PERTH (miningweekly.com) – ASX-listed Crusader Resources said on Monday that it was evaluating a change of pace at its Borborema gold project, in Brazil, which would simplify the project.
Crusader in 2013 suspended feasibility studies into a 4.2-million-tonne-a-year project at Borborema, when falling gold prices rendered the study financial estimates obsolete.
However, Crusader on Monday said that the company had completed an internal optimisation review into a two-million-tonne-a-year Stage 1 development at the gold mine, which had resulted in positive economics.
A new feasibility study on the project had begun.
“Borborema has long been a significant asset for Crusader and it is with great pleasure that we can update shareholders with a new concept for its development,” said Crusader MD Rob Smakman.
“By simplifying the project and changing its footprint, the environmental and social impact is minimised and the path to its potential development is clear.”
The new mine plan has been adapted to respect existing highways and power lines, and the mine plan would see Crusader exploit only the upper lense of the resource base, which included ore of around 20-million tonnes at a strip ratio of 3.5:1.
The project has a total proven and probable reserve of 42-million tonnes, grading 1.18 g/t gold for 1.6-million ounces of gold.
Smakman said on Monday that the global markets had also changed since the initial studies were suspended in 2013, with the market now in favour of gold developers and miners.
“We firmly believe that this Stage 1 project plan gives Borborema the best pathway into production,” he added.