VANCOUVER (miningweekly.com) – Gold major Barrick Gold has poured first gold at its South Arturo mine, located in Nevada’s Carlin Trend, its 40% joint venture (JV) partner Premier Gold Mines reported Monday.
Barrick, as the operator through its subsidiary Barrick Gold Exploration, processes the ore from South Arturo at its Goldstrike facility located about 5 km to the south.
Mine development was completed on time and on budget with ore being processed from August 1. To the end of July, about 55-million tons of material (ore and waste) had been mined in 2016.
The second-quarter average mining cost was $1.16/t, compared with a budgeted cost of $1.28/t, Premier advised. The savings are mainly related to Barrick's company-wide cost-savings programme.
The 2016 gold output attributable to Premier is estimated to be 80 000 oz and the project is expected to be cash-flow positive for the year, net of capital.
The South Arturo deposit contains proven and probable reserves, on a 40% basis, of 1.14-million tonnes, grading 4.4 g/t gold for 161 000 oz of gold. It also contains 243 000 oz of silver at a grade of 6.62 g/t.
Measured and indicated resources, also on a 40% basis, stand at 30.47-million tonnes, grading 1.3 g/t gold for 860 000 oz, and 4.39-million ounces of silver at a grade of 6.67 g/t.
Premier advised that the JV continue to assess additional opportunities for future development, including other potential openpit and underground deposits on the property.
Drilling from the Arturo pit will be completed to further define the El Nino underground deposit situated down plunge of the current Phase 2 pit. Permitting work associated with a potential underground ramp to be driven from the pit is currently under way. Bulk samples from the underground portal at the historic Storm mine, as well as additional planned drilling will be used to complete more detailed metallurgical testwork to refine the economic opportunity of additional openpits on the property, Premier stated.