Sacre-Coeur Minerals starts gold production in GuySacre-Coeur Minerals starts gold production in Guyana
2009-12-14 04:33 ET - News Release
Mr. Gregory Sparks reports
TEST MINING BEGINS AT SACRE-COEUR'S MILLION MOUNTAIN ALLUVIAL ZONE 2 IN GUYANA
Set-up and commissioning of Sacre-Coeur Minerals Ltd. alluvial plant have been completed, and successful gold production operations have now commenced. Initial results appear to exceed original expectations for metallurgical recovery, particularly with respect to recovery of very fine gold. Samples from the first operating shifts will be analyzed to characterize the size distribution and tenor of the gold recovered. Plant feed grade, concentrate and tailings will be systematically sampled through January, 2010, operations to confirm initial observations. Gold produced will be refined and delivered for sale to the Guyana gold board beginning in January, 2010, following its reopening after the holidays, after which calculated plant feed grade for December production will be determined.
Mining was initiated in the lower-grade, southern margin of Million Mountain alluvial zone 2 to permit plant operating personnel to become thoroughly familiar with operating procedures and equipment prior to processing higher-grade feed. Alluvial zone thickness and character as well as stripping ratio for the area of mining start-up was consistent with expectations based on the previously announced test-pitting program at 1.5-metre alluvial zone thickness and 1.33:1 strip ratio. In January, mining will begin advancing to the north into the higher-grade heart of the Puruni paleo-channel in a series of successive pushbacks of the north pit wall. As mining progresses to the north into the main paleochannel, alluvial zone thickness is expected to increase to approximately two to 2.5 metres and stripping ratio is expected to decrease to 0.5 to 0.8:1. Overburden from the pushbacks along with tailings from the alluvial plant will be deposited on the retreating side of the mining front restoring the land surface to approximate premining elevation as mining advances to the north.
Concurrent with initiation of production operations, site security using the services of a security contractor was begun on a 24-hour-per-day/seven-day basis.
Irwin Olian, chief executive officer of the company, adds: "We are delighted to achieve this important milestone in the development of the company. Plant commissioning and the start-up of alluvial test mining operations pushes us closer to positive cash flow and financial independence, two of our important longer-term goals. We are very grateful to our team of mining professionals on site in Guyana headed up by Greg Sparks, for their hard work and effectiveness in importing, assembling and commissioning our initial plant in very short order. We look forward to our first gold pour in the near future."
Assay data
The company uses Loring Laboratories -- Guyana, a subsidiary of Loring Laboratories Ltd., of Calgary, Alta., to analyze its core samples from prospect drilling programs as well as alluvial samples from test pits and auger drilling. Splits of all samples prepared are retained for check assay by ALS Chemex facility in Vancouver, B.C., as warranted. All samples returning a value of one gram per tonne (g/t) Au or greater for the minus-200-mesh pulp also have the plus-200-mesh-screened fraction analyzed for coarse metallics.
The company also uses Loring Laboratories -- Guyana, a subsidiary of Loring Laboratories Ltd., of Calgary, Alta., to analyze geochem and other field samples. Splits of every 10th sample and splits of all samples returning assay of greater than five g/t Au are sent to ALS Chemex facility in Vancouver, B.C., for check assay.
Technical staff
The company's mining and exploration program is overseen by Mr. Sparks, PEng, senior vice-president, mining and exploration for the company. Exploration is directed by Henry Salvado, chief geologist -- Puruni district. The alluvial exploration program is headed by Salim Sillah, assisted by Luis Gana, Wilmar Ladia and Bjorn Jeune, all senior project geologists. Ardito Martohardjono, a director of the company and laboratory specialist, provides assistance establishing lab protocols and sample handling and assay quality control. Mr. Sparks and Mr. Salvado are qualified persons under National Instrument 43-101.