16th Jan 2014 10:17
LONDON (Alliance News) - Shanta Gold Ltd Thursday increased its resources for the Bauhinia Creek and Luika targets at its New Luika Gold Mine in Tanzania.
The East Africa-focused gold production and exploration company said it has increased its on-site indicated mineral resource for Bauhinia Creek and Luika by 9% to 692,000 ounces with an average grade of 5.5 grams per tonne.
The company said it now has a total open-pit mineral resource of 2.6 million tonnes at 5.9 grams per tonne with a 1.1 grams per tonne cut-off grade, representing 501,000 ounces, and a total underground mineral resource of 2.4 million tonnes at 4.5 grams per tonne at a 3.0 grams cut-off grade, representing 347,000 ounces.
Shanta Gold said its probable ore reserve at New Luika is now 2.56 million tonnes at 6.0 grams per tonne, representing 487,000 ounces, an increase from its previous ore reserve of 2.46 million tonnes at 6.1 grams per tonne for 479,000 ounces of gold.
The company said the new estimates are likely to support an increase in the life of mine at New Luika, and work is currently ongoing to assess the two targets and seven other targets at New Luika.
Shanta Gold shares were down 1.0% to 12.00 pence Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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