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Golden Star Achieves Commercial Production at Prestea Underground

Kitco News

Golden Star Resources (NYSE American: GSS; TSX: GSC; GSE: GSR) has achieved commercial production at its Prestea Underground Gold Mine in Ghana. Output will ramp up during 2018. The West Reef ore body has proven and probable mineral reserves of 1.09 million tonnes of gold at 13.93 grams per tonne of gold, the company says. Exploration drilling is occurring with the goal of upping the annual production rate and extending the mine life. Full-year 2018 production guidance for the Prestea complex, including Prestea Underground and the Prestea open pits, is 93,000 to 113,000 ounces of gold at a cash operating cost per ounce of $740 to $880. "Achieving commercial production at Prestea Underground is an important milestone in Golden Star's transformation into a high-grade, margin-focused gold producer,” says Sam Coetzer, president and chief executive officer. “It is also a significant historical moment for the Prestea community as it has been over 15 years since the mine was previously in commercial production.”

By Allen Sykora of Kitco News; asykora@kitco.com

 

OceanaGold: 2018 Guidance Down From Record 2017 Gold Output

Thursday February 1, 2018 09:31

OceanaGold Corp. (TSX, ASX: OGC) looks for consolidated gold production to ease in 2018 to between 480,000 and 530,000 ounces, with all-in sustaining costs in a range of $725 to $775 an ounce. Copper output is seen between 15,000 and 16,000 tonnes. The company last month reported 2017 record gold output of 574,606 ounces, along with copper production of 18,351 tonnes. At Didipio, 2018 production is expected to be lower mainly due to treating an increased proportion of lower-grade stockpile material while ramping up the higher-grade production from the newly developed underground mine. The company says it expects an increased proportion of higher-grade mill feed to come from underground in 2019 and beyond. Waihi output is seen falling due to the mining sequence as operations move into lower-grade areas. “After a strong finish to 2017, the Haile Gold Mine is expected to increase gold production by 20% to 25% year-on-year with higher throughput rates,” says Mick Wilkes, president and chief executive officer. “We also expect a solid year at Macraes with a 20% increase in production from higher grades at Coronation North. After the strong performance from Didipio last year, we see 2018 as a year of transition for the asset through the steady ramp-up of mining rates from panel one in the underground and continued development of panel two, while at Waihi, our focus is to further advance and define our expansion plans for the operation which should deliver significant benefits to our communities and create value for our shareholders.”

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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