Acacia repositions Buzwagi mine to produce only gold doré

22nd September 2017 By: Creamer Media Reporter

JOHANNESBURG (miningweekly.com) – LSE-listed Acacia Mining will reposition its Buzwagi mine, in Tanzania, to produce only gold doré until the end of its life in 2020.

This follows positive results from a processing trial that indicated that the mine should be able to achieve gold recoveries of about 85% through the additional use of reagents in the leaching circuit at limited additional operating costs.

Buzwagi produces both doré and a gold/copper concentrate, but a government ban on gold and copper concentrate exports has prevented the mine from exporting and selling its concentrate, which accounts for about 65% of the mine’s production.

Acacia said there would be no changes to group production or cost guidance resulting from this processing change; however, Buzwagi would be able to sell an additional 8 000 oz to 10 000 oz a month of gold for the remainder of the year.

“We believe the changes will move the mine from a monthly cashflow negative position to a monthly cashflow positive position, strengthening Acacia’s balance sheet and helping to protect thousands of direct and indirect jobs that the company supports,” it said.