Click here to close now.




















Welcome!

News Feed Item

Condor Gold Awards Contract for Processing Plant Design for Pre-Feasibility Study

LONDON, ENGLAND -- (Marketwired) -- 05/08/14 -- Condor Gold (AIM:CNR), is pleased to announce that it has awarded a contract to Lycopodium Minerals Canada Ltd ("Lycopodium") to provide a Pre-Feasibility Study (PFS) level process engineering design for a processing plant, a capital cost estimate for the project and to prepare components of a PFS report to NI 43-101 standards. This report will support and be used as input for an overall PFS report for La India Project, Nicaragua currently under development by SRK Consulting (UK) Ltd ("SRK"). Two ore production scenarios are to be considered and developed in the course of the PFS investigations: a base case of 2,300 tonnes per day, processing 800,000 tonnes per annum and an alternative case of 2,800 tonnes per day ("tpd"), processing 1M tonnes per annum ("tpa").

Highlights of Contract for Plant Design to PFS level


--  2,300tpd plant for La India open pit only 
--  2,800tpd plant for La India open pit plus 2 feeder pits. 
--  Lycopodium is positioned for BFS and could build a plant and
    infrastructure 
--  Improve detail of key capital expenditure items 
--  Improve detail of key operating cost items 

Significance of Awarding a Contract for Plant Design to PFS level

Sizing the plant is a significant milestone as it takes into account many of the on-going studies for the PFS: the Metallurgy for gold recoveries, Hydrogeology for dewatering the open pit, Geotechnical for the pit angles, the Mineral Resource Estimate for the block models, the Mine Design for developing the mining dilution model, annual production schedule and Life of Mine plan. A Base Case of 2,300tpd is envisaged if production is from La India Open Pit only, which hosts a resource of 920,000 oz gold at 3.0g/t. The alternative case of 2,800tpd is envisaged if the two feeder pits of America and Central Breccia, which contain a combined resource of 220,000 oz gold at circa 4.0g/t, are included.

Mark Child, Chairman and CEO commented:

"The award of an engineering design contract for a 2,300tpd and 2,800tpd plant for production solely from open pits marks a major step forward in Condor's development and the progress of a Pre-Feasibility Study on La India Project. Lycopodium is a world leader in the design, engineering and construction of gold mines. Their extensive and recent experience with similar types of processing plants together with a substantial library on infrastructure assets associated with gold mines and detailed knowledge of operating mines will assist Condor with a more accurate assessment of the capital expenditure and operating costs at La India Project."

About Lycopodium

Lycopodium has internationally-recognised mineral processing plant designs and implementation expertise, specialising in the gold sector www.lycopodium.com.au Should the Board of Condor decide, Lycopodium has the ability to take La India Project to Bankable Feasibility Study and build a gold mineral processing facility and accompanying infrastructure. Lycopodium has delivered 50+ projects and 300+ feasibility studies globally in the gold sector. Endeavour Mining's Agbaou Project of 4,400tpd was delivered on time and under budget within 18 months. Lycopodium is currently providing detailed engineering services for First Quantum's Cobre Project in Panama. The physical facilities at La India Project that are the subject of the PFS studies to be completed by Lycopodium include the Processing Plant and Plant Site Infrastructure. Lycopodium's extensive library of designs for plant site infrastructure should allow more accurate quotes from Nicaraguan and Central American based firms for some of the main capital expenditure components of the PFS.

Background to PFS

A positive Preliminary Economic Assessment ("PEA") for La India Project was prepared by SRK (See RNS 5th March 2013). Total production of 1,463,000 oz gold over 13 year Life of Mine at an average operating cost of US$575 per oz gold. Production being split 50:50 between open pit and underground mining. However, the gold price at the time of the PEA was over US$1,600 per oz gold and a US$1,400 gold price was used in the technical economic model of the PEA.

In response to a 37% correction in the gold price during 2012 and 2013 from its high of over US$1,900 per oz gold, Condor's strategy changed to focus on determining whether La India Project could support an open pit only mine for several years, with underground development funded at a later date out of cash flow. A 23,600m drilling programme was completed in the 12 months to September 2013, targeting open pit resources and completed in-fill drilling on the existing La India open pit resource, converting Inferred Resources to the higher level of confidence of Indicated Resources.

A PFS-level metallurgical test program (designed and supervised by SRK) was undertaken by Condor in 2013. The results showed high gold recoveries 90% to 92% after a 2% reduction to allow for plant deficiencies. SRK recommended that gold mineralised ore can be processed by industry-standard whole-ore cyanidation with a standard carbon-in-pulp (CIP) process flowsheet. (See RNS dated 21st October 2013).

