Steppe Gold confirmed it is in procurement mode for a Phase 2 expansion project at its flagship ATO mine in Mongolia with the addition of a new crushing plant.
Officials said the plant will support its output ramp-up to 150,000 ounces of gold equivalent annually by 2023 as part of its fresh rock expansion project.
“We have prioritised the expansion of crushing capacity, as it will also significantly accelerate stacking rates at the heap leach phase of the project, and this is expected to support increased gold production in late 2021 and 2022,” said President and CEO Bataa Tumur-Ochir, adding that design work has also started for its plans to expand the camp capacity and for value-added power solutions.
“With a strong balance sheet and encouraging demand from lenders we expect to accelerate capital works on our Phase 2 expansion through the second half of 2021.”
Steppe said the new crusher will have a crushing capacity of 1,000 tonnes per hour, more than triple that of the current crusher’s capacity, and the unit will have two primary jaw crushers and a cone crushing circuit. Foundation construction and installation will start in early April, with the plant scheduled to be in operation by July.
While the company did not indicate the OEM that provided the plant, it said it was coming from “a leading international supplier” at a cost of US$5 million inclusive of civil construction work, installation and testing.
Steppe owns 100% of the ATO gold operation.
Source: Steppe Gold