Kingsgate says Chile precious metals mine may cost $140m
PERTH (miningweekly.com) – A definitive feasibility study by gold miner Kingsgate Consolidated has placed a $140-million price tag on the development of its Nueva Esperanza silver/gold project, in Chile.
The ASX-listed miner said on Monday that the project was likely to produce about 7.5-million ounces a year of silver equivalent, based on the current reserve of 17.1-million tonnes, at 97 g/t silver and 0.27 g/t gold, running over three deposits.
The mining schedule outlined a mine production rate of about three-million tonnes a year, with the project likely to deliver about 40-million ounces of silver and 112 500 oz of gold over the initial six-year life. There is potential to significantly extend the mine life, Kingsgate reported.
“We remain optimistic in the mineral endowment of the immediate vicinity, which has the potential to provide Kingsgate with a long, sustainable operating presence in this region,” commented MD and CEO Gavin Thomas.
The company’s strategic plan was to bring the Nueva Esperanza project into production to provide an operating base to explore and identify additional areas of mineralisation within the current exploration licence area.
First production at Nueva Esperanza has been targeted for the first half of 2016.
“The decision to begin construction is anticipated in the second half of this year, and will put Kingsgate back on a growth path and validate the underlying value of the project acquisition,” Thomas said.
Meanwhile, discussions were also under way with potential debt financiers, with several financing options to fund Nueva Esperanza being considered.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
EIMS is an independent specialised environmental consulting firm offering the full spectrum of environmental management services across all sectors...
VISIT SHOWROOM
The Beneficiation Academy is a certified training institution that follows all compliance legislation and is accredited with various Sector...
VISIT SHOWROOM
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