La India Project contains a total mineral resource of 18.4Mt at 3.9g/t for 2.33M oz gold, including an Indicated mineral resource of 9.6Mt at 3.5g/t for 1.08M oz gold, Inferred mineral resource of 8.8Mt at 4.4g/t for 1.25M oz gold. Total open pit mineral resources are 1.14M oz gold at 3.1g/t. A detailed NI 43-101 mineral resource estimate announced in November 2013 and released in January 2014 by SRK. (See RNS 7th January 2014).

Competent Person's Declaration

The information in this announcement that relates to the mineral potential, geology, Exploration Results and database is based on information compiled by and reviewed by Dr Luc English, the Country Exploration Manager, who is a Chartered Geologist and Fellow of the Geological Society of London, and a geologist with eighteen years of experience in the exploration and definition of precious and base metal mineral resources. Luc English is a full-time employee of Condor Gold plc and has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration, and to the type of activity which he is undertaking to qualify as a Competent Person as defined in the June 2009 Edition of the AIM Note for Mining and Oil & Gas Companies. Luc English consents to the inclusion in the announcement of the matters based on their information in the form and context in which it appears and confirms that this information is accurate and not false or misleading.

Information in this announcement that relates to the project evaluation, Preliminary Feasibility Study, engineering and mine planning is based on information compiled and/or reviewed by Gerald David Crawford, the Chief Operating Officer, who is a Registered Professional Engineer in the states of Colorado and Nevada and member of the Society of Mining, Metallurgy and Exploration, and a mining engineer with 37 years of experience in the design and evaluation of precious and base metal mineral resources. Mr. Crawford is a full-time employee of Condor Gold plc and has sufficient experience which is relevant to the mining method and type of deposit under consideration, and to the type of activity which he is undertaking to qualify as a Qualified Person as defined under Canadian NI 43-101. Mr. Crawford consents to the inclusion in the announcement of the matters based on their information in the form and context in which it appears and confirms that this information is accurate and not false or misleading.

For further information please visit www.condorgold.com.

About Condor Gold plc:

Condor Gold plc is an AIM listed exploration company focused on developing gold and silver resource projects in Central America. The Company was admitted to AIM on 31st May 2006 with the stated strategy to prove up CIM/JORC Resources in Nicaragua and El Salvador. Condor has eight 100% owned concessions in La India Mining District ("La India Project"); three 100% owned concessions in three other project areas and 20% in the Cerro Quiroz concession in Nicaragua. In El Salvador, Condor has 90% ownership of four licences in two project areas.

Condor's La India Project in Nicaragua currently contains a total attributable mineral resource of 18.4Mt at 3.9g/t for 2.33M oz gold and 2.68M oz silver at 6.2g/t to the CIM Code. Total gold equivalent of 2.37M oz. Including: Indicated mineral resource of 9.6Mt at 3.5g/t for 1.08M oz gold, Inferred mineral resource of 8.8Mt at 4.4g/t for 1.25M oz gold. Total open pit mineral resources of 1.14M oz gold at 3.1g/t. In El Salvador, Condor has an attributable 1,004,000 oz gold equivalent at 2.6g/t JORC compliant resource. The resource calculations are compiled by independent geologists SRK Consulting (UK) Limited for Nicaragua and Ravensgate and Geosure for El Salvador

