Minister of Natural Resources, Robert Persaud has welcomed the announcement by Guyana Goldfields Inc on the feasibility of its Aurora Gold Property but has urged it to look at ways of reverting to its original production start-up of 2014 instead of the recently announced 2015.
In a statement, the Minister said he viewed the company’s announcement of a three million ounces of gold project “as a positive move towards ensuring that Guyana remains a significant gold producer into the future using the latest, safest and green technology.” This mine according to the plan will on its own produce as much gold as the entire country produces currently.
Persaud regretted the fact that the feasibility study and mining plan saw a shift of the commencement of mining operations from 2014 to the first quarter of 2015 and urged the company to examine ways in which it can seek to revert to its original schedule of 2014.
The Minister in a meeting with company executives expressed the hope that the feasibility study and mining plan for the operation will be on schedule or even before and with “great emphasis on safety, world standard and environmentally friendly practices.”
President Donald Ramotar and Persaud were briefed on Friday by Patrick Sheridan, CEO of Guyana Goldfields Inc. on the proposed mine operation.
In a statement on Friday, the company announced that its Aurora Gold project will cost US$205 million to build, less than half an earlier estimate of US$525 million for a mine with a life of 22 years and total production of nearly 4.4 million ounces of gold.
The new mine plan calls for production of 3.29 million ounces of gold over an initial 17-year mine life at an operating cash cost of US$527 an ounce. Average annual gold production over the life of mine is expected to be 194,000 ounces, averaging 231,000 ounces a year over the first 10 years with production peaking at 349,000 ounces in 2020.
“The updated feasibility study provides very attractive returns based on a sound execution plan. The project is fully permitted and has the support of the Guyanese government. Our recent senior management hires on the operations side give us the foundation to expand our team as we continue with development and mine construction,” said Sheridan.
Guyana Goldfields Inc. is a Canada-based mineral exploration Company primarily focused on the exploration and development of gold deposits in the Guiana Shield.