Thursday 8 September 2011

Kentor Gold on track for first gold pour in mid 2012 at Burnakura in Western Australia

Kentor Gold (ASX: KGL) is targeting a gold resource boost in a new drilling campaign at the Burnakura Gold Project in Western Australia, with the project forecast for the first gold pour in mid-2012.

The project already hosts an Inferred Resource of 10.6 million tonnes at 1.5 grams per tonne (g/t) gold for 516,000 ounces at a 0.5g/t cut off.

This includes the high grade component of 3.2 million tonnes at 2.9g/t for 298,000 ounces at a 1.5 g/t cut off.

Kentor will kick off an 8000 metre reverse circulation drilling program next month, having already received a works approval, which is designed to increase the confidence in the areas where production is planned to commence.

The drilling will follow the current 60 hole air core program designed to test structural targets adjacent to the magnetic anomaly north of the existing NOA open pits at Burnakura.


Road to production

The first gold pour at Burnakura has been forecast by Kentor to be in mid-2012, and remains on track.

A contract has been awarded for refurbishment and recommissioning of the mine plant and for dismantling and transporting the equipment from the Indee Gold mine to Burnakura.

The CIP processing plant at Burnakura is being recommissioned and expanded, with the additional plant and equipment acquired from the Indee site to facilitate the re-start at Burnakura.

Importantly the upgraded Burnakura plant will now have a gravity circuit to recover free gold with stripping plant and gold room relocated from Indee enabling gold production on site.

A throughput of 250,000 tonnes annually is being targeted as stage one of the expanded operation, with planning and design consideration given to the future stage two expansion target of 500,000 tonnes per year.

Originally published at: http://www.proactiveinvestors.com.au/companies/news/19465/kentor-gold-on-track-for-first-gold-pour-in-mid-2012-at-burnakura-in-western-australia-19465.html

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