– gold production pegged at 50,000 ounces this year
Canadian based gold firm Guyana Goldfields Inc (GGI) has announced that it is on track of starting up its Aurora, Region Seven (Cuyuni-Mazaruni) gold project next month, and has projected to produce between 30,000 to 50,000 ounces of gold in 2015 and approximately 120,000 to 140,000 ounces in 2016.
In a statement, GGI announced that the mill commissioning process has commenced and the Aurora Gold Project remains on track for projected initial gold production in mid-2015. According to the company, overall project construction is approximately 85 per cent complete with GGI focusing on operational readiness training and commissioning.
GGI has commenced the commissioning of the following areas: SAG Mill; power plant generators, and water and air support systems. The company said it will continue the commissioning phase during the second quarter of this year and is in the process of completing the remaining piping, electrical and surface conveyor construction. “GGI is on track to start up the gravity gold and saprolite production circuits for mid-2015, which would allow for earlier gold production (pre-commercial production) through the processing plant. The commissioning and start up of the hard rock crushing circuit is projected to be completed in the third calendar quarter of 2015,” the statement read.
According to the company the mining fleet is fully operational and all materials required for construction are on site. “All surface, on-site construction and bulk earthworks are completed, except for the river dike and runway expansion. The company is currently operating at peak construction and manpower levels with over 1000 personnel at site. The operational readiness team has been hired and is undergoing initial training.” Guyana Goldfields said that initial open pit mining at Rory’s Knoll has defined the pit outline with excavation below river level with no inflow of water, as expected.
Expectation
Meanwhile, the company said it is expected to produce between 30,000 to 50,000 ounces of gold in 2015, and approximately 120,000 ounces to 140,000 ounces of gold in 2016. “GGI has approximately US$44 million as at March 31, 2015 of capital expenditures remaining to projected initial production.
The total initial development costs for all facilities as well as mining equipment, owner’s costs, indirect costs, etc., remains forecasted to be US$249 million. The project is tracking on budget with US$52 million available as an overrun facility, if needed,” the statement added.
Commenting on the operations, President and Chief Executive Officer of the company Scott Caldwell said, “The commissioning of the mill circuit is a major milestone which we’ve been able to deliver on schedule and brings us one step closer to initial production. I am proud of what our team has accomplished in just a little over a year.
The energy at site is vibrant and I would like to thank all our employees and contractors for their dedication and excellent work. At this stage in the game, we are so close to production that it has eliminated a large portion of capital overspending risk.
Our next focus is producing ounces at or above our target for 2015 gold production, and joining the ranks of producers.”
