Perseus Mining Commits to Groundbreaking Underground Project
Perseus Mining's Commitment to the CMA Underground Project
Perseus Mining Limited (ASX/TSX: PRU) has made an exciting move by confirming a Final Investment Decision (FID) to develop the CMA underground project at their esteemed gold mine in Côte d’Ivoire. This decision marks a defining moment for the company and potential new horizons for gold mining in the region.
Governmental Approvals and Project Timeline
The decision to proceed was significantly influenced by the Ministry of Mines, Petroleum and Energy's preliminary approval, announced by Minister Sangafowa Coulibaly. This crucial endorsement paves the way for the commencement of the CMA underground project, scheduled to launch operations in mid-2025. However, this timeline remains dependent on the approval of the Environmental and Social Impact Assessment (ESIA) which is currently being reviewed.
The Role of Byrnecut
In response to the FID, Perseus Mining has appointed renowned Australian contractor Byrnecut as the primary mining contractor for the project. This collaboration is key because the CMA underground project will mark Côte d’Ivoire's inaugural mechanized underground mine. Byrnecut's responsibilities include not only the physical work of mining but also the invaluable task of training Ivorian miners in essential underground mining skills and safe practices.
Mineral Resources and Reserves
The project boasts impressive mineral resource estimates. As of August, the combined Measured and Indicated Mineral Resource for the Yaouré Gold Mine stands at approximately 55.6 million tonnes, averaging 1.52 grams per tonne (g/t) of gold, equating to around 2.7 million ounces of gold. Among this, notable quantities associated with the CMA underground project are captured, emphasizing the robustness of the planned operations.
Operational Longevity and Production Insights
The transition to underground mining is expected to significantly enhance operational efficiency. Once fully operational, the underground section is anticipated to contribute around 20% of the mine's total ore production, averaging between 700-770 thousand tonnes annually. The projected average mining cost has been estimated at approximately USD 75 per tonne of material mined, indicating a promising economic return alongside the expected gold output at the mine.
Infrastructure Preparations and Recruitment
Preparations for the underground project's infrastructure are well underway. This includes establishing vital facilities such as camps and maintenance areas to ensure smooth operations. Perseus Mining is also actively recruiting and training its underground team, highlighting the importance of local workforce development and commitment to safety.
Future Outlook for Perseus Mining
Beyond the immediate project development, Perseus Mining remains focused on expanding its portfolio. The life of mine plans (LOMP) is set to be updated annually, with the latest forecasts expected in June. These plans will include the CMA underground project and aim to maintain Perseus's production targets of 500,000 to 600,000 ounces of gold per annum, with a minimum cash margin of USD 500 per ounce.
CEO's Vision and Commitment
Perseus’s Managing Director and CEO, Jeff Quartermaine, expressed pride in the company's pivotal role within Côte d’Ivoire's mining landscape. He acknowledged the continuous support from local authorities and emphasized Perseus's commitment to responsible mineral resource development, ensuring the safety and effectiveness of operations while contributing to the local community's economic future.
Frequently Asked Questions
What is the CMA Underground Project?
The CMA Underground Project is an initiative by Perseus Mining to develop Côte d’Ivoire's first mechanized underground mine at the Yaouré Gold Mine.
Who is the contractor for the CMA project?
Perseus Mining has engaged Byrnecut as the primary contractor for the CMA underground project, bringing their expertise to the operation.
What are the projected costs for the CMA project?
The approved capital expenditure for developing the CMA underground project is USD 124.6 million, inclusive of pre-approved funding.
When is the project expected to commence operations?
The CMA underground operations are set to begin in mid-2025, following necessary governmental approvals.
What are the future production targets for Perseus Mining?
Perseus Mining aims to maintain an annual production of between 500,000 to 600,000 ounces of gold with a target cash margin of no less than USD 500 per ounce.
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