12/11/2019 - 15:31

Pantoro puts $25m price tag on plant refurbishment

12/11/2019 - 15:31

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Gold producer Pantoro announced it has completed a processing plant options review and scoping estimate at the Norseman processing facility in Western Australia.

Pantoro puts $25m price tag on plant refurbishment
A recent study has estimated an early cost of $25.5 million to refurbish and rebuild the Norseman processing facility.

Gold producer Pantoro announced it has completed a processing plant options review and scoping estimate at the Norseman processing facility in Western Australia.

The study, carried out by Como Engineers, has estimated the plant to produce a nominal 800,000 tonnes per year, depending on commination properties of blended ore feed.

It has also estimated a 33-week construction program from commencement.

The early estimated cost to refurbish and rebuild the plant is $25.5 million, and includes an estimated $11.3 million refurbishment and relocation of items within the plant.

Pantoro said equipment, including the crusher and mills in existing circuits, are to be retained and refurbished while all concrete, structures, electrical and services components are to be replaced with new materials.

The crushing circuit and ROM pad will be left in its current location while the remainder of the plant will be relocated to the south of the existing plant.

Pantoro managing director Paul Cmrlec said the outcome of the study has provided the company with a clear way forward for reconstruction of the Norseman gold project.

“The large amount of existing infrastructure at the site provides a major reduction in capital costs for the project, and the review confirms our pre-acquisition cost assumptions,” Mr Cmrlec said.

“We look forward to commencing the definitive plant design and cost calculation in the new year.

“The project is advancing as expected as we progress towards re-commencement of production.”

Pantoro said existing site infrastructure and services outside of the processing plant are suitable for use and greatly reduce capital costs.

Shares in Pantoro were up 3.45 per cent to trade at 15 cents per share, as at 3:55pm AEDT.

 

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