Antilles Gold Limited (ASX: AAU | OTCQB: ANTMF) has advised that the scope of the proposed La Demajagua gold project has been expanded to include the production of gold doré.
The company and its Cuban partner, GeoMinera, anticipate a significant increase in profit and NPV from the decision to expand the La Demajagua Project to produce gold doré from the open pit mine’s gold-arsenopyrite concentrate, rather than selling the concentrate into a difficult market for this product.
Mr. Brian Johnson, executive chairman of Antilles Gold commented “The concept of adding the production of gold doré to the La Demajagua project will not only increase its profitability but will de-risk the mine development in a market where it is becoming increasingly difficult to place all of its annual production of gold arsenopyrite concentrate through reliable, long term offtake arrangements.”
Further, the commodities trader that the joint venture company, Minera La Victoria (MLV), has been dealing with has advised that due to reducing availability of excess processing capacity in plants outside of China, it cannot commit to purchasing 100% of the mine’s output of gold arsenopyrite concentrate.
To address this problem, MLV now proposes to establish a concentrate processing facility at the mine site based on a 75,000tpa two-stage fluid-bed roaster that will oxidize 50,000tpa of La Demajagua gold arsenopyrite concentrate, and 25,000tpa of gold pyrite concentrate imported from regional mines.
“The expanded project will increase the financial returns for the project, increase the certainty of its development, and should be attractive to potential investors in Minera La Victoria.” Said Mr. Johnson.
To find out more, please visit www.antillesgold.com.au
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