Gold developer West African Resources’ sulphide diamond drilling at its Mankarga 5 deposit, Burkina Faso revealed further high-grade gold results, the company announced on Monday.
West African Resources MD Richard Hyde said that diamond drilling beneath the proposed oxide starter pit reinforces the potential for a stage two CIL project at Mankarga.
Gold production outlook
“Our scoping study released in July, which focussed on heap leaching near surface oxide material, showed that we can produce up to 60 000 oz of gold per year from a single open-pit, at all in sustaining costs of $685 oz, with initial capital costs of less than $45 million,” explained Hyde. He added that diamond drilling targeting mineralisation beneath the oxide starter pit is continuing. “We will complete scoping studies investigating a stage two CIL project early next year.”
In February this year, West African acquired a second-hand 1.6Mtpa heap leach plant as part of its plan to fast-track development of Mankarga 5. In July, the company delivered positive results from a Scoping Study which demonstrated a low capital cost, high margin, heap-leach starter project.
West African is focussed on near-term production with its immediate attention on the Mankarga 5 deposit and existing nearby gold prospects. The company aims to be a +50 000 oz per annum gold producer by the end of 2015 via a low-cost heap leach starter project.