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Pantoro to expand Nicolsons production with addition of openpit feed

Pantoro to expand Nicolsons production with addition of openpit feed

Photo by Bloomberg

12th May 2016

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – A proposed openpit mine some 1.5 km from the Nicolsons processing plant, in Western Australia, could deliver an additional 16 350 oz to the Nicolsons gold project production profile.

Owner Pantoro on Thursday reported that the evaluation of its Wagtail and Rowdles prospects defined an initial ore reserve of 46 000 oz, which was contained in three small high-grade openpits.

Pantoro said that mining of these pits would allow for more ore feed to the Nicolsons processing plant as development of the underground mine advanced to full capacity.

Reviews of the processing plant indicated that the crushing and grinding circuits have an existing capacity to process a throughput of 200 000 t/y, which would be an increase of 50% compared with the current operating level. Two additional leach tanks and some minor modification to the classification circuit would be required to achieve high gold recoveries at the expanded rate.

Pantoro had started detailed engineering design for these works, and was hoping to expand its production capacity by the end of 2016.

MD Paul Cmrlec said on Thursday that the addition of openpit feed to the Nicolsons mill would enable expanded production in the short to medium term.

“Our pre-commencement goal of 30 000 oz/y was based on a reserve grade of 6.17 g/t gold; however, results to date indicate that the operation has capacity to substantially exceed both throughput and grade targets. We are confident that additional mine life will be added through exploration and continued mining extensions and we believe we are just on the tip of the iceberg in terms of what the overall ore system has to offer.”

The Nicolsons operation poured its first gold in September last year, after operations were started in April.

In May, Pantoro took full ownership of the project after acquiring the remaining 20% interest in Nicolsons from joint venture partner Bulletin Resources.

Edited by Mariaan Webb
Creamer Media Contract Publishing Editor

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