and disposal in accordance with applicable regulations.

Non-Mining Waste Facilities

The landfill area will be closed in accordance with regulatory requirements. This will likely include covering the landfill waste with suitable material and placing a revegetated cap.

Site Security

Appropriate access barriers such as soil and/or rock berms will be installed to limit access to the pit area. Ultimately the site’s security facilities such as guard shacks and fences will also be removed, as and when they are no longer needed. Gates on needed access roads to the mine site will be locked to prevent vehicular access to the site.

6.5.4.4 Closure of Ore Processing Plant and Plant Area Facilities

Low-Grade Ore Stockpile

The low grade ore stockpile will be processed by the end of the operations phase. The area in which the stockpile is located will be rehabilitated simultaneous with the closure activities for the MRMF. In the event that any low-grade ore remains at the end of the operations phase, it will be closed and rehabilitated in the same manner as mine rock in the MRMF.

Primary Crushing Facility and Crushed Ore Stockpile

Mine equipment will either be demolished and removed from the Project area for re-use, or removed from the site for appropriate disposal.

Surface soils will be inspected and tested as necessary to determine if there are any fuel spill residues requiring clean-up. Soil remediation will be conducted as necessary.

Above-grade concrete structures will be demolished and the rubble placed in the MRMF. The remaining concrete slabs will be covered with overburden and soil to promote revegetation. The general area will be graded to promote surface drainage, and seeded as necessary to initiate natural rehabilitation. Steeper rock cuts will be reclaimed as rock outcrops with the expectation that they will weather and assume a natural appearance over time.




Gold Processing & Ancillary Facilities

The mechanical, hydraulic, and electrical systems, including the process water supply system, will be demolished and removed as they become unnecessary. Major equipment will be cleaned and decontaminated as necessary. Hazardous materials or liquid wastes will be removed from the Project area for management and disposal in accordance with applicable regulations. Inert demolition debris such as concrete, bricks, and timber will be disposed of under a thick mine rock cover in the MRMF.

Live electrical systems will be removed, or when needed, fenced and locked until they are removed. Site offices, the laboratory, stores, substations, truck shop, chemical and fuel storage, electrical systems, etc., will be removed; those that are needed for some extra period of time will be fenced and locked until removed.

The surface soils in the vicinity will be inspected and tested as necessary to determine if there are any fuel spill residues requiring clean-up. Soil remediation will be conducted as necessary and to accepted risk-based standards.

Above-grade concrete structures will be cleaned as necessary, demolished, and the rubble placed in the MRMF. The remaining concrete slabs will be covered with overburden and soil to promote revegetation. Disturbed areas will be seeded to initiate natural rehabilitation. Steeper rock cuts will be reclaimed as rock outcrops; these will weather and assume a natural appearance over time.

6.5.4.5 Final Rehabilitation of Mining Waste Management

Mine Rock Management Facility

The remaining areas of the MRMF that were not reclaimed by progressive reclamation will be rehabilitated.

The rehabilitation that is undertaken in these areas will be similar to that conducted over the MRMF during progressive rehabilitation. Selective overburden and soil cover will be placed in the flatter and gently sloping areas to promote vegetative growth. Selective seeding will be undertaken to initiate natural revegetation and rehabilitation.

Tailings Management Facility

Closure will include the removal of the tailings discharge and water return system piping and associated facilities. Water stored in the TMF will be treated if necessary, and discharged to the mine pit. The operational spillway will be lowered to prevent formation of a pool and enlarged to allow it to pass the probable maximum flood event safely. The surface of the dewatered TMF will be left to revegetate naturally.

Wildlife access ramps have been designed as part of the Project. These ramps will be graded into the mine rock and embankment to allow wildlife access to the surface of the TMF. Wildlife access will also be possible along the more gently sloping eastern edge of the TMF and via the spillway once the TMF closure is completed




6.5.4.6 Site Rehabilitation

The processing plant and laydown areas will be scarified, contoured and revegetated. Project infrastructure remaining after closure (e.g., on-site roads, pumping stations, and the power distribution system) will be based on an understanding with local authorities.

6.5.4.7 Operation and Maintenance of Environmental Management Infrastructure

Water management concepts for final closure are illustrated in Figure 6-21. From the onset of the Project development, the site has been developed with closure concepts in mind in order to ensure a passive, low maintenance and reliable closure and post closure water management system.




Figure 6-21: Water Management Concepts for Closure-Post Closure Phase




6.5.4.7.1 Surface Water Controls

At closure, the perimeter ditch for collection of runoff from the TMF/MRMF areas and the water quality control pond will remain in place. Runoff will continue to be directed through the water quality control pond while vegetation is established on the outer slopes of those facilities. It is anticipated that much of the TMF embankment and the MRMF areas will have already been rehabilitated.

Runoff from the plant area will be permanently diverted into the pit to aid in filling of the pit.

The water quality control pond will remain in place and continue to receive drainage from the perimeter ditch. The water quality of this pond will be monitored following provincial and federal requirements. The pond will overflow by gravity to the adjacent Otto Lake. Water treatment will continue, if required.

6.5.4.7.2 Pit Filling

The pit lake will gradually fill with runoff and groundwater inflow. As discussed in Chapter 5, Prodigy may accelerate pit filling through the use of the operations water supply system. The pit is expected to take up to fifty five years to fill; forty one years if Goudreau Lake water is also used to fill the pit. A channel connecting the pit lake to Goudreau Lake will be excavated during closure. Once full, the pit lake will drain to Goudreau Lake. The projected pit water quality is good and will meet MMER standards and protect the receiving body water quality.

6.5.4.7.3 Ongoing Environmental Monitoring

Post-closure monitoring will be conducted as required by the Certified Closure Plan. Over time, monitoring stations no longer needed, including monitoring wells, will be abandoned. Unneeded wells will be sealed.

6.5.4.8 Closure and Rehabilitation Phase Workforce Requirements & Personnel Management

During the closure and rehabilitation phase, a smaller team will oversee the closure activities and then gradually demobilize. It is expected that between 5 and 10 on-site staff will initially be required. They will be supported by contractors carrying out demolition work, site earthworks, and surface reclamation.

6.5.4.9 Closure and Rehabilitation Phase Payroll and Procurement

Prodigy will continue to pay competitive wages to all its employees throughout the closure phase and seek opportunities for local procurement and contracting. There are several closure activities that could be performed by local contractors, including rehabilitation, some of the closure earthworks, revegetation, and demolition and removal of some of the Project’s facilities. There will be ongoing environmental monitoring as part of closure which will also require local staff, particularly as the staff accommodations complex will likely be removed.




