Patagonia Gold PLC Cap-Oeste Project Operations Update (7994N)
29 October 2016 - 3:39AM
UK Regulatory
TIDMPGD
RNS Number : 7994N
Patagonia Gold PLC
28 October 2016
28 October 2016
Patagonia Gold Plc
("Patagonia Gold" or the "Company")
Cap-Oeste Project Operations Update
Patagonia Gold Plc, the mining company with gold and silver
projects in Argentina, Chile and Uruguay, is pleased to provide an
update on its open pit mine and heap leach processing facility at
Cap-Oeste (the "Project").
Gold and silver production has commenced at the Project, with
the first pour of doré completed on 27 October 2016. Mining of the
orebody to date has loaded approximately 100,000 tonnes of ore to
the heap leach pad which is now under irrigation and leaching. The
mine and plant are fully commissioned and ramp-up to full
production capacity is complete. The commissioning was accomplished
with only minor delays and full leaching capacity was realised with
the first three weeks of operation. Initial metal recoveries are
being achieved in line with expectations with cyanide consumption
being at approximately 50% less than the original estimate.
The forecast production for the Project during the 24 month
expected life of mine is estimated to be approximately 82,000 oz
AuEq, with potential to increase the mine life with supply from
satellite deposits such as Monte Leon. In addition, optimisation
for the Project is ongoing, with options to increase the initial
pit size being considered and work is also ongoing in respect of
the underground mine at Cap-Oeste and COSE. Further updates in this
regard will be made as appropriate.
Carlos Miguens, Chairman commented: "We are pleased that the
construction of the mine and plant at Cap-Oeste was completed
within budget and on schedule, resulting in a smooth transition of
operations from Lomada to Cap-Oeste. Our focus as we progress will
be growth of the resource base and development of our
projects."
Ends
About Patagonia Gold
Patagonia Gold Plc is a mining company that seeks to grow
shareholder value through exploration, development and production
of gold and silver projects in the southern Patagonia region of
Argentina. The Company is primarily focused on three projects: the
flagship Cap-Oeste/COSE project, the La Manchuria project and the
Lomada heap leach project. Patagonia Gold, indirectly through its
subsidiaries or under option agreements, has mineral rights to over
220 properties in several provinces of Argentina, Chile and
Uruguay.
Matthew Boyes, (BSC. Geology, Fellow AusIMM) Chief Operating
Officer for Patagonia Gold PGSA and a qualified person as defined
in Canadian National Instrument 43-101, has reviewed and verified
all scientific or technical mining disclosure contained in this
press release.
For more information, please contact:
Christopher van Tienhoven, Chief Executive Officer
Patagonia Gold Plc
Tel: +54 11 5278 6950
Richard Tulloch / Ritchie Balmer
Strand Hanson Limited (Nominated Adviser and Broker)
Tel: +44 (0)20 7409 3494
This announcement contains inside information.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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