JOHANNESBURG (miningweekly.com) – London-listed Shanta Gold said on Tuesday that it had placed a $2,5-million order for ball mills at its New Luika gold mine in Tanzania.
The two new 800-kW ball mills, that would be manufactured by Osborne Engineered Products, in South Africa, would provide a mill feed rate capacity of 75 t/h.
Shanta Gold chairperson Walton Imrie said that the installed capacity of the mills would facilitate a milling capacity that exceeded the feasibility study design capacity, which presented an opportunity to improve the project's financials.
The company said in a statement that the delivery of the mills was expected to take between 22 and 26 weeks, while the price would be fixed at an exchange rate of R6,99 to the dollar, if the purchase was made before December 3.
The given timeline ensured that the mills would be delivered and installed ahead of the scheduled commissioning in the fourth quarter of 2011.
The increased mill capacity would be integrated into the detailed design of the New Luika gold mine currently nearing completion.
It is anticipated that the New Luika gold mine would be constructed at a cost of about $23-million and would start producing at an initial rate of 28 000 oz/y of gold by the end of 2011.