6.5.4.10 Closure and Rehabilitation Phase Materials and Personnel Transportation

Materials and personnel transportation during the closure and rehabilitation phase is anticipated to be minimal. All personnel will travel to and from the site in private vehicles from their homes or temporary accommodations in the local communities.


All closure activities are mitigation-by-design features of the Project. Their overall intent is to minimize the long term legacy of the mine on the landscape.

6.5.5 Post Closure Phase

The post closure phase involves the filling of the pit lake and the stabilization of site rehabilitation, monitoring, and maintenance so the site can revert to natural state. The water balance for the post closure phase is presented in TSD 7.

6.5.5.1 Pit Lake Filling

Upon cessation of mining, the pit will be allowed to fill naturally as a lake. It is expected that filling of the pit may take over fifty years.

During the post-closure period, when the pit lake and Goudreau Lake levels are similar, it will be appropriate to excavate a channel between the pit lake and Goudreau Lake to facilitate water exchange and fish passage between the two waterbodies. It is not proposed to cut this channel earlier, since it needs to have an invert (bottom) level that is lower than the low water levels in Goudreau Lake in order to act as a fish passage. Stabilization of Site Rehabilitation, Monitoring and Maintenance

During the post-closure phase, mine-related structures and workings which were in place at closure will be inspected for physical stability. The focus of this program will be on:

TMF (including embankments);

General facility inspections (including rehabilitated areas, wetlands and associated drainages);

Tailings embankment and spillway inspections (by qualified geotechnical engineer); and

Open pit stability, water levels, and water quality.

Repair of erosion damage will continue if necessary for several years until site conditions are stable. It is anticipated that the maintenance of the new road constructed around the TMF and MRMF will be assumed by others.

During the post-closure phase, groundwater and surface water monitoring will continue until it can be demonstrated that the closure activities have met targets and closure will be sustainable. Ongoing monitoring of pit lake level and water quality will be conducted until it can be demonstrated that the water quality is stable and the projected pit lake levels can be achieved. Since pit closure may take time, monitoring pit levels and quality may be prolonged. Sampling locations for surface water and groundwater will include:




Surface Water:

Pit lake water;

Discharges from the water quality control pond;

Receiving water in Otto, Herman, Spring, Lovell and Goudreau Lakes, and in McVeigh Creek;

Discharges from the pit lake when it occurs; and

A control water body, such as Dreany Lake.

Groundwater:

Monitoring wells up-gradient and down-gradient of the Project site; and

Seepage collection locations around the perimeter of the TMF and MRMF.

Sampling will be initiated prior to closure (carried over from the operations phase). The pre-closure data will be used to establish the background averages and temporal variations in the parameter concentrations sufficiently to define impacts on the groundwater and receiving surface waters should they occur. As a minimum, water quality for both surface and groundwater will be monitored for the parameters listed in O. Reg. 240/00. Dissolved metals, if any, will be analyzed in groundwater samples, and total recoverable metals, if any, will be analyzed in surface water. An annual monitoring report summarizing the results of the surface and groundwater quality monitoring, detailing all compliances and exceedances, will be prepared and made available to the public.

Based on these monitoring results, an application will be made to the Ministry of Northern Development and Mines (MNDM) to refine the monitoring program over the long term by reducing the sampling frequency, the monitoring parameters, and/or cessation of the monitoring program altogether. At closure, the fish habitat suitability will be assessed through water quality and flow regime monitoring. The quantity of habitats, habitat types, their connectivity community composition, and fish distribution will be evaluated, as will the metal burden in the muscle tissue of selected fish species. The evaluation will consist of comparisons to data obtained from the baseline studies, as well as data collected during operations.

Benthic invertebrate and phytoplankton sampling will be conducted on completion of closure and at three years after closure. Reference monitoring points will be established at closure for the purposes of conducting the surveys. The data collected will be compared to the baseline conditions to help demonstrate that conditions are improving or remaining stable following closure. If after five years it can be shown that there are no unacceptable impacts resulting from mine operations, an application will be made to terminate the monitoring program.

Fisheries inventories will be carried out after closure and five years after closure to demonstrate that conditions in the waterways and waterbodies are the same or improving following closure. Monitoring of any fish habitat offset measures will commence prior to closure and continue in accordance with the Fisheries Act Authorization.


Post-closure activities are mitigation-by-design features of the Project. A key post-closure activity is the filling of the open pit. Filling the open pit involves allowing the pit to fill with local surface water runoff and groundwater inflow, plus operational water supply obtained from Goudreau Lake.




6.5.5.3 Adaptive Management

Due to the nature of the mine rock and tailings generated during the operation, runoff water quality from the Project site at closure/post closure period is expected to be well within the MMER discharge water quality guidelines. Therefore, treatment of site runoff is not anticipated.

However, should on-going monitoring of the quality control pond indicate the need for treatment, a treatment plant will be installed to treat the final runoff from the Project site.

6.6 Temporary Suspension of Operations or State of Inactivity

As required by O. Reg. 240/00, the rehabilitation measures for temporary suspension of mining and processing operations, or during a prolonged state of inactivity, will include all reasonable measures to prevent personal injury or property damage. Measures include:

Continued site security by on-site personnel;

Removal of any explosives and ancillary materials and locking of storage areas;

Continued monitoring of site runoff water quality at the Water Quality Control Pond discharge;

Leaving non-essential mechanical, hydraulic and electrical systems in a no-load condition. Live electrical systems will be fenced and locked. Fixed and mobile equipment will be stored in appropriate locations within the Project area, or removed. Hazard warning signs will be posted where necessary;

Safe storage of chemicals and fuels in locked facilities. The water treatment system (if present) and water discharge systems will continue to be operated. The water supply and sewage treatment systems will also be maintained and operated;

Maintaining sufficient accommodations for maintenance and site security personnel. Locking up remaining staff accommodations and facilities;

Use of water supply and sewage treatment systems as needed for site maintenance and operations personnel;

Continued operation of the landfill as necessary for disposal of wastes generated by the remaining on-site personnel;

Inspection of the open pit and necessary perimeter berms to limit access by the public. The pit dewatering system would continue to be operated, unless pit flooding has already started;

Inspection of the Primary Crushing Facility and Crushed Ore Stockpile. These features will be rendered safe by locking movable parts, removing loose objects, and providing barriers to entry of dangerous areas;

Draining the tailings delivery line and return water lines. The water management features of the TMF, including spillway and seepage controls, will continue to be operated as required. Discharge will be routed to the Quality Control Pond. Spillway and surface water controls on TMF will be maintained in order to maintain required freeboard behind the embankment;

Maintaining the access, perimeter and mine haul roads and transmission lines as necessary; and

Monitoring in accordance with relevant permits, approvals and authorizations.

