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Matala gold project, Zambia

10th June 2016

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

  

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Name and Location
Matala gold project, Zambia.

Client
Alecto Minerals.

Project Description
Matala contains Joint Ore Reserves Committee-compliant mineral resources of 568 000 oz of gold.

An additional 75 000 t of measured noncode-compliant mineral resources exist in recently identified historic dumps and tailings adjacent to the Matala deposit.

A feasibility study on the project has demonstrated its positive economics.

The study envisages the potential to develop a low-cost, profitable, small-scale 400 000 t/y openpit mining operation at Matala and its satellite deposits, targeting the oxide and transitional ore and using a simple crushing, milling and gravity circuit with subsequent direct cyanidation.

Net Present Value/Internal Rate of Return
The project has a net present value of $28.6-million at an 8% discount rate and an unlevered internal rate of return of 52%.

Value
The estimated capital cost of the plant is estimated at $14.4-million.

Duration
Not stated.

Latest Developments
Alecto signed an agreement with Chinese mining equipment manufacturer Yantai Xinhai Machinery and South Africa-based turnkey solutions provider Penmin for the construction and financing of mining operations at the Matala project.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Alecto Minerals, Mark Jones, tel +44 20 7499 5881.

Edited by Martin Zhuwakinyu
Creamer Media Magazine Managing Editor

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