Galane Gold Ltd. Commissions New Screening Plant to Process Seven Hundred Thousand Tonnes of Low Grade Ore
August 5, 2014
TORONTO, Aug. 5, 2014 /CNW/ -
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In 2013, Galane carried out an exercise to review the potential of screening its low grade stockpiles. The results of this exercise and related test work in respect of the previously disclosed measured mineral resource at the Mupane stockpiles are as follows:
- there are 702,259 tonnes of low grade stockpile at an average grade of 0.97 grams per tonne ("g/t"), which is located at the run-of-mine ("ROM") pad at the processing plant;
- screening the ore using a 40mm screen deck is expected to increase 38% of the stockpile grade by 65% and the upgraded ore would report to the minus 40 mm product size fraction;
- the process is expected to produce an additional 266,858 tonnes of ore at an average grade of 1.60 g/t to feed the processing plant;
- the screened material is expected to have a recovery rate of 83% and as it is predominately oxide in nature the milling rate is expected to increase by 20% due to the size and nature of the material; and
- the direct operating cost per ounce is forecast to be in the range of
$600 to $700. Direct operating cost per ounce is a non-GAAP measure. See "Direct Operating Cost" and "Cautionary Notes" below.
Additional information regarding the Mupane stockpiles is set out in the Company's news release dated
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The Company intends to feed the low grade stockpile over the next three years, as required, to complement its other sources of ore. In addition, the screening plant will be used to process low and sub grade ore mined at the Company's other open cast pits.
This represents a testament to the experienced and innovative management team we have put in place and their commitment to making Galane a long mine-life, low-cost producer."
Direct Operating Cost
Direct operating cost includes mine site operating costs such as mining, processing, and attributable realized derivative gain or loss, but are exclusive of amortization, reclamation, administration, and exploration and development costs.
Certain statements contained in this press release constitute "forward-looking statements". All statements other than statements of historical fact contained in this press release, including, without limitation, those regarding the Company's mine plan, objectives, goals and targets, and any statements preceded by, followed by or that include the words "believe", "expect", "aim", "intend", "plan", "continue", "will", "may", "would", "anticipate", "estimate", "forecast", "predict", "project", "seek", "should" or similar expressions or the negative thereof, are forward-looking statements. These statements are not historical facts but instead represent only the Company's expectations, estimates and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict. Therefore, actual results may differ materially from what is expressed, implied or forecasted in such forward-looking statements.
Additional factors that could cause actual results, performance or achievements to differ materially include, but are not limited to: the Company's dependence on a single mineral project; gold price volatility; risks associated with the conduct of the Company's mining activities in
Management provides forward-looking statements because it believes they provide useful information to investors when considering their investment objectives and cautions investors not to place undue reliance on forward-looking information. Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company. These forward-looking statements are made as of the date of this press release and the Company assumes no obligation to update or revise them to reflect subsequent information, events or circumstances or otherwise, except as required by law.
Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no guarantee that any of the mineral resources disclosed in this press release will be converted to mineral reserves.
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Information of a technical and scientific nature that forms the basis of the disclosure in the press release has been approved by Charles Byron Pr. Sci. Nat., MAusIMM., MGSSA and Chief Geologist for
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