6.7 Evolution of the Project

The EIS Guidelines 2013, Section 3.2 requires the Proponent to “include a summary of the changes that have been made to the project since originally proposed, including the benefits of




these changes to the environment, Aboriginal peoples, and the public”. A summary of the Project evolution is presented in Chapter 1, Section 1.2. The following discussion presents an overview of the major changes introduced in the Project definition since the first preliminary feasibility study which was completed in January 2014.

6.7.1 Feasibility Studies

The development of a Preliminary Feasibility Study (PFS) for the current Magino Project began in 2013. Prodigy retained the services of JDS Energy & Mining Inc., Vancouver Canada (JDS) to prepare the PFS in accordance to the Canadian Securities Administrator’s National Instrument 43-101 (NI-43-101) and Form 43-101F1.

In January 2014, an initial PFS was released. It was based on a December 2013 mineral reserve estimate. The Project aimed at mining the identified gold reserves, which amounted to approximately 60 million tonnes (Mt) of ore containing 1.75 million ounces of gold. The study did not include any potential expansion from the land or mineral rights acquisition which was pending from neighbouring landowner Richmont Mines Inc.; and

In February 2016, an update to the PFS was released. There were two key differences between this revised PFS and the PFS completed in 2013 and detailed in the “Preliminary Feasibility Study Technical Report For the Magino Project Wawa, Ontario, Canada” report dated January 30, 2014. First is an increased processing rate of 30,000 tonnes per day (t/d or tpd) from 12,500 t/d. Second is a significantly increased reserve due to obtaining better access to the known resource through a land swap agreement with Richmont Mines Inc. The mineral reserves amount to 105 Mt of ore containing 3,020 koz of gold.

6.7.1.1 Current Feasibility Study

The 2016 PFS also identify 25 Mt of low grade ore resources that could increase the mineral reserves of the Project should it become economically feasible to exploit that resource. Depending on the price of gold, the resources of low grade ore can reach 45 Mt.

In August of 2016, Prodigy launched a definitive Feasibility Study (FS). The study will evaluate a range of development and operating scenarios that will include the potential processing of the lower grade mineral resources identified today. While the optimal development scenario in terms of scale and duration of the project are largely dependent on current commodity prices, at the Feasibility stage of the Project development, a wide range of development scenarios must be considered.

6.7.1.2 Implication for the EIS

As the EIS is an important project planning instrument, the update to the Project EIS is undertaken concurrently with the Feasibility Study. This ensures the reasonably worst case scenarios for the Project development are identified and that the effects assessment considers and incorporates on these worst case scenarios into the environmental impact statement for the Project. In terms of the effects assessment for the project:

1) The larger production tonnages (150 Mt of ore mined and processed) result in a larger physical footprint of the facility and greater intensity/volumes of emissions and




discharges to the receiving environment. Thus, the larger production tonnages have a greater potential for adverse effects on the receiving environment and the bio-physical VECs identified for the Project. Hence, using the larger tonnage as a basis for the environmental assessment is a conservative approach which ensures worst case scenarios of the development are considered within the scope of the assessment.

2) The lower mill processing rates (Table 6-20) result in a longer operating period, which increase the temporal duration of the environmental assessment. Potential effects associated with the Project duration are more likely associated with the VSECs identified for the Project. The effects of a longer Project duration can be both positive or negative. Therefore, a discussion regarding the extended duration of the Project is provided under the assessment of the VSECs.

6.7.2 Environmental Baseline Studies, Traditional Knowledge, and, Public Consultations

Environmental baselines studies commenced in 2011 and are on-going. Public consultation with local communities and Aboriginal Groups began in 2013 and is also on-going.

6.7.2.1 Feedback from Engagement with Aboriginal Groups

Prodigy Gold has been engaging with Aboriginal groups since 2013 on the proposed Magino Gold project. In addition to the integration of traditional knowledge information, a number of project design elements have been modified since the 2014 working draft EIS as a result of engagement with Aboriginal groups. The working draft was shared with all the Aboriginal groups, and further engagement was also carried out around the issuance of the 2016 PFS. Additional engagement occurred prior to the 2017 EIS submission. The following changes to the project design are a result of discussions and engagement with the various Aboriginal groups.

Changes to the Mine Footprint

Aboriginal groups such as the MNO and MCFN suggested that the mine foot print be kept as small as possible. As such the ore stockpiles have been consolidated and relocated in order that they will not affect fewer watersheds. In addition, the overburden piles have been moved closer to the tailings and mine rock management area. As a result, there is less area of disturbance and a decreased number of water bodies that could be potentially affected.

Changes to Water Discharge Design

Aboriginal groups also raised general concerns about water quality and usage. Water discharge in the 2014 design occurred from 4 separate areas within the site. The project incorporated a new design with only one discharge area for the entire site. This redesign was a result of recontouring the area surrounding the TMF to allow for water to be collected and discharged from one location.

Changes to the Tailings Management

A number of suggestions about tailings have been provided and has informed the design for the TMF and its location. Specifically, during an August 24, 2016 meeting BFN participants identified the thickened tailings option as the preferred method of disposal. When the tailings sites alternatives were assessed, the information provided in the MCFN TK study concluded




that sites A and B were not desirable. Site E was deemed not desirable based in information in the MNO traditional knowledge study, and the findings of the MFN traditional knowledge report indicated that site I was not desirable.

6.7.2.2 Changes to the Project Design as a result of Public Consultation

Prodigy Gold has been consulting with the public about the proposed Magino mine project since 2012. Through the public consultation process Prodigy Gold received information about the desire and preference of having employees living in communities as opposed to being physical and economically isolated at the mine site. As a result of the information gathered through the public consultation process Prodigy has modified its initial proposal which was for an accommodations complex on-site for both the construction and operations phases. Prodigy Gold has now included a temporary on-site accommodation complex during the construction phase and a permanent accommodation complex in the town of Dubreuilville during the operations phase. This change to a permanent camp in the town of Dubreuilville is a direct result of many discussions and direct input received through the public consultation process.