Disclaimer

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

Technical Glossary


----------------------------------------------------------------------------
Carbon in Pulp (CIP)  A common processing method for extracting gold and    
                      silver, whereby activated carbon is added to the      
                      ground ore in a cyanide solution. Gold and silver are 
                      adsorbed onto to the carbon for subsequent recovery   
                      and refining.                                         
----------------------------------------------------------------------------
CIM Code              The reporting standard adopted for the reporting of   
                      the Mineral resources is that defined by the terms and
                      definitions given in the terminology, definitions and 
                      guidelines given in the Canadian Institute of Mining, 
                      Metallurgy and Petroleum (CIM) Standards on Mineral   
                      resources and Mineral Reserves (December 2005) as     
                      required by NI 43-101. The CIM Code is an             
                      internationally recognised reporting code as defined  
                      by the Combined Reserves International Reporting      
                      Standards Committee                                   
----------------------------------------------------------------------------
Feeder Pit            Smaller deposits that are physically separate from a  
                      main deposit that can be mined independently from the 
                      main area. These deposits typically simplify          
                      operational planning                                  
----------------------------------------------------------------------------
Gold Equivalent       Gold equivalent grade is calculated by dividing the   
                      silver assay result by 60, adding it to the gold value
                      and assuming 100% metallurgical recovery              
----------------------------------------------------------------------------
Grade                 The proportion of a mineral within a rock or other    
                      material. For gold mineralisation this is usually     
                      reported as grams of gold per tonne of rock (g/t)     
----------------------------------------------------------------------------
g/t                   grams per tonne                                       
----------------------------------------------------------------------------
Inferred Mineral      That part of a mineral resource for which tonnage,    
Resource              grade and mineral content can be estimated with a low 
                      level of confidence. It is inferred from geological   
                      evidence and assumed but not verified geological      
                      and/or grade continuity. It is based on information   
                      gathered through appropriate techniques from locations
                      such as outcrops, trenches, pits, workings and drill  
                      holes that may be limited, or of uncertain quality and
                      reliability                                           
----------------------------------------------------------------------------
Indicated Mineral     That part of a mineral resource for which tonnage,    
Resource              densities, shape, physical characteristics, grade and 
                      mineral content can be estimated with a reasonable    
                      level of confidence. It is based on exploration,      
                      sampling and testing information gathered through     
                      appropriate techniques from locations such as         
                      outcrops, trenches, pits, workings and drill holes.   
                      The locations are too widely or inappropriately spaced
                      to confirm geological and/or grade continuity but are 
                      spaced closely enough for continuity to be assumed    
----------------------------------------------------------------------------
Intercept             Refers to a sample or sequence of samples taken across
                      the entire width or an ore body or mineralized zone.  
                      The intercept is described by the entire thickness and
                      the average grade of mineralisation                   
----------------------------------------------------------------------------
JORC                  Australian Joint Ore Reserves Committee, common       
                      reference to the Australasian Code for reporting of   
                      identified mineral resources and ore reserves         
----------------------------------------------------------------------------
koz                   Thousand troy ounces                                  
----------------------------------------------------------------------------
kt                    Thousand tonnes                                       
----------------------------------------------------------------------------
Mining Dilution       Rock that is, by necessity, removed along with the ore
                      in the mining process, subsequently lowering the grade
                      of the ore                                            
----------------------------------------------------------------------------
Mineral Resource      A concentration or occurrence of material of economic 
                      interest in or on the Earth's crust in such a form,   
                      quality, and quantity that there are reasonable and   
                      realistic prospects for eventual economic extraction. 
                      The location, quantity, grade, continuity and other   
                      geological characteristics of a Mineral Resource are  
                      known, estimated from specific geological knowledge,  
                      or interpreted from a well constrained and portrayed  
                      geological model                                      
----------------------------------------------------------------------------
Open pit mining       A method of extracting minerals from the earth by     
                      excavating downwards from the surface such that the   
                      ore is extracted in the open air (as opposed to       
                      underground mining)                                   
----------------------------------------------------------------------------
oz                    Troy ounce, equivalent to 31.103477 grams             
----------------------------------------------------------------------------
Trench                The excavation of a horizontally elongate pit         
                      (trench), typically up to 2m deep and up to 1.5m wide 
                      in order to access fresh or weathered bedrock and take
                      channel samples across a mineralised structure. The   
                      trench is normally orientated such that samples taken 
                      along the longest wall are perpendicular to the       
                      mineralised structure                                 
----------------------------------------------------------------------------
Mt                    Million tonnes                                        
----------------------------------------------------------------------------

Contacts:
Condor Gold plc
Mark Child
Executive Chairman and CEO
+44 (0) 20 7408 1067

