LONDON (Alliance News) - Condor Gold PLC Thursday said it has awarded a contract to Lycopodium Minerals Canada Ltd to provide services for its La India Project in Nicaragua.
The gold exploration company said Lycopodium would provide a Pre-Feasibility Study level design for a processing plant, a capital cost estimate for the project and would prepare components of a Pre-Feasibility Study report.
The company said the report would be used as input for an overall report of the project which is currently being developed by SRK Consulting Ltd and shows two possible production plans for the site: a base case of 2,300 tonnes per day, processing 800,000 tonnes per year and an alternative case of 2,800 tonnes per day, processing one million tonnes per year.
Condor Gold said the award means that Lycopodium would design the two possible plant options in order to help Condor Gold develop the La India Project.
The company did not detail any of the financial aspects of the deal.
The news comes a month after Condor Gold announced that additional exploration potential at La India has been shown by a district-scale gold mineralisation geological model.
The La India Project contains a mineral resource of 18.4 million tonnes at 3.9 grams per tonne for 2.33 million ounces of gold, including an indicated minerals resource of 1.08 million ounces of gold and an inferred mineral resource of 1.25 million ounces of gold.
Condor Gold shares were down 1.6% to 78.20 pence Thursday.
By Tom McIvor; tommcivor@alliancenews.com; @TomMcIvor1
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Condor Gold (CNR)