6.7.3 Changes to the Project

The more significant changes in Project definition introduced in the Project since the initial PFS of January 2014 are summarized in Table 6-20.




Table 6-20: Changes in Project Definition

Component 2014 EIS 2017 EIS Rationale

Mineral reserve Mineral resources

60 Mt 105 Mt 45 Mt additional and lower cut-off grade

Additional drilling and increase in gold prices.

Cut-off grade 0.313 g/t Au for mineral reserves

0.34 g/t Au for mineral reserves

0.27 g/t Au for mineral resources

Gold production 1.645 M oz. 2.823 M oz.

Mining method Open pit Open pit

Life of project Construction – 3years Operation 7 to 10 years Closure – 3 years

Site Preparation and Construction – 3 years Operation 12 to 15 years Closure – 3 years

Dependent on mill operation scenario.

Open pit characteristics

85 ha 300 m depth

105 ha 430 m depth

Increase in mineral reserves and resources

On site material haulage

(i) 106, 000 tpd of ore and mine rock will be hauled to the MRMF, the LGOS, and during embankment raising periods, to the TMF.

(ii) 218 t haul trucks; 480 truck trips per day.

(i) 151,000 to 176,000 tpd of ore and mine rock will be hauled to the MRMF, the ore stockpiles, and during embankment raising periods, to the TMF.

(ii) 220 t haul trucks; 690 truck trips per day.

Overburden

Three stockpiles on the property Total of 41 ha area for stockpiles. Approximately 500,000 m

3. Stockpiles 20 m

high x 6 Mm3 capacity

Consolidation of stockpile closer to TMF and MRMF for more effective runoff management. Total of 60 ha area for stockpiles. Approximately 800,000 m

3.

Ease and effectiveness of storm and runoff water management.

Mine Rock and MRMF

Expected quantities of 130 Mt

Dimension of stockpiles: 85 m high x 130 Mt capacity

Expected quantities of up to 430 Mt.

Dimension of stockpiles: 400 ha; elevation up to 510 masl.

MRMF is adjacent to TMF thus providing additional buttress for TMF. Ease and effectiveness of runoff management.

Mill processing rate 12,500 tpd

35,000 tpd

Provides flexibility for treatment of mineral resources. No change to processing methods

Tailings and TMF

Capacity of 60 Mt.

Dimension: 220 ha area with max. height of dam

Capacity of 150 Mt. Dimension: 290 ha for impoundment and 390 ha for toe of dam, with crest of dam at 72 m (480 masl)

TMF remains at the same location on Magino Property. Mine Waste Disposal Alternative Assessment completed to justify




Component 2014 EIS 2017 EIS Rationale

of 70 m high location of TMF site.

Site Development

Public by pass required - Approx. 8.2 Km on the West.

Project development included overburden stockpiles at several locations on the Magino property outside of the bypass road.

Multiple mine contact water discharges to the receiving environment

No change to bypass road.

All project components and stockpiles are located within the confines of the public bypass road.

Improvement to site water management.

Single discharge location for mine contact water (Water Quality Control Pond).

Passive water management approach relies on gravity flow.

Diffuser added to provide rapid dispersion and mixing of effluent in Otto Lake

Proposed public bypass road is in the same location. The site layout was optimized to facilitate water management and minimize footprint and potential effects on the receiving environment.

Waterbodies impacted by the Project footprint

6 waterbodies, McVeigh Creek, Webb, Lovell and 7 Lakes

6 waterbodies, McVeigh Creek, Webb, Lovell and 7 Lakes

No change

Process water

500,000 m3 for start-

up.

Circulating volume of 10,300 m

3.

Recycling of TMF water.

Freshwater requirement (N/A)

Up to 500,000 m3 for

start-up.

Circulating volume of 24,700 m

3.

Recycling of TMF water and WQCP water.

Freshwater only used for reagent mixing and pump gland water

Mine contact water discharge to the

receiving environment

(MMER discharges)

Multiple mine contact water discharges to the receiving environment

Seasonal discharge starting in year 4 of mill operation

Single discharge location for mine contact water (Water Quality Control Pond)

No discharge of TMF pool water

Seasonal discharge – up to 7 months of the year

Diffuser added to provide rapid dispersion and mixing of effluent in Otto Lake

Improvement in site water management. Single point of discharge for mine contact water.

Workforce Construction – 400 to 500 workers Operation – 300 workers

Construction – 500 to 600 workers Operation – up to 375 workers

Large facility requires a larger work force.




6.8 Summary of Mitigation Measures Incorporated into the Project

The Valued Ecological Components (VECs) and Valued Socio-Economic Components (VSECs) identified for the Magino Project include: Five (5) VCs relevant to the Atmospheric Environment:

Air Quality; Noise, Vibrations; Light; Greenhouse Gases/Climate Change.

Four (6) VCs relevant to the Physical Environment;

Terrains and Soils; Groundwater; Surface Water Hydrology; Surface Water Quality; Stream and Lake Sediments; Visual Resources.

Eight (8) VCs relevant to the Biological Environment:

Fish and Fish Habitat; Terrestrial Vegetation; Wetlands; Significant Wildlife Habitat; Migratory and Breeding Birds; Mammals; Species at Risk (aquatic and terrestrial).

Four (4) VCs relevant to the Social Environment:

Population and Demographics; Community Vitality; Infrastructure; Services.

Three (3) VCs relevant to the Economic Environment:

Land Use and Tourism; Employment and Business Opportunities; Government Revenues.

Three (3) VCs relevant to Aboriginal interests:

Aboriginal Employment and Business Opportunities; Traditional Use of Lands and Resources; Aboriginal Cultural Activities and Special Places.

Two (2) VCs relevant to Health:

Public Health; Worker Safety.

Multiple mitigation measures are incorporated into the Project design to ensure that potentially adverse effects on these VECs and VSECs are either avoided, eliminated, or, reduced. There are three main types of mitigations:

1) A commitment to compliance with all applicable regulation and current Canadian design standard for major structures.

2) Mitigations by design which focus on point source of emissions or specific environmental concerns and tailors the design to eliminate, reduce or mitigate potential adverse effects. For key Project components such as the MRMF, the TMF, and the site water management structures, these mitigation by design are outline in the conceptual design (refer to TSD 6).

3) Management Plans which outline Corporate policies and procedures that will be implemented to ensure compliance with authorizations and environmental standards (refer to TSD 20 for a description of Prodigy’s Environmental Management Framework and its suite of Management Plans).




