Angkor Resources (TSXV: ANK; OTC: ANKOF) and KSA Quarrying and Aggregate Co. plan to form a 50:50 profit sharing agreement for an alluvial gold project in Philippines. The project is on the Malaguit River in the Paracale district. Historical data indicates the river crosses a well-known placer gold-bearing plane across the district. No estimate of gold production was available at press time.
The project is turnkey ready: designed, built and permitted. It carries a commitment to remove silt from the river as part of an environmental cleanup. Infrastructure at the site includes a dredge, wash plant, stockpile areas, siltation ponds, clean water return channel, assay laboratory, finishing equipment for doré bars, vehicles, and accommodation.
The project had just finished construction in February 2020 when Covid-19 pandemic restrictions force the owner to put it on care and maintenance.
The dredge can remove up to 480 tonnes of sand and silt per hour, but the wash-separation plant has a capacity of only 150 to 200 t/h. Consideration is being given to installing a second plant to increase output. Processing requires only water, no chemicals of any kind.
The project is viable based on strong sand markets within the Philippines, and there is considerable demand from elsewhere in Southeast Asia. The recovery of gold and other minerals would be a bonus for the partners. Mining is expected to begin in the next three months.
The alluvial project will be operated by Philippine Environmental Recovery, an Angkor subsidiary, which will form a joint venture with KSA. The Canadian company holds an option for three years to increase its interest to 65% for an additional cash payment of $1.2 million to KSA. Angkor will also receive ongoing annual management fees.
Learn more about Angkor’s interests in Southeast Asia at www.AngkorResources.ca.