Floor-breaking on the plant web site is scheduled for subsequent month, and the lodging camp ought to be completed in November.
Roxgold accomplished a feasibility examine on Séguéla in Could that outlined an 8.6-year open pit mine producing a mean of 120,000 oz. of gold per 12 months. Capital prices have been estimated at $173.5 million. Fortuna acquired the West Africa-focused gold producer in early July in a cash-and-stock deal valued at $884 million.
The feasibility examine projected a mean lifetime of mine all-in sustaining value of $832 per oz. At a gold worth of $1,600 per oz. and a reduction price of 5%, the challenge’s web current worth is estimated at $380 million after taxes. Its inside price of return was calculated at 49%.
“The choice to begin development of the nonetheless rising Séguéla challenge marks an thrilling milestone for the corporate,” mentioned Paul Criddle, Fortuna’s COO, West Africa. “The group has additional derisked the challenge by advancing detailed design and commencing procurement of lengthy lead objects, together with the SAG mill and the execution of important path agreements together with the EPC settlement with Lycopodium for the processing plant. This has allowed Séguéla’s important path to be protected in addition to managing the fee threat by locking in substantial parts of the preliminary capex in mounted worth contracts.”
Exploration drilling at Séguéla continues. Fortuna just lately drilled a spotlight of 30 metres grading 17.2 g/t gold on the Sunbird prospect on the property.
Séguéla holds confirmed and possible reserves of 12.1 million tonnes grading 2.8 g/t gold for 1.1 million oz. The reserves are contained in 5 deposits: Antenna, Koula, Ancien, Agouti and Boulder. The federal government of Côte d’Ivoire holds a ten% curiosity within the challenge.
Fortuna holds 4 working mines in 4 totally different jurisdictions: Caylloma (silver-gold-zinc-lead mine) in Peru; Lindero (gold) in Argentina; San Jose (silver and gold) in Mexico; and Yaramoko (gold) in Burkina Faso.
(This text first appeared in The Northern Miner)