These mitigation measures meet or exceed the expectations of the Code of Practice for Metal Mines (EC 2011). Construction of some of the Project components will result in permanent changes to the natural topography of the site and thus bring changes to the physical and biological VECs overlaid by the Project footprint. Table 6-21 summarizes the mitigation measures applicable for each VEC or VSEC.




Table 6-21: Summary of Mitigation Measures Incorporated into the Project

COMPONENTS

PURPOSE /OBJECTIVE

OF MITIGATION

Mitig

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Constr

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Opera

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Clo

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MITIGATIONS INTEGRATED INTO THE PROJECT

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Site Layout

Reduce overall impact on all VECs. Design the Project with site closure objectives considerations.

X 1 Comprehensive mine waste disposal alternative analysis to identify most suitable tailing disposal technology and most suitable tailings disposal site.

X X X X X X X X X X X X X X X X X X

X 2 Compact footprint for Project infrastructure by using natural topography. Total disturbed area of 1,135 ha. The compact footprint reduces the loss of terrestrial habitat, wetlands, fish and fish habitat.

X X X X X X X X X X X X X X X X X X

X X X X X 3 All Project activities and infrastructure development are bounded by a perimeter road which facilitates site security and water management.

X X X X X X X X X X X X X X X X X X X X

Fish Habitat Compensation

X X X 4 Quantify loss fish habitat and develop a Fish Habitat Compensation Plan in accordance with the Fisheries Act.

X

Project Development

Principles

Reduce overall impact on all VECs

X X X X X 5 Compliance with all relevant Federal and Provincial Acts and Regulations. X X X X X X X X X X X X X X X X X X X X

X X X X X 6

Environmental Management System (EMS – TSD 20) will be used to manage environmental issues throughout the life of the project and contain a number of operation and environmental management plans to ensure:

X X X X X X X X X X X X X X X X X X X X

i) Mine Material Management Plan emphasizing the use of non-ARD/ML materials for construction;

ii) Enforcement / monitoring of regulatory compliance; and

iii) Concerns related to occupational health and safety, and, environmental protection are addressed during all phases of the Project development.

Climate change X X X X 7 Investigate alternative solutions for reduction in fossil fuel emissions and implement energy efficient programs over the life of the Project.

X

Implement BMPs during site preparation and construction. Minimize spills and accidents. Prevent erosion and high sediment load in waterbodies. Minimize impact on receiving environment.

X X 8

Construction Environmental Protection Plan (CEPP refer to TSD 20) for the site preparation phase and construction phase outline best management practices (BMPs) for surface water management for activities adjacent to water bodies. The CEPP contain a series of Standard Operating Procedures (SOPs) such as:

X X X X X X X X X X X X X X X

i) Earthworks near streams and water bodies; X X X X X X

ii) Clearing and grubbing procedures to minimize footprint of activity - restrict grubbing to work areas;

X X X X X X

iii) Erosion control measures for cleared areas and temporary soil/overburden stockpiles;

X X X X X X

iv) Minimize the extent and width of construction and maintenance access roads and trails outside of the public bypass road;

X X X X X X

v) Temporary fuel storage and refueling procedures. X X X X X X X X X




COMPONENTS

PURPOSE /OBJECTIVE

OF MITIGATION

Mitig

atio

n b

y D

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n

Site P

repara

tio

n

Constr

uction

Opera

tion

Clo

sure


Air q

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ration

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Terr

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and s

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Surf

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Str

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nd lake s

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Vis

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Terr

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n

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an

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vi) Protect wetland areas bordering working areas with sediment fencing. Equipment, storage of materials, and other construction activities will not be permitted in these areas;

X X X

vii) Procedures for use of explosives for construction and blasting near water bodies; and

X

viii) Prodigy will take into account Environment and Climate Change Canada's Avoidance Guidelines. Prodigy's actions in applying the Avoidance Guidelines shall be in compliance with the Migratory Birds Convention Act, 1994 and with the Species at Risk Act.

X X

Compliance with emission standards. Minimize air emission and noise.

X X X X X 9

Procurement practices will incorporate emission standards in equipment vendor contracts and for general contractors’ use of equipment and machinery on site. Air emission and noise standards will be based on Ontario or Canadian regulatory guidelines, or best available technologies.

X X

i) Vehicles Emissions – meet Tier 4 emission requirements for off-road diesel vehicles; and

X

ii) Noise – specification for noise level in procurement contracts. X

Compliance with regulations. Worker safety. Reduce/control dust emissions. Minimize noise emissions. Control of discharges to receiving environment.

X X X X 10

Mitigation by design focuses on point sources of emission and design parameters. The point source are the target of specific design and construction consideration/methods with the objective of reducing, controlling, and/or eliminating emissions at the source (atmospheric emissions, noise, vibration, effluent, or wastes products) at the source. These include:

X X X X X X X X X X

i) On-site roads will be constructed and maintained using granular material that contains metals at concentrations below the Ontario Typical Range (MOE, 1993) concentration for most metals; and X X X X X

ii) Mobile equipment equipped with mufflers. X

Minimize/control emissions of dust or other potential sources of air contaminants.

X X X X

11

Use of Best Management Practices (BMPs) X

X X X i) Standard Operating procedures (SOPs) developed for activities susceptible to generate excessive dust emissions;

X

X X X ii) Reduce/limit vehicle speed and enforce speed limits on site roads; X X X X X X X

X X iii) Use of coarse granular material for construction of haul roads and site roads;

X

X X iv) Use of water for dust suppression or other MOECC approved dust suppressant on roads and stockpiles;

X X X X X X X X X

X X v) Develop tailing deposition strategy to minimize exposed beach; X

X X vii) Site equipment operated to comply with NPC-300 operational noise limits; X




COMPONENTS

PURPOSE /OBJECTIVE

OF MITIGATION

Mitig

atio

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Site P

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Constr

uction

Opera

tion

Clo

sure


Air q

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Str

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nd lake s

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X X viii) Where possible, maintain 1 km setback for Project blasting activities from off-site receptors; and

X X

X X ix) Follow manufacturer’s recommended guidelines regarding water infiltration and time of explosives usage to minimize emissions of NOx.

X X

X X X 12 Operator training and awareness to ensure they are aware of potential emission sources and adhere to SOPs when operating equipment/machinery.

X X X X X X

X X 13 Scheduled preventive maintenance program that ensure equipment is functioning as intended to ensure that emissions are in line with emission criteria and vendor’s specifications.

X X

X X 14 Install air quality monitoring equipment to track equipment and operation performance.

