AngloGold’s (AU) Iduapriem (Ghana) seeks gold boost
Allan Seccombe -- MiningMX
Posted: Thu, 27 Apr 2006
[miningmx.com] -- ANGLOGOLD Ashanti’s Iduapriem mine in Ghana will increase gold output to between 220,000 and 250,000 oz by 2008 through a R25m upgrade of its plant, MD David Renner said during a media visit to the mine.
However, efforts to cooperate with neighbour Tarkwa, which is owned by Gold Fields, has not resulted in an agreement as yet. “We have spoken to Gold Fields about cooperative arrangements but nothing has come out of it,” said Renner. “We share a boundary so there are always opportunities but nothing is in the public domain yet.”
Iduapriem, 85% owned by AngloGold Ashanti, is conducting a feasibility study into expanding its carbon-in-pulp plant through the addition of a new crushing plant and another mill, he said. “We are in the final stages of a feasibility study and the call will be made by the middle of this year,” he said. The total cash costs are expected to be reduced by between 10% and 15%.
Iduapriem produced a total of 205 000 oz of gold in 2005 at a total cash cost of $348 an ounce. Its management expects to produce an attributable 185 000 to 193 000 oz this year at costs of $302 to $324 per oz.
Iduapriem’s 2006 capital expenditure of $15m is intended to increase the size of tailing dam walls and upgrading the crushing plant and milling circuit. The $25m expenditure on the carbon-in-pulp will be funded from this year’s budget and next, Renner said.
Iduapriem has 2.5 million oz of reserves, giving it a twelve year life. It has measured resources of 2.2 million oz. An underground scoping study is underway to measure what gold is below its open pits. “It is at a very early stage and we can’t yet say what it will add,” Renner said.
“The deposit goes down five hundred to seven hundred metres and it should take a year to gather firm data on the deposit,” he said.
This potential ore body is not reflected in either the reserve or resource statements, he added.
The hightening of the tailing dam walls, which are old mined out pits, will extend their life to 2009 at which point new dump river will need to be found.
