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Business |
Simberi gold pour is 2 months away
By BRIAN GOMEZ in Sydney
ALLIED Gold has announced that
commissioning of its 84,000 ounces a year Simberi gold mine will
begin next month with the first gold pour delayed slightly to
November.
Allied executive chairman Mark Caruso said yesterday an open pit
mining contract had been awarded to Mine Site Construction
Services after a competitive bidding process.
The contractor is expected to be fully mobilised at the mine
site in November and, under the mining contract that has been
signed, has agreed to purchase heavy earthmoving equipment being
used by Allied.
Allied shares yesterday rose A$0.02 to A$0.69 compared with a
record high of A$0.71 last Monday after the stock had risen by
30% in two successive days of trading.
Mr Caruso said two of the four drilling rigs the company had
purchased in June has arrived on site with exploration drilling
recommencing at the Monun Valley prospect, where previously
reported channel sampling results indicate a potential 300m
southeasterly extension to the main Sorowar deposit.
A second drilling rig brought in from Ghana is presently being
mobilised, along with two new South African Rockdrill 3000
drilling rigs, and all personnel for these rigs have been
sourced.
Spectacular assay results from channel samples in Monun Valley
and elsewhere has led to confidence much more gold resources
will be discovered, enabling Allied to greatly extend the
current planned eight-year mine life at Simberi.
Recent samples from along bulldozed tracks included 45m at 3.42
grams of gold per tonne; 55m @ 1.56 g/t and 120m @ 0.95 g/t.
The first two of these intercepts are located only 4m apart and
have a weighted average of 2.45 g/t gold.
They appear to be a single zone of mineralisation that is open
to the east and west and is only 1km from the processing plant.
Mr Caruso noted that this was a new discovery with no prior
drilling in the immediate vicinity.
The company has also found strong indications of a 300m
northwesterly extension of the Sorowar deposit, based on soil
geochemistry from a series of shallow drill holes.
 
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