X X X

X X X 15 Open air burning – waste segregated to ensure only wood waste and non-plastic combustible waste is burnt.

X

Accidents and Malfunctions

Workers Safety

Public Health

Prevention of accidents and malfunctions. Workers health and safety. Avoidance of potential effects on the receiving environment due to spills which can impact groundwater, surface water, and, biological VECs and public health.

X X X X 16

At all times, workplace conditions will be compliant with OHSA standards for workplace ambient air quality and noise. When and where necessary, employees will be provided with personal protective equipment. Health and safety procedures and standards will be strictly enforced throughout the life of the Project (TSD 20 – Health & Safety Plan).

X X X X X X X X X X X

X X X X 17 Environmental Management System includes Hazard and Risk Evaluation, Health and Safety Management Plan, and, operator training (refer to TSD 20 EMS Framework).

X

X X X X 18 Emergency Response and Spill Prevention/Contingency Plan to deal with spills resulting from accidents and malfunctions (refer to TSD 20 for ERSPC).

X X X X X

X X X 19 Hazardous Material Management Plan for transportation, handling, storage, use and disposal of hazardous substances on the site ensure compliance with TDG Act and regulations (refer to TSD 20 for HazMP).

X X X X

X X X

20

Waste Management Plan (TSD 20 – Waste MP) practices include:

X X X X X X X X X

X X X i) Sorting and segregation by types of waste;

X X X ii) Temporary storage of water on impermeable surface and spill containment structures; and

X X X X iii) Compliance with O.Reg. 437, O.Reg. 302/14 and TDGA for waste handling, storage and transportation.

Open Pit

Workers safety. Stability of the pit wall. Reduce

X X X X 21 Pit slope design angles in overburden range between 2H:1V to 3H:1V. X X X X

X X X X 22 Use of rock fill berms and buttresses may be used to allow overburden slopes to be steepened.

X X X X




COMPONENTS

PURPOSE /OBJECTIVE

OF MITIGATION

Mitig

atio

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y D

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n

Site P

repara

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Constr

uction

Opera

tion

Clo

sure


Air q

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Str

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nd lake s

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groundwater inflows into the pit. Prevent excessive groundwater inflows from Goudreau Lake (draw down of the lake) and Water Body 10. Prevent access to the pit by non-employee and wildlife.

X X X 23 Dewatering/depressurization wells for the development of the pit. X X

X X X 24 Piezometers installed to measure water pressure which assist with slope stability monitoring.

X

X X X 25 Diversion channel constructed north of Water Body 10 to intercept and divert flows from that area to Goudreau Lake.

X X X X X X

X X 26 Overall slopes (inter-ramp angles) bench heights, bench face angle and bench widths have been determined in accordance with recommended geotechnical and rock-slope stability evaluations, incorporating engineering controls.

X

X X 27 Ramp grades in adjacent overburden will be 10 % or less. Catch and control berms and additional geotechnical berms may be provided should they be deemed necessary.

X X

X X 28

Overburden slope angles will depend on thickness of overburden encountered in the field and the groundwater controls installed. Overburden slopes will be designed to minimize the potential for failure and impact to the surrounding environment.

X X X X

X X 29

Geotechnical monitoring of the stability of the pit wall will take place continuously during the excavation of the pit by licensed geotechnical engineers who will be responsible for evaluating the excavation and making changes as required.

X

X X 30

Monitoring will include survey points to detect movement (up, down, or sideways) of the surface of the pit wall, and instruments installed deep into the rock called inclinometers, that measure any deformations that may occur in the deeper rock.

X X X X

Use of Explosives

Workers safety. Pit water quality by preventing spills of emulsion during blasting.

X X X 31 Contract explosives manufacture and delivery to a Licence Explosives supplier. X

X X 32 Adjust blast size so that objectives of O.Reg. NPC-119 are achieved for noise and vibration.

X X X X X

X X 33 Minimal storage of explosives supplies on site (blasting accessories to be stored on site in a magazines provided by explosives suppliers).

X

X X X 34 Only certified personnel handle explosives.

Tailings Management

Facility (TMF)

Ensure long term stability of all the components of the TMF which impact worker safety, public health, and, all biophysical

X 35 Embankment design to Canadian Dam Association, Dam Safety Guidelines. X X X X X

X X 36 Operational and maintenance requirements to withstand the probable maximum flood and the maximum credible earthquake.

X X X X X

X X X 37 Embankment designed to hold the environmental design flood over the maximum operating water level.

X X X X

X X X 38 Emergency spillway capable of passing any flows in excess of the environmental design flood incorporated into design.

X X X X




COMPONENTS

PURPOSE /OBJECTIVE

OF MITIGATION

Mitig

atio

n b

y D

esig

n

Site P

repara

tio

n

Constr

uction

Opera

tion

Clo

sure


Air q

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lity

Nois

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Vib

ration

Gre

enho

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ases

Clim

ate

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Terr

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and s

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lity

Str

ea

m a

nd lake s

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Vis

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VECs. X X 39

Extensive quality control and quality assurance plan will be developed for the construction of the embankment.

X X X X

X X X 40 On-going inspection of the embankment during the operation and closure period.

X X X X X X X X X X X X X

X X X

41

Development and implementation of a site-specific Operation, Supervision and Maintenance (OSM) Manual that establishes clear TMF performance standards in accordance with principles in the Mining Association of Canada (MAC) Guide to the Management of Tailings Facilities; Canadian Dam Association (CDA) Dam Safety Guidelines, applicable international guidelines and standards. The OSM includes provisions for:

X X X X X X X X X X X X X X

X X X

i) Ensuring that construction of all embankments and critical infrastructure is overseen by qualified professionals and all materials and construction methods are tested to ensure they meet the required technical specification of the design;

X X X X X

X X X ii) Providing for regular independent audit and assessment of the TMF critical infrastructure;

X X X X X

X X X

iii) Providing for visual inspections of the TMF dam daily/each 12-hour shift with respect to maintaining a safe operating pool, not exceeding operational freeboard restrictions and other visual inspection points of reference to be outlined in the OSM Manual;

X X X X X

X X X

iv) Implementing financial and operational controls (assign responsibility and budgetary authority) to establish an ongoing program of review and continual improvement to manage risks (health, safety and environmental) as well as change over the life-cycle of the TMF;

X X X X X

X X X v) Establishing safe operating objectives and ensuring staff responsible for implementation of the OSM Manual, have appropriate knowledge and skills (awareness, training and competence) to implement; and

X X X X X

X X X

vi) Integrating technical, managerial, and financial aspects (i.e., operational and financial controls) of TMF operation, including providing employee training and engaging competent professionals to ensure consistent application of awareness, communication, sound engineering practice and corrective actions, as needed, within an effective management framework for the facility.

