... Commencement of mining operations targeting 191,000 ounces of Proven and Probable Gold Reserves
By Kofi Ahovi
Golden Star Resources Ltd. has announced that it has re-commenced mining of the free milling Pampe Deposit located 26 kilometers west of the Company's Bogoso processing plant in Ghana. The Company also announced that an exploratory drilling program is underway focused on increasing Pampe's Proven and Probable Reserves of 191,000 ounces of gold.
The Pampe non-refractory deposit is on the southern end of the Akropong Trend, which is a subsidiary fault structure of the prolific Ashanti Trend. The Akropong Trend also hosts the multi-million ounce Edikan gold project operated by Perseus Mining, a released copied to BusinessWeek stated.
The Pampe Deposit, an existing pit that was mined by Golden Star from 2007 to 2008, has all required regulatory permits and all necessary mining infrastructure in place. The Proven and Probable Reserves at Pampe are 1.7 million tonnes grading 3.5 grams per tonne (g/t) and totalling 191,000 ounces of gold. Initial mining will concentrate on a pit waste cut back to access ore below the existing pit floor. Once the waste cut back has been completed, mine production is expected to generate up to 75,000 tonnes of ore per month beginning in January 2012. The Company expects mined grade of ore to average 3.5 g/t Au with metallurgical recovery of approximately 80%.
The Bogoso Oxide Processing Plant, which has production capacity of 1.5 million tonnes per year, is currently being upgraded and enhanced to accommodate new sources of oxide ore, with plant re-commissioning expected in January 2012. Production from the Pampe pit, in combination with retreatment of Bogoso/Prestea mine tailings, is expected to increase the Bogoso/Prestea mine's overall production by approximately 80,000 to 90,000 ounces of gold in 2012 with an estimated cash operating cost of $650/ounce. Over the long term, Pampe and the Company's Prestea South and Mampon pits, both of which are in permitting phase, have more than 10 million tonnes of oxide ore that are expected to keep the plant operating at capacity for seven years.
The new exploration drilling along the strike extension of the Pampe mineralized trend involves one multipurpose rig and will target the northern strike and the down dip extensions of the gold mineralized zone, which has not been thoroughly tested in past exploration programs.
Tom Mair, President and Chief Executive Officer, said, "The Pampe pit will supply non-refractory ore to the Bogoso Oxide Processing Plant, increasing overall gold production and lowering overall cash operating costs at the Bogoso/Prestea Mine. We are also excited about our current drilling program aimed at finding more non-refractory ore at Pampe as the ore body is open in all directions. We continue to strengthen operations throughout the organization and are intensely focused on increasing production, lowering costs and returning value to our shareholders."
Golden Star Resources holds a 90% equity interest in Golden Star (Bogoso/Prestea) Limited and Golden Star (Wassa) Limited, which respectively own the Bogoso/Prestea and Wassa/HBB open-pit gold mines in Ghana, West Africa. In addition, Golden Star has an 81% interest in the currently inactive Prestea Underground mine in Ghana, as well as gold exploration interests elsewhere in Ghana, in other parts of West Africa and in Brazil in South America. Golden Star has approximately 259 million shares outstanding.
By Kofi Ahovi
Golden Star Resources Ltd. has announced that it has re-commenced mining of the free milling Pampe Deposit located 26 kilometers west of the Company's Bogoso processing plant in Ghana. The Company also announced that an exploratory drilling program is underway focused on increasing Pampe's Proven and Probable Reserves of 191,000 ounces of gold.
The Pampe non-refractory deposit is on the southern end of the Akropong Trend, which is a subsidiary fault structure of the prolific Ashanti Trend. The Akropong Trend also hosts the multi-million ounce Edikan gold project operated by Perseus Mining, a released copied to BusinessWeek stated.
The Pampe Deposit, an existing pit that was mined by Golden Star from 2007 to 2008, has all required regulatory permits and all necessary mining infrastructure in place. The Proven and Probable Reserves at Pampe are 1.7 million tonnes grading 3.5 grams per tonne (g/t) and totalling 191,000 ounces of gold. Initial mining will concentrate on a pit waste cut back to access ore below the existing pit floor. Once the waste cut back has been completed, mine production is expected to generate up to 75,000 tonnes of ore per month beginning in January 2012. The Company expects mined grade of ore to average 3.5 g/t Au with metallurgical recovery of approximately 80%.
The Bogoso Oxide Processing Plant, which has production capacity of 1.5 million tonnes per year, is currently being upgraded and enhanced to accommodate new sources of oxide ore, with plant re-commissioning expected in January 2012. Production from the Pampe pit, in combination with retreatment of Bogoso/Prestea mine tailings, is expected to increase the Bogoso/Prestea mine's overall production by approximately 80,000 to 90,000 ounces of gold in 2012 with an estimated cash operating cost of $650/ounce. Over the long term, Pampe and the Company's Prestea South and Mampon pits, both of which are in permitting phase, have more than 10 million tonnes of oxide ore that are expected to keep the plant operating at capacity for seven years.
The new exploration drilling along the strike extension of the Pampe mineralized trend involves one multipurpose rig and will target the northern strike and the down dip extensions of the gold mineralized zone, which has not been thoroughly tested in past exploration programs.
Tom Mair, President and Chief Executive Officer, said, "The Pampe pit will supply non-refractory ore to the Bogoso Oxide Processing Plant, increasing overall gold production and lowering overall cash operating costs at the Bogoso/Prestea Mine. We are also excited about our current drilling program aimed at finding more non-refractory ore at Pampe as the ore body is open in all directions. We continue to strengthen operations throughout the organization and are intensely focused on increasing production, lowering costs and returning value to our shareholders."
Golden Star Resources holds a 90% equity interest in Golden Star (Bogoso/Prestea) Limited and Golden Star (Wassa) Limited, which respectively own the Bogoso/Prestea and Wassa/HBB open-pit gold mines in Ghana, West Africa. In addition, Golden Star has an 81% interest in the currently inactive Prestea Underground mine in Ghana, as well as gold exploration interests elsewhere in Ghana, in other parts of West Africa and in Brazil in South America. Golden Star has approximately 259 million shares outstanding.
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