The Eskay Creek Revitalization Project aims to reopen and expand the historic Eskay Creek mine in northwestern British Columbia’s Golden Triangle region, shifting from its original underground operation to an open-pit gold and silver mine. The project is led by Skeena Resources Ltd. (formerly Skeena Gold + Silver).
Original Mine Operations (1994–2008)
- 1994: The mine receives its Mine Permit and begins operating as an underground facility. It becomes the world’s highest-grade gold mine and the fifth-largest silver producer by volume, employing workers from northern communities and providing stable jobs.
- 1994–2008: Over 14 years, the mine produces approximately 3.3 million ounces of gold and 160 million ounces of silver at average grades of 45 g/t Au and 2,224 g/t Ag. It generates significant economic benefits but faces high operational costs.
- 2008: Operations cease due to low metal prices (gold around US$800/oz) and escalating costs. The site is placed on care and maintenance status.
Post-Closure and Acquisition by Skeena (2008–2020)
- 2008–2014: The site remains dormant. Barrick Gold owns the property during this period.
- 2014: Skeena Resources begins exploration activities in the broader Golden Triangle.
- 2017: Skeena secures an option agreement from Barrick Gold to evaluate and potentially acquire Eskay Creek, with no upfront payment. Barrick invests $1 million in Skeena.
- 2018: Skeena releases a maiden underground resource estimate. Evaluation reveals economic viability due to higher metal prices (gold over US$1,900/oz by 2020), regional infrastructure improvements (e.g., three new hydroelectric facilities, including one 7 km away), and a shift to open-pit mining.
- 2019: Skeena upgrades to a pit-constrained resource estimate and completes a Preliminary Economic Assessment (PEA).
- October 1, 2020: Skeena exercises its option and acquires 100% ownership from Barrick for $20 million. Barrick waives its back-in rights and becomes a significant shareholder.
Revitalization Studies and Planning (2021–2023)
- July 2021: Skeena submits an Initial Project Description to regulators and completes a Prefeasibility Study (PFS), projecting an after-tax NPV (5%) of $1.4 billion, 56% IRR, and 1.4-year payback at US$1,550/oz Au and US$22/oz Ag. The project enters the environmental assessment (EA) process.
- June 2022: The Province of British Columbia and Tahltan Central Government (TCG) sign the consent-based decision-making agreement.
- September 2022: Feasibility Study (FS) completed, outlining a 9–10-year mine life with open-pit operations.
- 2022: Randy Reichert appointed CEO; discovery of the Eskay Deeps Zone with high-grade intercepts.
- January 17, 2023: TCG, Province of BC, and Skeena sign a Permitting Process Charter for the project.
- November 2023: Definitive Feasibility Study (DFS) completed, projecting a 12-year mine life, 3.88 million oz AuEq reserves, $713 million capital costs, and production starting in 2027.
Regulatory Approvals and Recent Developments (2024–2026)
- 2024: Mineral resource estimate increased; updated FS with improved economics; Environmental Assessment Certificate (EAC) Application submitted in August; secured US$750 million financing from Orion Resource Partners.
- February 18, 2025: End of the Application Review phase in the EA process.
- January 16, 2026: EAO completes assessment and refers the project to provincial and federal decision-makers.
- January 26, 2026: Provincial EAC issued by BC Ministers of Environment & Parks and Mining & Critical Minerals, with 38 binding conditions. Federal approval granted under the Impact Assessment Act.
- January 27, 2026: Major Mines Permit issued under the Mines Act; mineral tax revenue-sharing agreement.
Future Outlook
- Pending: Permits under the Environmental Management Act (expected February 2026), allowing full construction to begin.
- 2026: Full-scale construction targeted for later in the year.
- Mid-2027: Initial production expected, with an 18-year mine life, ~1,000 construction jobs, 770+ operational jobs.