X X X X X

X X X X 42 Seepage collection drains installed downstream of TMF to monitor groundwater quality.

X

X X 43 Monitoring wells installed on perimeter of TMF and MRMF allow pumping of groundwater should treatment required.

X

X 44 No discharge of TMF pond water during the Operation Phase. X X




COMPONENTS

PURPOSE /OBJECTIVE

OF MITIGATION

Mitig

atio

n b

y D

esig

n

Site P

repara

tio

n

Constr

uction

Opera

tion

Clo

sure


Air q

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Nois

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Vib

ration

Gre

enho

use g

ases

Clim

ate

chan

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Terr

ain

and s

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Gro

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Surf

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lity

Str

ea

m a

nd lake s

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Vis

ua

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nd f

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nific

an

t w

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Mine Rock Management

Facility (MRMF)

Ensure long term stability of all the components of the MRMF which impact worker safety, and, all biophysical VECs. Minimize erosion potential.

X X X 45 Design factor of safety of 1.5. Final side slopes MRMF would range between 2:1 to 3:1 (horizontal / vertical), depending on stability and closure and post-closure grading considerations.

X X X X X

X X X 46 Safety berms and perimeter ditches located to preclude release of mine rock beyond the defined perimeter limits in critical areas.

X X X X

X X X 47 Mine’s infrastructure buildings and other facilities located at safe distance from the toe of the MRMF.

X

Top soil and Overburden Stockpiles

Ensure long term stability of stockpiles. Prevent erosion and potential effects to freshwater VECs.

X X X 48 Stockpiles placed at a minimum of 30 m from a waterbody in a stable configuration and compacted with the placement equipment.

X X

X X 49 Vegetated to prevent erosion. X X X X X X

X X 50 As necessary, perimeter ditches will be located to preclude release of overburden (sediment) release beyond the defined perimeter limits and to separate contact water and non-contact water.

X X X

Tailings Pipelines

Failure of pipeline can create erosion and slope stability problems along the routing of pipeline (MRMF and TMF). Ensure that failure will cause minimal erosion and will not impact stability of structures.

X X X 51 Pipeline will be designed to handle the high pressure and tailings properties during the transfer from the mill to the TMF.

X X X X

X

52

Redundant transfer line may be installed to allow for mill operation to continue in the event of a line failure. The pipes will be:

X X X X

X X i) Sized to minimize the flow velocity while maintaining sufficient velocity to prevent freezing of the line and keep the slurry from settling;

X X X

X X ii) Equipped with pressure transducers and flow meters which will alert the mine operator of a potential leak or line failure due to an unexpected pressure drop or increase in flow rate; and

X X X

X iii) Inspected at least once every 8 hours. X X X

X X 53 Catchment area located at low point near the mill to allow for gravity drainage of the line should it be necessary during repair to prevent tailings slurry.

X X X X

X 54 Pipe will be located on the inside of the TMF embankment crest. In the event of a line failure, tailings slurry will drain into the TMF.

X X X X

Process Plant

Worker safety. Contain all process spills within the process plant.

X X 55 Process plant is enclosed and ventilated. Point source of dust and fume emission fitted with ventilation hoods and vented to dust collection equipment.

X X X

X X 56 Process equipment (milling, leaching circuit and gold recovery) constructed on concrete pad and tanks placed within with secondary containment to contain spills.

X X




COMPONENTS

PURPOSE /OBJECTIVE

OF MITIGATION

Mitig

atio

n b

y D

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Constr

uction

Opera

tion

Clo

sure


Air q

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Minimize air emissions from the plant.

X X 57 Crusher and screening equipment enclosed and vented to baghouse system. X X X

X X 58 Point source of dust emission to be fitted with ventilation hoods and vented to dust collection equipment.

X X

X X 59 Cyanide destruction tanks are covered and vented to a scrubber to capture emissions.

X X X

X 60 Cyanide destruction unit installed with monitoring control equipment to ensure effective removal of residual cyanide from tailings water prior to pumping to the TMF.

X X 61 Particulate outlet loading concentrations for dust collectors less than 5 mg/m³. X X

X X 62 Dust collection system for dry material (reagents) storage and handling areas. (Lime silo and lime slaking system vented to a baghouse; dedicated ventilation equipment for cyanide destruction and gold recovery room).

X X

Fuel Storage

Implement BMPs. Workers safety. Prevention of spills and contamination of soil, groundwater and surface water.

X X 63 Storage tank constructed within secondary containment. X X X X X

X X X 64 Unloading and Refueling station on an impermeable surface drained to collection sump.

X X

X X X 65 Use of Iso-tanks for temporary fuel storage on site. X X

X X 66 Standard Operating Procedures developed as part of CEPP and operational EMPs for refuel of equipment and use of temporary storage.

X X

X X X X 67 Emergency Response Spill Prevention Contingency Plan (TSD 20 - ERSPC). X X

Reagents transportation,

handling, storage, and,

use

Worker safety. Spill prevention and control. Minimize waste generation. Effective destruction of residual cyanide after extraction process.

X 68 Reagents shipped by licensed transportation companies. Drivers are trained in spill management and trucks equipped with appropriate spill control equipment and supplies. Shipments will comply with the TDG regulations.

X X X

X X 69 Tanks in the mill containing hazardous chemicals equipped with secondary containment sufficient to contain the volume of the full contents of the tank.

X X X

X X 70 Tanks equipped with a high-level to prevent an overflow. X X X

X X 71 HazOp evaluations to minimize risk of an operational upset. X

X 72 WHMIS training for all employees. X

X X 73 Special safety precautions will be designed in the cyanide circuit to be certain conditions are maintained at a pH greater than 9.

X X X

X X 74 Operations in the cyanide destruction circuit will be closely monitored to ensure that the cyanide is reduced to a level that will not cause a danger to wildlife that may come in contact with the TMF pond water.

X X X




COMPONENTS

PURPOSE /OBJECTIVE

OF MITIGATION

Mitig

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n b

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Constr

uction

Opera

tion

Clo

sure


Air q

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use g

ases

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X X X X 75 Emergency Response Spill Prevention Contingency Plan (TSD 20 - ERSPC). X X X X X

Site Surface Water

Management

Mine Contact Water

Capture and contain all mine contact water. Achieve an effective and passive surface runoff water management approach for the site. Ensure single discharge point to the receiving environment for all mine contact water. Monitor and control discharge of mine water to the receiving environment (quality and quantity).

