31st May 2019 11:27
LONDON (Alliance News) - Trans-Siberian Gold PLC said Friday its total declared resource at the Asacha deposit in Russia has declined due to mining depletion and the re-interpretation of the main veins.
Shares in Russian gold producer were down 8.3% at 51.79 pence in morning trade.
The measured, indicated, and inferred mineral resource as at the end 2018 was 553,000 ounces of gold and 1.3 million ounces of silver, dropping from 651,000 ounces of gold and 1.6 million ounces of silver at the end of 2017.
Mining depletion accounted for a 48,000 ounce reduction in gold and 154,000 ounce reduction in silver from the mineral resource model.
However, the remaining 50,000 ounce reduction in the declared gold resource and 170,000 ounce reduction in the declared silver resource were the result of a substantial development which "led to a re-interpretation of a large volume of the main veins QV1 and QV2".
These veins were previously estimated in 2013 but new data permitted a 3D estimate of almost all of QV2, barring small areas.
For the last three years, Trans-Siberian's mineral resource model under-predicted the contained mental but in 2018 over-predicted by 7%.
In 2019, Trans-Siberian will undertake underground and surface drill campaigns. Around 4,700 metres of surface drilling will take place in total, with another 8,500 metres underground.
Carrie Nicholls, a senior evaluation geologist at Seequent UK Ltd, prepared the report and said: "Based on the presence of the operating mine and mill, existing mine economics, the potential for incremental development access to deeper and more distal parts of the orebody, and the potential for further exploration success... all of the vein resources defined at Asacha have a reasonable prospect of eventual economic extraction."
Trans-Siberian also announced the immediate appointment of Eugene Antonov to its board as chief operating officer. Antonov has been COO of the company in a non-board capacity since August 2018.
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