Gryphon Minerals says its Banfora gold project in Burkina Faso will cost $US208 million to develop, with first production from the mine to occur in the fourth quarter of 2014.
Perth-based Gryphon released a bankable feasibility study for the Banfora project today, which flagged annual production of 151,000 ounces of gold for the first 5 years, with average cash costs of $US734 per ounce.
The mine will have a construction period of 15 months, Gryphon said.
“The completion of this BFS is a significant step towards the Banfora gold project becoming a major mining operation and towards Gryphon’s transformation into a gold producer,” managing director Steve Parsons said.
“The BFS confirms the viability of this low risk, conventional open pit CIL operation.
“Gryphon will continue to work closely with all stakeholders, including the Burkina Faso government and local community, as it focuses on full funding and development of the Banfora Gold project and obtains all the necessary approvals to commence construction over the coming months.”
At close of trade today, Gryphon’s stock was up 4 per cent, trading at 51.5 cents.