Condor Gold plc
Luc English
Country Manager
Nicaragua
+505 8854 0753

Beaumont Cornish Limited
Roland Cornish
+44 (0) 20 7628 3396

Numis Securities Limited
John Prior and James Black
+44 (0) 20 72601000

Farm Street Media
Simon Robinson
+44 (0) 7593 340107

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
"We've just seen a huge influx of new partners coming into our ecosystem, and partners building unique offerings on top of our API set," explained Seth Bostock, Chief Executive Officer at IndependenceIT, in this SYS-CON.tv interview at 16th Cloud Expo, held June 9-11, 2015, at the Javits Center in New York City.
In a recent research, analyst firm IDC found that the average cost of a critical application failure is $500,000 to $1 million per hour and the average total cost of unplanned application downtime is $1.25 billion to $2.5 billion per year for Fortune 1000 companies. In addition to the findings on the cost of the downtime, the research also highlighted best practices for development, testing, application support, infrastructure, and operations teams.
SYS-CON Events announced today that HPM Networks will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. For 20 years, HPM Networks has been integrating technology solutions that solve complex business challenges. HPM Networks has designed solutions for both SMB and enterprise customers throughout the San Francisco Bay Area.
For IoT to grow as quickly as analyst firms’ project, a lot is going to fall on developers to quickly bring applications to market. But the lack of a standard development platform threatens to slow growth and make application development more time consuming and costly, much like we’ve seen in the mobile space. In his session at @ThingsExpo, Mike Weiner, Product Manager of the Omega DevCloud with KORE Telematics Inc., discussed the evolving requirements for developers as IoT matures and conducte...
The Software Defined Data Center (SDDC), which enables organizations to seamlessly run in a hybrid cloud model (public + private cloud), is here to stay. IDC estimates that the software-defined networking market will be valued at $3.7 billion by 2016. Security is a key component and benefit of the SDDC, and offers an opportunity to build security 'from the ground up' and weave it into the environment from day one. In his session at 16th Cloud Expo, Reuven Harrison, CTO and Co-Founder of Tufin,...
With SaaS use rampant across organizations, how can IT departments track company data and maintain security? More and more departments are commissioning their own solutions and bypassing IT. A cloud environment is amorphous and powerful, allowing you to set up solutions for all of your user needs: document sharing and collaboration, mobile access, e-mail, even industry-specific applications. In his session at 16th Cloud Expo, Shawn Mills, President and a founder of Green House Data, discussed h...
Mobile, social, Big Data, and cloud have fundamentally changed the way we live. “Anytime, anywhere” access to data and information is no longer a luxury; it’s a requirement, in both our personal and professional lives. For IT organizations, this means pressure has never been greater to deliver meaningful services to the business and customers.
Container technology is sending shock waves through the world of cloud computing. Heralded as the 'next big thing,' containers provide software owners a consistent way to package their software and dependencies while infrastructure operators benefit from a standard way to deploy and run them. Containers present new challenges for tracking usage due to their dynamic nature. They can also be deployed to bare metal, virtual machines and various cloud platforms. How do software owners track the usag...
The Internet of Everything (IoE) brings together people, process, data and things to make networked connections more relevant and valuable than ever before – transforming information into knowledge and knowledge into wisdom. IoE creates new capabilities, richer experiences, and unprecedented opportunities to improve business and government operations, decision making and mission support capabilities.
There are many considerations when moving applications from on-premise to cloud. It is critical to understand the benefits and also challenges of this migration. A successful migration will result in lower Total Cost of Ownership, yet offer the same or higher level of robustness. In his session at 15th Cloud Expo, Michael Meiner, an Engineering Director at Oracle, Corporation, analyzed a range of cloud offerings (IaaS, PaaS, SaaS) and discussed the benefits/challenges of migrating to each offe...
Puppet Labs has announced the next major update to its flagship product: Puppet Enterprise 2015.2. This release includes new features providing DevOps teams with clarity, simplicity and additional management capabilities, including an all-new user interface, an interactive graph for visualizing infrastructure code, a new unified agent and broader infrastructure support.
Chuck Piluso presented a study of cloud adoption trends and the power and flexibility of IBM Power and Pureflex cloud solutions. Prior to Secure Infrastructure and Services, Mr. Piluso founded North American Telecommunication Corporation, a facilities-based Competitive Local Exchange Carrier licensed by the Public Service Commission in 10 states, serving as the company's chairman and president from 1997 to 2000. Between 1990 and 1997, Mr. Piluso served as chairman & founder of International Te...
SYS-CON Events announced today that MobiDev, a software development company, will exhibit at the 17th International Cloud Expo®, which will take place November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. MobiDev is a software development company with representative offices in Atlanta (US), Sheffield (UK) and Würzburg (Germany); and development centers in Ukraine. Since 2009 it has grown from a small group of passionate engineers and business managers to a full-scale mobi...
One of the hottest areas in cloud right now is DRaaS and related offerings. In his session at 16th Cloud Expo, Dale Levesque, Disaster Recovery Product Manager with Windstream's Cloud and Data Center Marketing team, will discuss the benefits of the cloud model, which far outweigh the traditional approach, and how enterprises need to ensure that their needs are properly being met.
Learn how to solve the problem of keeping files in sync between multiple Docker containers. In his session at 16th Cloud Expo, Aaron Brongersma, Senior Infrastructure Engineer at Modulus, discussed using rsync, GlusterFS, EBS and Bit Torrent Sync. He broke down the tools that are needed to help create a seamless user experience. In the end, can we have an environment where we can easily move Docker containers, servers, and volumes without impacting our applications? He shared his results so yo...