18 Apr 2016 07:00
Trans-Siberian Gold plc
Asacha mining and production update
LONDON: 18 April 2016 - Trans-Siberian Gold plc ("TSG" or the "Company") (TSG.L) reports that mine development activities at Asacha in the first quarter of 2016 comprised approximately 1,115 metres, while ore extraction (including ore from stoping and mine development) amounted to 44,067 metric tonnes (mt). Plant throughput averaged 13,433 mt per month (7.5% above planned 12,500 mt).
The previously reported changes in mining methods, including shallow hole blasting, have contributed to a reduction in ore dilution to 36.6% in the first quarter of 2016, compared to 40.4% in 2015. Ore delivered to the plant in the first quarter included 17,398 mt of new stoping ore with average grade of 10.3 g/t, however delays in mine development, including construction of the transportation ramp to the 150m and 100m levels, as a result of the previously reported flooding in 2015, have restricted the mine's ability to access new stoping ore. In order to maintain monthly plant throughput of at least 12,500 mt it has been necessary also to process earlier mined tonnage with lower grades. The Company is cautiously optimistic that the proportion of new, richer grade, stoping ore in ore processed by the plant will increase during 2016.
The lower gold grade in February 2016 reflected a temporary slowdown of mining activities in that month as a result of a fire at Asacha. This caused minimal damage (estimated at US$25,000) and normal production soon resumed.
Mining and production data at Asacha is shown in the following table.
January 2016 | February 2016 | March 2016 | Total Q1-2016 | Total Q1-2015 | |
Mine development (m) | 310 | 379 | 426 | 1,115 | 1,152 |
Ore extracted (mt) | 14,946 | 14,089 | 15,032 | 44,067 | 43,598 |
Ore processed (mt) | 13,710 | 13,030 | 13,560 | 40,300 | 39,699 |
Average gold grade (g/t) | 7.17 | 6.93 | 8.03 | 7.38 | 7.43 |
Average silver grade (g/t) | 10.07 | 10.87 | 11.33 | 10.75 | 13.43 |
Gold recovery rate (%) | 94.47 | 94.88 | 95.46 | 94.95 | 95.19 |
Silver recovery rate (%) | 78.44 | 79.29 | 74.21 | 77.36 | 73.25 |
Gold in dore (oz) | 3,066 | 2,835 | 3,301 | 9,202 | 9,044 |
Silver in dore (oz) | 3,832 | 3,650 | 3,336 | 10,818 | 12,747 |
Gold refined (oz) | 2,817 | 1,982 | 4,544 | 9,343 | 9,508 |
Silver refined (oz) | 3,702 | 2,149 | 5,691 | 11,542 | 13,304 |
TSG intends to report Asacha's second quarter 2016 production in July 2016.
Ends
Contacts
TSG |
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Simon Olsen | + 44 (0) 1480 811871 + 44 (0) 7770 484965 |
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Cantor Fitzgerald Europe | +44 (0) 207 894 7000 |
Stewart Dickson/David Foreman/Carrie Drummond(Corporate Finance) |
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