Aim- and TSX-listed Condor Gold has been granted an environmental permit for the development and exploitation of gold from the high-grade Mestiza openpit, which is complementary to the La India project, in Nicaragua.
The Mestiza openpit hosts 92 000 t at 12.1 g/t gold, for 36 000 oz contained gold, in indicated resources and 341 000 t at 7.7 g/t gold for 85 000 oz contained gold in inferred resources.
The already permitted La India openpit hosts 8.37-million tons of indicated resources at 3.1 g/t gold, for 837 000 oz contained gold, and 883 000 t of inferred resources at 2.4 g/t gold for 68 000 oz contained gold.
“When added to the high-grade La India openpit, Condor has just over one-million ounces gold openpit mineral resources, including mineral reserves permitted for extraction. Condor also has the permit to construct and develop a processing plant with capacity of up to 2 800 t/d at La India project.
“The permitted high grade Mestiza openpit adds flexibility to the mine schedule, potentially improving project economics and extending the life-of-mine,” said chairperson and CEO Mark Child.
The Mestiza openpit is likely to be mined earlier to reduce the payback period on the plant and equipment and improve the internal rate of return. The pit is located within easy trucking distance and less than 4 km from the location of the permitted processing plant.
Looking forward, Condor said it expects the America openpit to be permitted in the near future.
Condor intends to complete the ongoing mining dilution studies and pit optimisation studies, which are under way, and incorporate the results of those studies in a mine production schedule.
Ahead of production, Condor will complete infill drilling on the Mestiza openpit to convert the majority of mineralised material to the indicated mineral resource category.