Gascoyne Resources on Schedule for May Gold at Dalgaranga

THE BOURSE WHISPERER: Gascoyne Resources (ASX: GCY) informed the market of progress on construction activities at the company’s Dalgaranga gold project in Western Australia.

Gascoyne Resources said that GR Engineering (GRES) has progressed design, engineering and construction of the 2.5 million tonnes per annum Dalgaranga processing plant.

“Design and engineering is complete and construction is well advanced with completion expected in around three months – approximately one month ahead of schedule,” Gascoyne Resources said in its ASX announcement.

“Construction of the project has progressed ahead of the original schedule, and will now see commissioning and first gold production in May 2018.”

Activities to have been undertaken within the process plant so far, include:

Concrete and civil works have been completed;

SAG mill installation is well advanced;

The Crusher and ROM bin have been delivered to site and installation is underway;

CIL tank erection is complete;

Steel erection on Site is nearing completion;

The Elution and gold recovery circuit installation has progressed on schedule with electrical cabling and terminations underway;

Reagent storage area has been completed with the final electrical and piping connections underway; and

Water services area is nearing completion, including reverse osmosis treatment plant, fire system, raw and process water pumps.

Gascoyne advised that electrical and instrument installation is almost complete with commissioning of this portion of the plant scheduled for late February.

“The Mining Contractor (NRW) has commenced site establishment and mobilisation of the mining equipment,” the company said.

“To date one of the excavators, a number of trucks and ancillary mobile equipment has been mobilised.

“NRW are on schedule to commence mining in early March.

“As part of the mining contract, NRW have purchased a number of new truck trays that will increase the payloads of the trucks and improve efficiency.

“A number of these new trays have been fabricated and are scheduled to arrive on site in the next few weeks.”

The Dalgarange gold project contains a Measured, Indicated and Inferred Resource of 31.1 million tonnes at 1.3 grams per tonne for 1.32 million ounces of contained gold, which is inclusive of Proved and Probable Ore Reserves of 15.3 million tonnes at 1.3g/t for 612,000 ounces of gold.