TIDMGRL
RNS Number : 8229X
Goldstone Resources Ltd
02 May 2019
2 May 2019
GOLDSTONE RESOURCES LIMITED
("GoldStone" or the "Company")
Operational Update on Homase Open Pit Gold Mine
GoldStone Resources Limited (AIM: GRL) is pleased to provide an
update on its key work streams along the Homase Trend, which
includes results exceeding expectations from its pilot heap leach
test work and encouraging results from its recent trenching
programme, as the Company seeks to move rapidly towards achieving
low cost production.
The Homase Trend, an >8km gold-in-soil anomaly within its
Akrokeri-Homase Gold Project ("AKHM" or the "Project"), is located
on the northern end of the Ashanti Gold Belt in Ghana, 12km along
strike from Anglo Gold Ashanti's >70 million ounce Obuasi Gold
Mine, and which also contains the high-grade 24g/t Au (recovered
grade) Akrokeri Mine.
Highlights
-- Pilot heap leach test work indicated recoveries in excess of
87.5% after just 60 days due to coarse gold content, exceeding
initial expectations and endorsing plans for an initial gravity and
combined heap leach facility to minimise capex
-- Trenching over 900 metres at the proposed Homase North Pit
completed, with six out of eight trenches encountering above
cut-off mineralisation and the highest individual assay at 3.87 g/t
Au (1 metre cut)
-- Trenching at the parallel structures of Adubriem and Krodua
over 800 metres has been completed and the assay results are
expected within the next few weeks
-- Potential new Homase Central Pit investigation started in the
area immediately to the north of the existing Homase Pit, a shallow
open oxide pit that was mined by AngloGold Ashanti in 2002/3 and
produced 52,000 oz at 2.85g/t Au
-- Definitive Economic Plan ("DEP") progressing well and is
expected to be submitted for final government approval in May
2019
-- Initial work indicates Gravity Recoverable Gold ("GRG")
circuit can be utilised which has low capital outlay and can
facilitate early revenue
-- The baseline study for the Environmental Impact Assessment
and Management Plan is nearing completion
Emma Priestley, CEO of GoldStone, commented:
"Operations are progressing in line with our commitment to move
rapidly towards establishing our first operating gold mine within
the Homase Trend. The initial results from the bulk heap leach test
work are extremely encouraging and are an endorsement of our plans
to achieve early stage cash flow with minimal capital expenditure
via a low tonnage, gravity and combined heap leach facility.
"With the DEP nearing completion, this will also allow us to
complete and submit the environmental study, and we look forward to
providing further updates as work at AKHM progresses.
"We will provide an operational update on the Akrokeri Mine in
the coming weeks."
Homase Trend
The Company's pilot heap leach, undertaken at the University of
Mines and Technology in Tarkwa, Ghana, utilising 2.5 tonnes of
material from the proposed Homase South Pit, within the Homase
Trend, achieved recoveries of 87.5% after just 60 days. This
exceeded the Company's expectations due to the known presence of
coarse gold which influences the head grade and as a result, the
test work was halted earlier than anticipated. This endorses the
Company's consultant's, MAED (UK) Limited ("MAED"), plans for an
initial gravity facility, to ensure the recovery of the coarse
content prior to the heap leach, thereby maximising recoveries.
Trenching at the proposed Homase North Pit, to the north of the
Homase Main Pit, has now been completed with assay results having
been received. Six out of eight trenches encountered above cut-off
mineralisation, with over 97% of the 901samples assayed from the
trenches giving positive results, including:
-- the widest intersection being 26 metres at 0.71g/t;
-- the highest grade being 3 metres at 1.82g/t; and
-- the highest individual assay being 3.87 g/t over a 1 metre cut.
A potential new Homase Central Pit investigation has started.
This area is immediately to the north of the existing Homase Pit
that was mined by AngloGold Ashanti in 2002/3 and to the south of
the proposed Homase North Pit.
