Business
Wesdome Gold Mines Ltd. - Mill upgrading intensifies as Mishi mine stockpile grows, contractor mining activities temporarily suspended
TORONTO , June 17, 2013 /CNW/ - Wesdome Gold Mines Ltd (TSX: WDO) announces that it is c...
About this update from Wesdome Gold Mines Ltd.
[{"type":"text","content":"\n\n\nTORONTO, June 17, 2013 /CNW/ - Wesdome Gold Mines Ltd (TSX: WDO)\n announces that it is currently fast tracking a multi-pronged milling\n facility upgrade, which includes:\n\n\nStreamlining drystack tailings handling,\n\n\nIncreasing throughput and efficiency via filtration conversion to CIL\n process, and\n\n\nPermitting of a new longterm tailings management solution.\n\n\nThe mill upgrade is being done in consultation with global milling\n experts Kappes, Cassiday & Associates of Reno, NV.\n\n\nDonovan Pollitt, President and CEO, comments \"The Mishi open pit has\n been a great success from a mining standpoint with recovered grades at\n or above resource grade for the past five quarters. However, we have\n been constrained by our milling operations and have generated a\n substantial stockpile of Mishi ore.  We are currently upgrading our\n milling facilities targeting a 66% increase over current rates to 1000\n tonnes per day.  This will optimize Eagle/Mishi feed rates and\n ultimately permit substantially higher production\"\n\n\nCombined Eagle River and Mishi ore stockpiles at the mill currently sit\n at approximately 100,000 tonnes.  The Mishi stockpile has about 85,000\n tonnes of ore at estimated grades of about 2.5 gAu/tonne and the Eagle\n River has about 15,000 tonnes of ore at about 7.0 gAu/tonne. \n Additional Mishi broken ore in-pit is currently about 15,000 tonnes.\n\n\nTo date, in 2013, Mishi has produced 2,100 ounces of gold from 20,000\n tonnes milled at a recovered grade of 3.2 gAu/tonne.  We are announcing\n the temporary suspension of the Mishi open pit contract mining\n activities in light of the considerable stockpile currently at the\n mill. The postponing of contractor mining activities will reduce\n operating costs by approximately $3.5 million until year-end and that\n contract mining activities would recommence in the spring of 2014.  The\n suspension of mining activities does not impact our planned gold\n production, and as milling rates increase we have the flexibility to\n re-commence mining activities sooner.\n\n\nWe see considerable potential for expansion given Mishi's increasing\n reserves as well as positive deep drilling results and better grades at\n Eagle River.\n\n\nWe are confident in our ability to optimize these assets over the\n longterm through a...