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Sunrise Dam mine

16th September 2016

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

  

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Name: Sunrise Dam mine.

Location: The mine is located about 220 km north-north-east of Kalgoorlie and 55 km south of Laverton, in Western Australia.

Controlling Company: AngloGold Ashanti.

Brief Description: Sunrise Dam is an underground mine that is wholly owned by AngloGold Ashanti.

Brief History: Openpit mining began at Sunrise Dam in 1997 and has been completed at a final depth of 500 m below surface. Underground mining started in 2003, with several different mining methods being used, depending on the style of mineralisation and grade of the geological domain. The mine became a wholly underground operation in 2014. The mine is undergoing an expansion phase, with production expected to reach three-million tonnes of ore in 2016.

Products: Gold

Geology/Mineralisation: The Sunrise Dam mine is considered to be a mesothermal gold deposit typical of many orebodies found in the Archean greenstone belts of Western Australia.

Mineralisation is typically hosted in quartz-carbonate veins and breccias, with varying quantities of pyrite and arsenopyrite. Gold occurs as free gold and is also occluded in the sulphides. The gold mineralisation is often associated with strongly altered country rocks proximal to the shear and fracture network that the hydrothermal fluids have passed through.

Reserves: Proven and probable reserves as at December 31, 2015, were estimated at 21.55-million tonnes, grading 1.81 g/t of gold.

Resources: Exclusive mineral resources as at December 31, 2015, were estimated at 46.09-million tonnes, grading 2.43 g/t of gold. Mineral resources below infrastructure were estimated at 2.48-million tonnes, grading 2.22 g/t of gold.

Mining Method: Contractor mining, with the primary mining method being bulk mechanised sublevel open stoping using stabilising pillars and waste back fill where possible.

Major Infrastructure and Equipment: All required surface infrastructure is in place, including a fully functional camp, a power plant and reticulation, offices and a road system. The new gas pipeline, which delivers gas directly to the on-site power plant, was commissioned towards the end of 2015 reducing the reliance on road transport. The electrical reticulation to the underground mine was expected to be expanded by the second quarter of 2016 to provide a further feeder into the underground mine.
Ore is treated in a conventional gravity and carbon-in-leach process plant.

Prospects: There are three projects currently under way at the Sunrise Dam mine, which include:
• exploring the options for reducing the long-term materials handling costs at the mine by replacing part of the truck and haul operations used to transport material to the process plant;
• evaluating the feasibility of using fine grind and flotation to improve the process plant recovery; and
• investigating options for sorting the low-grade stockpile at Sunrise to reduce the volume and increase the grade of the stockpile and, therefore, increasing profitability.
The three projects were expected to be completed by mid-2016, with the materials handling and the recovery improvement projects included in the current life-of-mine plan for the mine.

Contact Person: Senior VP investor relations and group communications – global, Stewart Bailey.

Contact Details:
AngloGold Ashanti,
Tel + 27 11 637 6000,
Email sbailey@anglogoldashanti.com, and
Website http://www.anglogoldashanti.com.

Edited by Tracy Hancock
Creamer Media Contributing Editor

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