Latest Developments on GoGold Resources' Los Ricos Feasibility Study
GoGold Resources Inc. (TSX: GGD) (OTCQX: GLGDF), an emerging player in the silver and gold production industry, is thrilled to provide the latest updates on their Los Ricos projects. The company is making significant strides in its definitive feasibility study (DFS) for the Los Ricos South (LRS) project while also focusing on the Los Ricos North (LRN) project.
Transitioning to Underground Mining
The DFS journey has led to important changes, especially in the approach to mine planning. GoGold has made the strategic decision to pursue an underground mining model that takes advantage of the substantial widths of mineralization present in the deposit. This new plan involves re-engineering the mining strategy to support an underground operation expected to last for 12 years, emphasizing an efficient mining method with a throughput of 2,000 tonnes per day.
“By choosing an underground-only mining model, we expect to minimize surface disruption, which will greatly simplify the permitting process. Unlike open-pit permits, which currently face potential legislative challenges in Mexico, underground mine permits tend to be more straightforward,” stated Brad Langille, President and CEO of GoGold. The geological team is also reallocating efforts to model the LRN deposit for similar underground operations.
Key Milestones in the Feasibility Study
As the DFS for the LRS approaches completion, several crucial components have been finalized. The mining operations will primarily utilize contract mining, with in-house management overseeing contractor activities to ensure the project runs smoothly.
Comprehensive metallurgical tests have been performed on representative drill core samples from the Los Ricos South deposits. The results affirm the core elements of the processing strategy and confirm the operational effectiveness across various stages, including crushing, grinding, and cyanide leaching. The objective is to produce high-grade silver and gold concentrates alongside a byproduct of copper precipitate.
Environmental and Power Supply Considerations
A critical aspect of the DFS is ensuring that the mining operation is efficient and environmentally sustainable. GoGold is in the process of finalizing an agreement with the Comision Federal de Electricidad (CFE) to secure a stable power supply from the nearby La Yesca hydroelectric dam, ensuring that the LRS project has the necessary electricity for its operations.
Moreover, the company has successfully obtained land rights essential for the establishment of the mill and processing facilities for LRS. Agreements with local farmers guarantee fair compensation and foster community involvement in the development efforts.
Processing Mill Design
The design phase for the processing mill is nearing completion, with 90% of the design and engineering work finalized. The mill will incorporate conventional crushing and grinding processes, along with cyanide tank leaching. There will also be an emphasis on water recycling through advanced filtration systems, complemented by a SART circuit designed to recycle cyanide for further processing while producing a valuable copper sulfide product.
Advancements at Los Ricos North
At Los Ricos North, GoGold's geological team is actively re-logging drill holes with the aim of transitioning the existing mine plan, which was initially designed for open-pit extraction, into an underground mining strategy similar to that of LRS. Management plans to release a revised Preliminary Economic Assessment (PEA) or Preliminary Feasibility Study (PFS) for LRN in the near future.
About GoGold Resources
GoGold Resources (TSX: GGD) is committed to effectively operating, developing, exploring, and acquiring high-quality silver and gold projects, primarily in Mexico. Currently, the company manages the Parral tailings operation and the Los Ricos projects located in the heart of Mexico. Through strategic development, GoGold aims to build a strong portfolio featuring low-cost, high-margin mining operations.
Frequently Asked Questions
What projects is GoGold currently focusing on?
GoGold is primarily focused on the Los Ricos South and Los Ricos North projects as part of their feasibility studies.
What mining strategy is GoGold implementing at Los Ricos?
The company is implementing an underground mining strategy aimed at maximizing mineral recovery while minimizing surface impact.
How does GoGold ensure environmental sustainability?
GoGold is using underground paste backfill methods to reduce surface disturbance and is focusing on water recycling in its milling operations.
What is the estimated mine life for the Los Ricos project?
The current mine plan aims for a duration of 12 years for underground mining at the Los Ricos South project.
What are GoGold's operational objectives?
GoGold aims to develop efficient mining operations that provide high-margin production of silver and gold while ensuring community engagement and environmental stewardship.
