SASKATCHEWAN — Saskatoon's Golden Band Resources is moving forward toward production from its La Ronge gold project. The latest milestone is completion of a positive pre-feasibility study that looked at open pit mining of the Komis and EP deposits, underground and open pit mining of the Bingo deposit, and processing at the company's existing Jolu mill. The report was prepared by P & E Mining Consultants.
Golden Band hopes to produce the first gold from the project this year. To do that it will have to make pre-production expenditures of $26.04 million. To refurbish the mill will cost $12.45 million. To prepare the Komis and EP pits will cost $5.55 million, and to develop the Bingo pit and underground, $7.60 million. General and administrative costs are expected to be $414,000.
Operating costs vary depending on the mine area, but the total average is estimated to be C$111.97 per tonne of ore or US$520.73 per oz of gold recovered.
This is a short-term project, only four years. Three months will be needed to restart the 700-t/d mill and develop the mines. Mining and milling will proceed for three years and two months, and decommissioning will take three further months in the fourth year. Total ore production will be 762,100 tonnes of material averaging 6.21 g/t Au.
The entire technical report is posted at www.GoldenBandResources.com.
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