LONDON (Alliance News) - Bluebird Merchant Ventures Ltd on Wednesday said it anticipates to publish the feasibility report on Kochang mine by the end of October, whilst the first production from Gubong mine will be delivered in the final quarter of 2019.
The resource development company said, at the end of July, it has completed the feasibility report for reopening the Gubong mine in South Korea. Bluebird said the submission of this report was the final requirement of the joint venture with Southern Gold.
The companies will now share the exploration costs equally and Bluebird will become the joint venture manager.
Bluebird said it anticipates that physical work at the mine will ramp up over the next four months. The company said it continues to initially target gold production of 10,000 ounces per annum starting during the fourth quarter of 2019.
Looking further ahead, Bluebird expects production to increase to 100,000 ounces of gold per annum over a five-year period.
Meanwhile, at its Kochang mine also in South Korea, metallurgical test work is under way and results are expected by the end of October.
"We are delighted with the progress which has been made at Gubong and Kochang," said Chief Executive Colin Patterson.
"I will enjoy the chance to update the market as to our progress in the coming months," added Patterson.
Shares in Bluebird were trading 2.1% lower on Wednesday at 2.30 pence each.
Bluebird Merchant Venture (BMV)