CHINA Gold International Resources has completed the phase II series I expansion project at the Jiama Polymetallic Project in Tibet Autonomous Region. The company expects the project will ramp up to full daily capacity of 22,000 tonnes by July 2017.
|The Jiama mine recently hosted a Lhasa government delegation aimed at promoting the development of industry. The delegation was led by Guo Guo, Deputy Secretary of the Lhasa Municipal Committee and Mayor of Lhasa.|
The phase II expansion consists of two series with each having a daily mining and mineral processing capacity of 22,000 tonnes. Commissioning of series I was due to begin in December 2016 and this will increase daily nameplate capacity from 6000 tonnes to 28,000 tonnes.
In its September quarter report, China Gold said that total gold production of 235,000 ounces and copper production of 38.6 million pounds was expected in 2016. The company operates the Jiama project as well as the CSH Gold Project in Inner Mongolia Autonomous Region.
During the quarter copper production at Jiama increased by 23% to 4836 tonnes from 3934 tonnes for the corresponding period of 2015. Revenue for the quarter was US$31.2 million, down from $37.5 million in the 2015 period.
The cash production cost of copper per pound at Jiama decreased 15% and total production cost of copper per pound decreased by 9% for the three months due to higher copper grade and higher volume of by product gold sold in copper concentrate.
Gold production at CSH decreased to 46,654 ounces, down from 57,981 ounces in the 2015 quarter with the decrease attributed to lower grades of ore mined. Gold sold from CSH totalled 59,610 ounces for the 2016 third quarter, compared to 56,741 ounces for the same period in 2015 while revenue was US$78.4 million, up from $62.4 million in the corresponding 2015 period.
At CSH the cash production cost and total production cost of gold for the three months ended September 30, 2016 increased compared with the same period in 2015 due to higher waste rock removal costs.
China Gold said that to fulfil its growth strategy, it was working with parent company China National Gold and other interested parties to identify potential international mining acquisition opportunities, namely projects outside of China, which are in production or can be readily and quickly brought into production with the possibility of further expansion through continued exploration.