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New phase for proposed gold mine north of Juneau begins as drilling season starts

Company’s CEO says this year’s work for New Amalga Gold Project marks ‘drilling program’s transition from pure exploration into strategic development planning’

A map shows the approximate locations of selected drill holes at potential mineral sites for the New Amalga Gold Project. (Grande Portage Resources Ltd.)
A map shows the approximate locations of selected drill holes at potential mineral sites for the New Amalga Gold Project. (Grande Portage Resources Ltd.)

By Mark Sabbatini

Juneau Independent


A new phase for a proposed new gold mine north of Juneau is underway with this year’s drilling season marking a "transition from pure exploration into strategic development planning," according to the head of the company developing the project.


This year’s work on the New Amalga Gold Project calls for "4,300 meters of diamond drilling from up to 14 drillholes as well as installation of downhole instrumentation," according to a press release issued June 17 by Canada-based Grande Portage Resources Ltd.


"The drillholes will provide additional definition to upgrade resource classification in key areas of the deposit and will characterize the geotechnical and hydrogeological aspects of the rock mass to gather data necessary for the environmental review and permitting process as well as to inform mine development plans," the release notes.


Company officials have said the project, located near Herbert Glacier about 20 miles north of downtown Juneau, is expected to create 277 jobs and a pre-tax net present value of nearly $1 billion during an initial seven-year production cycle. A target opening date for the mine has not been announced.


Grande Portage’s press release notes it is working with four contractors, including Juneau-based Coastal Helicopters Inc., which is providing transportation and logistical services. Another is Idaho-based Timberline Drilling Inc, which has performed work at other Juneau-based mining operations; Palmer-based Piton Exploration LLC; and Canadian-based SRK Consulting Inc.


"We are pleased to announce the mobilization of a premier team of contracting partners the 2026 drilling campaign, including prominent Alaska-based firms," Ian Klassen, Grande Portage’s president and CEO, said in a prepared statement. "The launch of this year’s program marks a key milestone for the New Amalga project, signaling the drilling program’s transition from pure exploration into strategic development planning."


Concerns about the project have been expressed by some regional residents, organizations and policymakers, largely related to Grande Portage’s to transport ore to a terminal at Cascade Point where it will be shipped elsewhere for processing. The company states that will lower the cost and impacts of the mine, but among the concerns expressed is the Dunleavy administration’s eagerness to build a ferry terminal at Cascade Point — which critics say is primarily intended to aid development of the ore shipping facility.


Objections have also been raised about the U.S. Forest Service's decision last month not to build a recreational cabin near Herbert Glacier due to mining activity and other "site complexity." Forest Service officials said in January a preliminary decision to cancel the cabin project wasn’t related to the mine, but then acknowledged it was a key factor when publishing the final decision.


Graham Neale, director of corporate and external communications for Grande Portage, told the Greater Juneau Chamber of Commerce in April that exploratory work on the mine has been taking place for more than a decade.


The company is planning for a 3.25-mile access road from Glacier Highway to a maintenance and materials storage area, with another road extending about a mile to the portal area accessing the underground mine. The mine as currently designed features a network of extraction areas and tunnels extending up to 1,200 feet beneath the surface.


• Contact Mark Sabbatini at editor@juneauindependent.com or (907) 957-2306.

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