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International Goldfields granted enviro licence in Brazil

12th August 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – ASX-listed International Goldfields has been issued with its preliminary licence and its installation licence over the Union gold project, in Brazil.

International Goldfields MD Travis Schwertfeger said that the licences allowed the joint venture (JV) partners to construct facilities for a 100 000 t/y heap-leach operation, pending a decision to mine, which would be made after the completion of current studies to define oxide reserves for the project.

“The potential development of a leach pad to process the oxide portion of the mineral resource is part of a strategy of the JV partners to establish early cash flow in a staged development of the project that significantly improves modelled economic outcomes,” Schwertfeger said.

The installation licence gave the JV partners the rights to mine a portion of the current oxide resource estimation, which totalled some 56 000 oz gold, within the Union project area. The licence also allowed for surface activities to be completed within the permitted tenement that could increase confidence in the oxide resource.

The remaining oxide resource estimate for the Union project fell within three adjacent tenements located within 1.5 km of the proposed heap leach facility.

The operating licence would only be issued following the completion of construction of the processing facilities.

The Union gold project, which is 33% held by International Goldfields, has a maiden mineral resource estimate of 3.4-million tonnes of measured and indicated resource, averaging 2.55 g/t gold and 5.1-million tonnes of inferred resource averaging 2.48 g/t gold for a total of 700 000 oz of contained gold.

Edited by Creamer Media Reporter

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