Name and Location
Gruyere gold project, Australia.

Client
Gold Road Resources.

Project Description
The findings of the prefeasibility study (PFS) on the Gruyere project have indicated a technically sound and financially viable project, and has confirmed it as one of Australia’s best undeveloped gold deposits.

The project has a maiden ore reserve of 3.17-million ounces, supporting average gold production of 265 000 oz/y over the 12-year life-of-mine.

The development of the project is based on a single, large openpit mine and conventional semiautogenous/ball mill circuit, a gravity/carbon-in-leach plant with a throughput of 7.5-million tonnes a year of fresh ore and up to 8.8-million tonnes a year of oxide ore.

The openpit is designed to be mined in four stages. Stages 1 and 2 comprise two independent north and south starter pits. Stage 3 combines the two starter pits and Stage 4 consists of a cutback to be mined to the final pit design.
Initial mine development and prestripping activities are scheduled to provide sufficient material required to build the tailings storage facility (TSF) as a vital part of an integrated waste landform (IWL), site roads and run-of-mine pad.

IWL is a generic term for the development of a TSF within a waste dump.

The development of the IWL will be in stages to suit tailings and mine waste
production.

The waste dump construction will be part of mining activities and will keep pace with the rising tailings level. Prestripping will produce about 12-million tonnes of predominantly cover and saprolite material over a six- to nine-month period before production starts.

Net Present Value/Internal Rate of Return
Not stated.

Value
The project has a total capital cost of $455-million.

Duration
Not stated.

Latest Developments
Gold Road’s board of directors has approved the start of the feasibility study on the project. The feasibility study is expected to be completed in the fourth quarter of 2016, which will enable the company to make an investment decision by early 2017.

Key Contracts and Suppliers
GR Engineering Services (process plant and associated infrastructure, and assistance with the compilation of the PFS); Orway Mineral Consultants (comminution circuit option study); AMC Consultants (mine planning and optimisation, ore reserve statement and peer review of mine geotechnical engineering); DumpSolver (waste dump optimisation and integrated waste landform studies); Optiro Mining Consultants (third-party review of mineral resource); Axiom Project Services (third-party review of capital cost estimates); MACA (mining contract rates); MBS Environmental (environmental surveys and preparation of the environmental approval documents); Pennington Scott (hydrology and hydrogeology); KPMG (operational readiness); PCF Capital (financial modelling); Coffey Mining (TSF); TP Weston (metallurgical testwork/studies); Townend Mineralogy Laboratory (mineralogy testwork); ALS Laboratories (metallurgical testwork); SGS Lakefield OreTest (high-pressure grinding rolls testwork); GPX Surveys (airborne time domain electromagnetic survey); Aquatech (waterbore drilling); and Wayne Trumble (power supply option study).

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Gold Road Resources, tel +61 8 9200 1600, fax +61 8 9481 6405 or email perth@goldroad.com.au.
GR Engineering Services, tel +61 7 3838 8000, fax +61 7 3838 8001 or email gres@gres.com.au.
Orway Mineral Consultants, tel +61 8 6210 5601 or email omc@orway.com.au.
AMC Consultants, tel +61 8 6330 1100, fax+61 8 6330 1199 or email perth@amcconsultants.com.
DumpSolver, tel +61 8 9388 0556.
Optiro, tel +61 8 9215 0000, fax +61 8 9215 0011 or email contact@optiro.com.
Axiom Project Services, tel +61 7 3025 3253 or fax +61 7 3319 8947.
MBS Environmental, tel +61 8 9226 3166, +61 8 9226 3177 or email info@mbsenvironmental.com.au.
Pennington Scott, tel +61 8 9446 7090 or email info@penningtonscott.com.au.
KPMG, tel +61 8 9263 7171 or fax +61 8 9263 7129.
PCF Capital, tel +61 8 9486 7111, fax +61 8 9486 7011 or email enquiries@minesonline.com.
Coffey Mining, tel +61 8 9355 7100 or fax +61 8 9269 6299.
Townend Mineralogy Laboratory, tel +61 8 9248 1674, fax +61 8 9248 1502 or email admin@townendmineralogy.com.au.
SGS Lakefield OreTest, tel +61 8 9373 3500 or fax +61 8 9373 3556.
GPX Surveys, tel +61 8 9477 5111, fax +61 8 9477 5211 or email info@gpxsurveys.com.au.