Roxgold Produces 27,970 Ounces of Gold at Yaramoko in Q2 Roxgold Produces 27,970 Ounces of Gold at Yaramoko in Q2 and Remains on Track to Achieve Upper End of Annual Production Guidance
Toronto, Ontario – July 25, 2017 – Roxgold Inc. (“Roxgold” or the “Company”) (TSX: ROXG) (OTC: ROGFF) is pleased to announce second quarter (“Q2”) production of 27,970 ounces of gold from the Company’s Yaramoko Gold Project located in Burkina Faso (“Yaramoko” or the “Project”).
Highlights:
- 2,876,897 hours worked Lost Time Injury (“LTI”) free at Yaramoko
- 27,970 ounces of gold produced at the Yaramoko Gold Project in Q2 ahead of expectations
- 63,564 ounces produced at Yaramoko in H1 which puts the Company on a strong footing to achieve the upper end of its guidance range of 105,000 -115,000 ounces for the full 2017 year
- Significantly upgraded Mineral Resource Estimate for Bagassi South released during the quarter (see press release dated July 19, 2017)
- Early construction works commenced at site to facilitate the Bagassi South expansion project
- Bagassi South feasibility study on track for delivery in Q4
- Three drill rigs between the 55 Zone, Bagassi South and along the newly developed targets on the Bagassi Corridor
“Another solid quarter of production above expectations at Yaramoko has put us on track to meet the upper end of our annual production guidance,” commented John Dorward, President and CEO of Roxgold. “With first half production of over 63,500 ounces, we are well placed to meet guidance of 105,000 -115,000 ounces for the full year. In addition, the feasibility study for our Bagassi South expansion project is on track for delivery in Q4 and we are excited by its prospects to build upon the recently upgraded resource estimate.”
Operating Highlights
Yaramoko mined 66,044 tonnes of ore at 11.69 g/t Au with 2,085 metres of development completed. The plant processed 65,159 tonnes at an average head grade of 12.78 g/t Au. Plant availability was 94% and overall recovery was 99.0% during the quarter. Similar grades are anticipated to be mined in Q3 with higher grade material scheduled for the latter part of the year.
By end of Quarter, underground development had reached the 5083 RL, some 230 meters below surface. Waste development continues to exceed plan and is providing a significant amount of flexibility to the operation going forward and with seven stoping faces operating at quarter end, the mine is well positioned to deliver in the second half of 2017 as well as in 2018 and beyond.
During the quarter, the Company progressed the Bagassi South feasibility study on a number of fronts. Highlights from the work plan of Q2 included:
- Commencement of construction works associated with the camp expansion to accommodate construction and additional future operational personnel
- Completed a program to increase the capacity of the existing Water Storage Facility to augment plant water supply
- Completion of geotechnical and hydrology drilling and definition programs for consideration in mine design and planning activities
- Following the completion of the infill drilling program, detailed mine design activities commenced
- Progression of ESIA documentation to support final permitting
During the quarter, Roxgold completed an Infill and Expansion drilling program at Bagassi South, located 1.8 kms south of the 55 Zone. The 136 hole program was primarily designed to increase the confidence of the resource estimate at the QV1 structure and to commence extending the adjacent QV Prime structure.
The updated Mineral Resource Estimate features an indicated mineral resource of approximately 352,000 tonnes at 16.6 g/t Au for 188,000 ounces and inferred resource of approximately 130,000 tonnes at 16.6 g/t Au for 69,000 ounces (see press release dated July 19, 2017).
The updated Mineral Resource Estimate will be incorporated into a feasibility study for the Bagassi South expansion project which is due to be completed in Q4.
Exploration Update
At 55 Zone, a further round of drilling, totaling approximately 11,000 meters was commenced in the second quarter and will continue into the third quarter. The 55 Zone deep drilling program is primarily targeting resource growth at depth, below and west of the Q4 2016 drilling program which featured the widest interval ever drilled at Yaramoko in Hole YRM-16-DD-426 of 20.1g/t Au over 23.8 meters (see press release dated November 29, 2016).
In addition, a Phase 1 drilling program totalling approximately 6,000 meters is also underway along the Bagassi Corridor between the 55 Zone and Bagassi South, including the QV1 Extension and the Ridge Line targets. Drilling programs are scheduled to continue during the third quarter with three drill rigs between the 55 Zone, Bagassi South and along the Bagassi Corridor.
A comprehensive geophysical programme is also being completed which is yielding additional targets at the Houko, Haho and Boni Shear areas which will be drilled in the second half of the year.
https://www.roxgold.com/roxgold-produces-27970-ounces-of-gold-at-yaramoko-in-q2-and-remains-on-track-to-achieve-upper-end-of-annual-production-guidance/