Perth-based Resolute Mining Ltd expects to double its levels of annual gold production to around 500,000 ounces by mid-2009, primarily driven by its Syama mine in Mali, the company has announced.
The full text of an announcement made on behalf of Resolute is pasted below
A near doubling in annual gold production by mid 2009 to around 500,000 ounces from 260,000 ounces currently has been forecast by ASX-listed Resolute Mining Ltd.
The production boom will be driven primarily by the Company's Syama mine in the African state of Mali.
However, a major expansion at its Ravenswood open pit and nearby Mt Wright underground mining operations in Queensland, where $30 million in development has been spent since July last year to lift outputs, will also be key contributors.
Addressing the first day in Perth today of the 2007 Paydirt Africa DownUnder Conference, Resolute Mining's Chief Executive Officer, Mr Peter Sullivan, said the doubling in output should be brought to account as scheduled as a result of the Company's "on track" $200 million capital expansion program.
"Syama will be our key project going forward and we have spent some $45 million there in the past 12 months with more to come to achieve mine commissioning by 2008," Mr Sullivan said.
"We have changed the processing method to a concentrate roast methodology and expect to have Syama oxides in production in the first half of next year and the sulphide ores from the second half of 2008."
Of the Company's Golden Pride gold mine in Tanzania, Mr Sullivan said the completion of the pit re-optimisation this year should add four years life to the project which produced 138,000 ounces in 2006-2007.
"We expect both an improvement in production and a reduction in cash costs from Golden Pride's current levels of around US$403 an ounce as we access better grade material from the bottom of the open pit," Mr Sullivan said.