X X X X 76 Comprehensive water management plan for all phases of the Project (TSD 20 – Water MP).

X X X X

X X X X 77 On-going assessment of ARD/ML potential of mine rock (field test cells). X X X

X X X X

78

Diversion of non-contact surface runoff from Project area: X X X

X X X X X i) Diversion channel to intercept surface runoff from waterbody 10 (minimize flows into open pit);

X X X X X

X X X X X ii) Diversion channel for the upper reach of McVeigh Creek; and X X X X X

X X X X X iii) Diversion of surface flows to waterbody 6. X X X X

X X X X X

79

“Bounding of Project footprint” with the construction of the Goudreau bypass road with the capture, collection and channeling of this runoff to a single Water Quality Control Pond.

X X X X X X X X X X X X X X X

X X X X X

i) A perimeter ditch is constructed at the base of the MRMF and TMF to intercept and channel runoff and seepage from these areas and direct the runoff to the water Quality Control Pond. The ditch is sized for the 100-year precipitation return event;

X X X X

X X X X X ii) Passive water management – the natural topography of the site is used for the alignment/routing of the collection ditch and the Water Quality Control Pond is located at the lowest elevation on the Project site; and

X X

X X X X X iii) Perimeter ditch slope is minimal to prevent erosion. X X X

X X X X X 80

Use of collection ponds where topography does not lend itself to gravity flow for runoff collection. Three such collection ponds are required (refer to Figure 6.3). Runoff collected from these ponds is either pumped to the process plant for use as process water or pumped to the perimeter ditch.

X X X

X X X X X 81 The site Water Quality Control Pond constructed in a natural depression in the topography of the site and is sized to accommodate the 100-year storm event.

X X X

82 Use of a diffuser to reduce mixing zone and achieve rapid dispersion of the effluent in Otto Lake.

X X

X X X 83 Use of water collected in site runoff ponds for dust suppression on roads. X

Pit Water, Process Plant, and TMF Water

Management

Minimize freshwater requirement by maximizing

X X 84 Open pit water (seepage and precipitation) is pumped to the process plant and used as process water in the mill.

X X X X

X X 85 Recycling and reuse of TMF water as mill process water in the mill which minimizes requirements for freshwater.

X X X




COMPONENTS

PURPOSE /OBJECTIVE

OF MITIGATION

Mitig

atio

n b

y D

esig

n

Site P

repara

tio

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Constr

uction

Opera

tion

Clo

sure


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Nois

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recycling of process water. Water management plan to ensure this objective is met.

X X 86 TMF is sized to contain extreme rainfall event. No discharge of TMF water during the operational period.

X X X

X X 87 Use of freshwater limited to use for potable water, reagent preparation and gland seal water.

X X

X X 88 Single discharge to the receiving environment for all mine contact water (MMER discharge). The discharge is to Otto Lake from the Water Quality Control Pond via a diffuser.

X X X

Site Closure

Avoid legacy issues and achieve "walk away" closure for the site.

X X 89 Open pit left to fill naturally with precipitation and runoff. X

X X 90 Berms constructed around perimeter of pit. X X X

X X 91 Site water management structures left in place to facilitate monitoring of runoff quality from Water Quality Control Pond.

X

X 92 TMF drained and embankment breached to allow drainage. X X

X 93 Plant structures and equipment removed and salvaged. X X X

X 94 Contaminated surfaces remediated or removed and transported to a licenced facility for treatment.

X

X 95 Hard surfaces scoured and reprofiled for drainage. Top soil placed over to facilitate/promote regrowth of vegetation.

X

X 96 MRMF and TMF embankment inspected for slope stability. Remedial action taken where necessary.

X X

X X 97 Surface water monitoring and groundwater monitoring well left in place for post-closure monitoring.

X X X




6.9 References

AMEC. (2007). Magino Mine Tailings Containment Area, Dam Safety Inspection 2007, Draft Report for Review, submitted to Golden Goose Resources Inc., by AMEC Earth & Environmental, November.

AMEC. (2011). 2011 Dam Safety Inspection Report, Magino Mine – Tailings Management Area, Dubreuilville, Ontario, submitted to Prodigy Gold Incorporated, by AMEC Environmental & Infrastructure, August 22.

Canadian Dam Association (CDA). (2013). Dam Safety Guidelines 2007, 2013 Edition.

EBA. (2012). Magino Gold Project 2012 Hydrometeorological Report.

International Network for Acid Prevention. (2010). Global Acid Rock Drainage (GARD) Guide Version 0.8. International Network for Acid Prevention, December 13, 2010.

JDS Energy and Mining Inc. (2013). Preliminary Feasibility Study Technical Report for the Magino Project, Wawa, Ontario, Canada. Prodigy Gold Inc. NV.

JDS Energy & Mining. (2016). Pre-Feasibility Study Technical Report on the Magino Project, Wawa, Ontario.

MEND. (2009). Prediction Manual for Drainage Chemistry from Sulphidic Geologic Materials (MEND Report 1.20.1).

MNR. (2011a). Classification and Inflow Design Flood Criteria, Technical Bulletin, Ontario Ministry of Natural Resources.

MNR. (2011b). Geotechnical Design and Factors of Safety, Ontario Ministry of Natural Resources.

MNR. (2011c). Dam Safety Reviews – Best Management Practices, Ontario Ministry of Natural Resources.

SLR Consulting (Canada) Ltd. (2013). Magino Gold Project 2013 Dam Safety Inspection Report, submitted to Argonaut Gold Incorporated by SLR Consulting.

SLR Consulting (Canada) Ltd. (2014). Certified Closure and Rehabilitation Plan, Argonaut Gold Inc., Dubreuilville, ON.

SLR Consulting. (2016). Geochemical Assessment – Technical Support Document 2.

SLR Consulting. (2017). Hydrogeolocial Study and Groundwater Modelling – Technical Support Document 4.

SLR Consulting. (2016). Schedule 2 Assessment of Alternatives for Mine Waste Management – Technical Support Document 5.




SLR Consulting. (2016). Tailings and Mine Rock Management Facility and Overburden Stockpiles - Conceptual Design Report – Technical Support Document 6.

SLR Consulting. (2016). Site Water Balance and Quality – Technical Support Document 7.

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