Camino Rojo oxide project construction continuing apace
Dual-listed Orla Mining is on track to pour first gold from the Camino Rojo oxide project, in Mexico, by the end of the year, president and CEO Jason Simpson said on Monday, in a construction update.
He reported that detailed engineering and procurement were well-advanced, positioning the project team for a successful execution.
Orla has selected a mining contractor and expects mining activities to start in the second quarter.
“Construction ramped up in the fourth quarter and we are focused on the critical path activities as we target first pour by the end of year," said Simpson.
Current construction activities include earthworks, installation of the camp and offices, drilling of back-up water wells, and site fence erection. Process pond and reclaim tunnel areas are being excavated and foundations are being prepared for the Merrill Crowe plant, crusher, camp, as well as ancillary buildings.
Flora and fauna relocation is 97% complete while clearing and grubbing is 91% complete. The 33-kV power line to site was approved by the Mexican federal electricity commission in 2020 and construction is currently 73% complete.
While construction at the oxide project is continuing apace, Orla is advancing multiple development scenarios on the Camino Rojo sulphide project, targeting a completed preliminary economic assessment by year-end.
The company reported that a 6 000-m oriented core drilling programme began on the large sulphide resource at the Camino Rojo deposit in the fourth quarter of 2020. The objective of the programme is to generate additional information regarding the continuity and geometry of the higher-grade mineralisation and provide new material for geotechnical and metallurgical studies. The drilling programme is about 80% complete.
In Panama, work is also under way on the Cerro Quema prefeasibility study, which is expected to be completed by the second quarter.
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