An exploration company plans to spend around $8 million firming up data on a gold deposit near Livengood that it said could prove up on par with Fort Knox.

International Tower Hills president and CEO Jeff Pontius said he expects to release a revised resource estimate at the end of June and the results of an economic feasibility study at the end of July.

Early data collected this spring suggests a find on a scale with Fort Knox. Under a best-case scenario, a gold mine could be operational within six or seven years, with at least a 10-year life, Pontius said at a luncheon the company hosted on Wednesday to update the community.

“Our company is pushing forward about as fast as we possibly can,” Pontius said. Crews started drilling exploration holes in February. About 52 employees are on the ground running four rigs around the clock, working toward a 2009 estimate of 45,000 meters drilled.

At this point, Pontius said the resource quantity and quality seems similar to that found at Fort Knox, and a mine likely would incorporate milling and heap-leach techniques. Heap-leaching uses cyanide to process ore and has been protested by environmental groups.

Rep. John Coghill, R-North Pole, said the project is promising in terms of jobs for the Interior and business for Fairbanks-based enterprises. However, he cautioned against unbridled enthusiasm until the company is more certain about the find, and until development costs can be proven economical.

“It’s close enough to Fairbanks where it has a real economic benefit, but they are still prospecting,” Coghill said.

He said the state will have to give thought to potential multiple-use problems with increased access and traffic through Livengood, and any heap-leach facility will have to be carefully considered in light of fish-bearing rivers through the area.

“It’s always about that balance,” he said, noting he likes the public updates International Tower Hills is providing.

“This is transparency I appreciate,” Coghill said.

Once the reserves can be stated with more certainty and the project deemed economical, International Tower Hills can begin permitting processes, Pontius said. The exploration company doesn’t develop mines, but would look for an established operator to buy into the project.

Groups of financial analysts from global investment firms have been traveling to Livengood in recent weeks to survey the find, speak with geologists and shore up International Tower Hills’ claims. Pontius said the find has generated a lot of interest, possibly because new, large gold resources are few and far between.

“There are not a lot of these big deposits out there,” he said.

A real boost could be development of a proposed in-state natural gas pipeline from the North Slope. A gold mine would require about 20 megawatts of electricity.

“It could be a very important economic driver,” he said. “We’re very supportive of this in-state gas line.”

So far, International Tower Hills has invested $28 million in the find. About $20 million of that was spent in Alaska.

Pontius promised a focus on responsible development and on the cultural values of people living in the Interior. He also said his company is in Alaska to stay, with “lots of guys crawling around in the Bush looking for the next Livengood.”

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