African Gold Group Finalizes Optimized Flowsheet for Its Fully Permitted Flagship Kobada Gold Project; A Critical Milestone f...
24 February 2020 - 11:00PM
African Gold Group, Inc. (TSX-V: AGG) (“
AGG” or
the “
Company”) is pleased to provide an update on
the comprehensive metallurgical testwork program undertaken as part
of the Definitive Feasibility Study (“
DFS”) for
the Kobada Gold Project in Southern Mali.
- Results of the optimized testwork show significantly
improved gold recovery, low operating costs based on a simple
process flowsheet, an oxide only process plant and low reagent and
power consumption.
- Completion of the metallurgical testwork and optimized
flowsheet are crucial milestones in delivering the updated DFS,
which builds on the 2016 feasibility study.
- A focused drilling campaign of 11,000m has been
completed and results are being updated into the new geological
resource model. Depending on the outcome of these better than
expected results, the company will make a decision on upgrading the
project to a 100,000oz per year operation.
- Process plant design is modular to enable flexibility
between a 50,000oz and 100,000oz project with no difference to
project delivery date.
- The Company is targeting to deliver the DFS in Q2
2020.
“The conclusion of the bulk of the detailed
metallurgical testwork, and updated process plant design is a major
step forward in finalizing the DFS,” says Danny Callow, Chief
Operating Officer of the Company. “The optimized plant shows a huge
improvement in gold recovery, a simple process technology
requirement and a very flexible design. Coupled with this, all
equipment is sized to be off-the-shelf with minimal lead times to
enable an expedited construction process through to delivery of
first gold, whilst minimizing capital and operating costs.”
The Kobada Gold Project is a fully licensed and
permitted advanced development project located in the prolific
Birimian Greenstone belt in Southern Mali. The Company is working
towards delivering the DFS in Q2 2020 as a part of the final
process before commencement of construction.
As part of the DFS, SENET has overseen a
detailed testwork campaign with a strong focus on the
following:
- Comminution testwork to determine the front-end crushing and
milling requirements;
- Gravity gold recovery optimization;
- Reagent consumption;
- Leach recovery;
- Leach residence time; and
- Cyanide detoxification.
Based on the metallurgical test results, an
upgraded and optimized circuit has been designed, which
includes:
- A significant improvement in process gold recovery as part of
the optimization process;
- An oxide only process due to the large oxide orebody available
for exploitation and further significant exploration upside in
oxide mineralization;
- A simplified front-end crushing and milling design with minimal
power requirement;
- Zero deleterious elements in the ore; and
- Very low cyanide and lime consumption.
Based on the testwork to date, the Company is
running a parallel design processes for a 50,000oz process plant
and a 100,00oz process plan, both of which would be scalable. The
Company will make a final decision on the scale of the process
plant depending on the outcome of the updated resource-reserve
model. The process plant will utilize proven, efficient technology
already operating effectively at many West African gold mines.
“SENET has been involved in many design,
construction, commissioning and ramp-up projects of identical
technology process plants in West Africa over the past 25 years,”
states SENET Process Director, Philemon Bundo. “Based upon our
comprehensive testwork program we are very confident that the
Kobada plant will be a very straightforward, efficient and low-cost
process plant able to comfortably produce nameplate gold per annum.
The process plant is being designed in a modular fashion to allow
future expansion without any process disruptions to the phase 1
plant, and minimal upgrades required to increase production.”
Metallurgical testwork to further optimize the
process efficiency and to focus on minimizing capital and operating
costs is ongoing and expected to be complete by February 2020.
About African Gold Group
African Gold Group is a Canadian listed
exploration and development company on the TSX Venture Exchange
(TSX-V: AGG) with its focus on developing a gold platform in West
Africa. Its principal asset is the Kobada Project in southern Mali.
For more information regarding African Gold Group visit our website
at www.africangoldgroup.com.
For further information please
contact:
Stan BhartiPresident and Chief Executive
Officer(416) 861 2267
Daniyal Baizak VP Corporate Development (416)
861 2966
Forward-Looking Statements
This press release contains "forward looking
information" within the meaning of applicable Canadian securities
legislation. Forward looking information includes, but is not
limited to, management’s, the Company’s development and exploration
plans for the Kobada Gold Project, expectation of grade and
resources at the Kobada Gold Project, the timeline for delivery of
the DFS , completion of metallurgical testwork and the updated
resource-reserve model, expectations for mineralization and
location of extensions at the Kobada Gold Project and expected
mining methods at the Kobada Gold Project, and other
statements with respect to the future plans or intentions of the
Company. Generally, forward looking information can be identified
by the use of forward-looking terminology such as "plans",
"expects" or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", “aims”, "intends",
"anticipates" or "does not anticipate", or "believes", or
variations of such words and phrases or state that certain actions,
events or results "may", "could", "would", "might" or "will be
taken", "occur" or "be achieved". Forward-looking information is
subject to known and unknown risks, uncertainties and other factors
that may cause the actual results, level of activity, performance
or achievements of the Company to be materially different from
those expressed or implied by such forward-looking information,
including but not limited to: general business, economic,
competitive, geopolitical and social uncertainties; the actual
results of exploration activities; regulatory risks; risks inherent
in foreign operations; and other risks of the mining industry.
Although the Company has attempted to identify important factors
that could cause actual results to differ materially from those
contained in forward-looking information, there may be other
factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such information will
prove to be accurate, as actual results and future events could
differ materially from those anticipated in such statements.
Accordingly, readers should not place undue reliance on forward
looking information. The Company does not undertake to update any
forward-looking information, except in accordance with applicable
securities laws.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS
REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE
POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR
THE ADEQUACY OR ACCURACY OF THIS RELEASE.
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