This area was not investigated previously due to historic
records showing a waste dump on surface immediately above the
mineralisation. However, recent field work has shown that this
waste dump may be considerably smaller than previously believed.
Accordingly, a survey of this is being considered to confirm the
amount of material needed to be moved.
Trenching at the parallel structures of Adubriem and Krodua has
been completed and the assay results are expected within the next
few weeks. These may not be retained as immediate targets, due to
their proximity to settlements, with the focus maintained on the
main Homase Trend.
Definitive Economic Plan ("DEP")
MAED is making good progress on the DEP and expects to complete
the study shortly ahead of submitting for final governmental
approval in May 2019 as previously reported. The results of the
pilot heap leach test work (referred to above) have also further
strengthened the initial thoughts of MAED, regarding the ability to
use a Gravity Recoverable Gold ("GRG") circuit to recover the
coarse gold, which has a low capital outlay and can facilitate
early revenues.
Following the results of the pilot heap leach test, some
additional samples have been taken from positions that lie within
the proposed Homase South Pit for additional coarse gold and size
fraction (gradings) analyses. This work is expected to be completed
within the next few weeks.
Figure 1: Map of the Homase Trend and Proposed Pits
http://www.rns-pdf.londonstockexchange.com/rns/8229X_1-2019-5-1.pdf
Environmental Impact Assessment ("EIA")
The EIA baseline study and report are nearing completion.
Community meetings have commenced, starting with the Bekwai
Paramount King and the Chief Executive of the Amansie Central
District Assembly. A farm survey is currently ongoing, involving
farm sizes and crops (types and sizes) for compensation
purposes.
Final DEP information will be required to complete the EIA,
ahead of its submission to the Ghanaian Environmental Protection
Agency in association with the consultant undertaking the DEP,
Optimal Development Consult ("OPDEC").
Information in this announcement has been complied and reviewed
by Klaus Kappenschneider, an independent geologist with 30 years
experience in gold mining, exploration and resource estimation.
Klaus is a member of the Association of Professional Geoscientist
of Ontario (APGO), is a Competent Person (JORC, SAMREC, PEMREC) and
a Qualified Person (NI 43- 101) and accordingly, is a qualified
person as required under the AIM Rules.
For further information please visit www.goldstoneresources.com
or contact:
GoldStone Resources Limited
Emma Priestley Tel: +44 (0)20 7236 1177
Strand Hanson Limited
Richard Tulloch / James Tel: +44 (0)20 7409 3494
Bellman
SI Capital Limited
Nick Emerson Tel: +44 (0)1483 413 500
St Brides Partners Ltd
Catherine Leftley / Juliet Tel: +44 (0)20 7236 1177
Earl
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulations (EU) No. 596/2014.
- ENDS-
About GoldStone Resources Limited
GoldStone Resources Limited (AIM: GRL) is an AIM quoted
exploration company with projects in Ghana, Senegal and Gabon that
range from grassroots to advanced exploration.
The Company is focused on developing the Akrokeri-Homase project
in south-western Ghana, which hosts a JORC Code compliant 602,000
oz gold resource at an average grade of 1.77 g/t. The existing
resource is confined to a 4km zone of the Homase Trend, an >8km
gold-in-soil anomaly within the Akrokeri-Homase Licences.
The project hosts two former mines, the Akrokerri Ashanti Mine
Ltd, which produced 75,000 oz gold at 24 g/t recovered grade in the
early 1900s, and the Homase Pit which AngloGold Ashanti developed
in 2002/03 mining 52,000 oz gold at 2.85 g/t overall head grade. It
is the Company's intention to build a portfolio of high-quality
gold projects in Ghana, with a particular focus on the highly
prospective Ashanti Gold Belt.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
UPDKMGGKGMKGLZZ
(END) Dow Jones Newswires
May 02, 2019 02:00 ET (06:00 GMT)
Goldstone Resources (LSE:GRL)
Historical Stock Chart
From Apr 2024 to May 2024
Goldstone Resources (LSE:GRL)
Historical Stock Chart
From May 2023 to May 2024