RSS UpdatesCompany Information for Resolute Mining Ltd
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 ASX; RSG
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Company Statement
Resolute is building shareholder value through its strength as a successful developer and operator of quality gold projects. Its projects to date have yielded over 4.8 million ounces (149 tonnes) of gold. The Company is actively progressing its portfolio of projects to further enhance shareholder value.
Current Operations
Golden Pride
The Golden Pride mine is located in Tanzania, East Africa, 750km north-west of the port of Dar es Salaam and 200km south of Lake Victoria. Resolute has a 100% interest in the project through its Tanzanian subsidiary, Resolute (Tanzania) Limited.
Operations
The 2008 financial year produced 150,224 (2007: 138,421) ounces of gold at a cost of US$449 (2007: US$403) per ounce.
Plant throughput remained steady at 2.5 million tonnes at an average head grade of 2.04g/t (2007: 1.94g/t) and a recovery rate of 90% (2007: 88%).
Gold production increased from the previous year with increased grade from the open pit together with a steady increase in recoveries on the harder sulphide ores. Blending of the low grade oxide ore assisted with the gold recovery. Cost per ounce has increased largely due higher mining costs with a change of contractor and mining ore at depth, greater wear on grinding and mill components and higher costs of labour and consumables.
The open pit mined 3.8 million cubic metres of material at a strip ratio of 4.8:1, with the majority of the waste mined from the central cutback. Mining delays through the year, due to adverse weather conditions, meant the mining of ore from this pit will now commence towards the beginning of 2009. All the ore for the year has been mined from the western (main) pit at depth. This section of the pit has a limited mining area and was subject to several flooding events through the year which affected ore production. Higher grades in line with expectations have been mined from the main pit during the year.
The Golden Pride mine has now produced in excess of 1.55 million ounces of gold since commissioning in 1998.
Outlook
The coming year will see a decrease in gold production with the western (main) pit ore production completed during the 1st quarter and the central pit ore production commencing in the 3rd quarter. Low grade stockpiles will supplement mill feed during the hiatus in the 2nd quarter.
Waste stripping of the central pit will continue and later in the year the stripping of the next phase of mining on the western pit will commence.
The mining contractor has mobilised additional key equipment to site to maintain higher availabilities on mining equipment and achieve the scheduled production from the open pit.
Plant throughput and recoveries are expected to continue with controlled blending of low grade ore and higher grade ore from the pit. This also has the benefit of reduced wear on mill components and assists with the plant kinetics.
Additional ore feed from satellite pits within the project area and surrounds will be investigated to reduce the impact of reduced mined ore from the current open pit.
Ravenswood
The Ravenswood gold mine is located approximately 95km south-west of Townsville and 65km east of Charters Towers in north-east Queensland. Resolute has a 100% interest in the mine through its subsidiary Carpentaria Gold Pty Ltd.
Ore for the Ravenswood Operations was sourced from the Sarsfield open pit, the low-grade screening plant and the Mt Wright underground mine. The ore is treated using conventional three stage crushing, ball-milling and carbon-in-pulp (CIP) processing at the rate of 5Mtpa.
Operations
During the 2007-8 financial year the operation produced 142,833 (2007: 117521) ounces of gold at a cash cost of A$ 743 (2007: A$ 781).
Improvements were made in tonnes milled at 5.0 (2007: 4.6) million tonnes and recovery at 83% (2007: 79%). The improvement in tonnes can be attributed to a 7% improvement in the processing plant’s availability and elimination of sanding problems with the installation of the new agitators. The improvement in recovery can be attributed to a 7% improvement in head grade and improved
agitation in the leach tanks.
Increased costs associated with major reagents and consumables had a negative impact on the cash cost per ounce.
The Mt Wright Project continues to progress to expectations and to-date diamond infill drilling is identifying additional ore tonnages compared to the feasibility study model.
Outlook
With the completion of the east cut-back in the Sarsfield pit and mining focusing on the higher grade final stage of the pit combined with increasing amounts of Mt Wright underground ore, it is expected that overall head grade will improve over the 2008-9 financial year.
The processing plant is expected to continue to run consistently with improved throughput and recoveries.
The Sarsfield Open Pit is expected to be completed by the 3rd quarter and ore will then be sourced from low-grade stockpiles to be blended with Mt Wright ore.
Gold production is expected to improve during the coming financial year due to improved head grade. This will also have a beneficial effect on the cash cost per ounce.
Syama
The Syama Gold Project is located in the south of Mali, West Africa approximately 30kms from the Côte d’Ivoire border and 300km southeast of the capital Bamako. Resolute has an 80% interest in the project through its equity in Sociętę des Mines de Syama S.A. (SOMISY). The Malian Government holds a 20% interest in SOMISY, 15% of which is free carried.
Project Activities
Project activities have continued during 2007-2008, and at the end of June 2008, have culminated in the construction completion of the oxide processing plant, which is currently undergoing commissioning activities. The design of the remaining sulphide plant sections is completed, and most of the sulphide plant is at site or in transit to site. The various infrastructure elements required for processing of oxide ore; the tails dams, water supply, power station etc have been completed and are in operation. The buildings & camp facilities that required construction or refurbishment have been completed. Capital spares & consumables required for operation have been purchased and are onsite.
Exploration Overview
Resolute is committed to expanding its gold resources and production base through exploration. The main thrust of exploration activities has been on our tenure close to our existing operations or strategic joint ventures on ground that has been identified through our regional studies.
Resolute’s exploration programme continued to focus on organic growth by expanding resources around the Company’s existing operations in Mali, Tanzania and Queensland.
A ramp up of the exploration programme around the Syama Project in Mali continues to deliver excellent results with new and expanded satellite resource discoveries now totalling over 1.3 Moz with several additional targets currently undergoing resource drilling.
In Tanzania a new discovery at Kavsav, only 8km from Golden Pride, is now being systematically drilled out whilst a series of regional targets undergo reconnaissance testing in the expanded district portfolio.
Geographical Spread
Australia and Africa (Tanzania, Mali, Ghana)
Board of Directors and Key Management
| Chairman - PE Huston |
| Chief Executive Officer - PR Sullivan |
| Non-Executive Director - TC Ford |
| Non-Executive Director - HTS Price |
Company Address4th Floor
|
Additional Address/Key ContactPO Box 7232 Cloisters Square |
CapitalIssued Shares (ASX: RSG); 352 million
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Annual General MeetingNovember, Perth | Year EndJune 30 |
Major Shareholders
| Alliance Life Common Fund | 39.9% |
| Baker Steel | 8.5% |
| Acorn Capital | 6.5% |
Related News
26/11/09 - Resolute Mining Turns Syama Into A Silk Purse Stitched Together With Golden Thread08/07/09 - Resolute’s Syama Gold Project In Mali Moves One Step Closer To Its Initial 250,000 Ounces Per Year Production Target
10/02/09 - Resolute Mining Can Now See The Light At The End Of The Tunnel On The Syama Gold Mine In Mali
05/09/08 - Day Two, And The Africa Downunder Conference Crawls To A Close
22/05/08 - Third Time Lucky For Resolute Mining?
Most Recent Statement
25/02/10 - Half Yearly Report and Accounts16/02/10 - Issue of Share Options - Appendix 3B
28/01/10 - December 09 Quarterly Report
06/01/10 - Change of Director`s Interest Notices
16/12/09 - Convertible Note Interest Payment
08/12/09 - Exercise of Options