News

July 10, 2008

Tianshan Goldfields Gets Ready To Move On Its First Mine Up At Gold Mountain

By Our Man in Oz

The temperature is rising in Yining and the days are long - perfect conditions for crews drilling Tianshan Goldfields’ Gold Mountain project in north-west China. Within a couple of weeks news from the field should be transferred to the Australian stock market where Tianshan is a leading light among the new breed of China-focussed goldminers, and one of the most likely to succeed. The rising tide of news from Tianshan Goldfields will swell further after a board meeting in the third week of July. That’s when the go-ahead for a full feasibility study on Gold Mountain should be given, a formality in a way because it will follow on from receipt of a pre-feasibility study which is being spruced up now for directors, but which is understood to show that the project will be a very profitable starter mine for Tianshan.

Details will have to wait for the board to sign off, but Minesite’s Man in Oz understands that there are no impediments at this stage to a planned development costing between US$50 million and US$70 million. The project should yield upward of 100,000 ounces of gold a year at a cost to rival the best that China has to offer - somewhere close to the US$367 an ounce that Canadian-listed Jinshan Gold Mines is getting at its Chang Shan Hao 217 (CSH) goldmine. Even suggesting a parallel with CSH is...