Name of the Project
Sanankoro gold project.

Location
Yanfolila gold belt, in Mali.

Project Owner/s
Cora Gold.

Project Description
A preliminary oxide scoping study has shown that Sanankoro has the potential to be a highly profitable standalone oxide mine. The project has combined oxide and sulphide measured, indicated and inferred resources of five-million tonnes grading 1.6 g/t gold.

The scoping study has focused on a 1.5-million-tonne-a-year plant, delivering average production of about 45 632 oz/y over a three-year mine life.

Based on current Joint Ore Reserves Committee-compliant resources, the study has determined that a heap-leach processing methodology is preferable to a carbon-in-leach methodology.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The pretax net present value, at an 8% discount rate, is $30.9-million and the internal rate of return (IRR) is 84%, with a payback of less than 18 months.

Capital Expenditure
Preproduction capital expenditure is estimated at $20.6-million.

Planned Start/End Date
Not stated.

Latest Developments
Cora Gold has reported positive results from the oxide ore bulk sample testwork programme. The testwork has explored the viability for the ore at the Sanankoro gold project to be concentrated by gravity separation to a level that will be viable to transport to Hummingbird Resources’ Yanfolila gold mine, located about 100 km from Sanankoro.

The bulk sample was screened at 37.5 mm and 1.7 mm, with those bigger than the 37.5 mm size fraction then crushed to just below 37.5 mm and rescreened at 1.7 mm. About 80% of the bulk sample was smaller than the 1.7 mm fractionand was passed through a Knelson concentrator and a gravity concentrate extracted.
 
The results have been encouraging, with about 57% of the gold reporting to a gravity concentrate, which represents less than 1% of the feed mass.

The resulting gold concentrate, with a grade of more than 70 g/t gold, could be economic to transport over long distances, Cora has said. The programme has focused on a single pass through a centrifugal concentrator and it is expected that further work could enhance the crush size and result in further improved recovery to the concentrate and potentially higher grades.

The coarser size fraction (smaller than 37.5 mm and greater than 1.7 mm), which accounts for about 20% of the bulk sample, was used for a kinetic cyanide bottle roll test conducted to simulate heap-leach conditions. This has also produced encouraging results, with gold extraction being about 75% after 96 hours, with the leach curve still rising, suggesting gold recovery rates could increase with more time.

The results suggest that a streamlined process flowsheet, incorporating gravity concentration and the trucking of a high-grade concentrate to an existing mine in the region, could be run in parallel with a smaller on-site heap-leach project treating the residual coarser size fraction. 

These initial results suggest that this could be a viable alternative route for Cora, potentially providing a lower capital expenditure and faster route to cash flow for the company.

Cora started further metallurgical testwork earlier in June to build on the work completed for the Sanankoro scoping study published in January.

This is focused on taking the metallurgical results to a prefeasibility study standard.

As part of this programme, the company is also continuing further testwork on gravity concentration, with Cora expecting to report on these results during the third quarter of the year.

Cora has also reported that although the Sanankoro exploration permit expired on February 1, in accordance with the Mali Mining Code, the company has submitted an application for the award of a new permit over the area covered by the Sanankoro permit.

The permit is one of five permits that together comprise the Sanankoro gold project area. 

Key Contracts and Suppliers
Wardell Armstrong International (scoping study) and Digby Wells Environmental (economic- and social-impact assessment).

Contact Details for Project Information
Cora Gold, email info@coragold.com.