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CGA Mining increases gold exploration exposure in the Philippines

Wed, 21 Sep 2011 01:25:00 +0100

CGA Mining (ASX: CGX, TSX: CGA) has agreed to acquire 100% of the interests of Bloomsbury Holdings Limited in the companies owning a direct and indirect interest in the highly prospective Pajo MPSA.

Pajo MPSA is positioned immediately to the north of the Colorado Pit, which is part of CGA's gold producing Masbate Gold Project in the Philippines.

Exploration activities at Pajo MPSA have already commenced with the first hole returning 85 metres at 0.85g/t gold, including 14 metres at 1.26g/t gold from the surface.

The company said the entire hole was mineralised and was drilled to intersect the central - northern end of the mineralised zone from the eastern side of the hill.

The initial Pajo exploration program consists of 3000 metres of reverse circulation drilling and 4850 metres of diamond core drilling, targeting the central 500 metre strike of the main mineralised zone.

The Pajo program is part of the total CGA exploration program of US$20 million for financial year 2012, which will include 172,000 metres of drilling on the Masbate tenements.

CGA Mining on track to produce 200,000oz gold per annum at Masbate

Tue, 20 Sep 2011 00:29:00 +0100

CGA Mining (ASX: CGX, TSX: CGA) has completed the supplementary crushing circuit at the Masbate Gold Mine in the Philippines and first ore has been fed into the circuit.

CGA is completing a US$15 million investment program designed to upsize throughput to 6.5 million tonnes per annum (Mtpa) at Masbate and the company remains on track to produce 200,000 ounces gold per annum.

The company said the circuit ran well and this week will see the throughput gradually ramped up to design.

The supplementary crusher consists of a jaw crusher combined with a secondary and tertiary cone crushers and has been installed to deliver 12 millimetre product to the grinding circuit.

Initially this will be ideal direct feed for the ball mills whilst the SAG mill is brought back on line and ultimately will be used to ensure 6.5mtpa throughputs are maintained.

Once this is completed and the SAG mill brought back on line the project is forecast to produce at a rate of over 200,000 ounces per annum. In the year ended 30 June 2011 the mill produced 190,033 ounces.

The Masbate Gold Project was successfully constructed with first gold poured mid 2009. The mining contract was awarded to Leighton Holdings (ASX: LEI), the largest mining contractor in the world.

The project has a total indicated resource base of 4.55 million ounces of gold, total inferred resource base of 3.22 million ounces of gold and a probable reserve of 3.03 million ounces of gold.

CGA delivered a bumper set of numbers in the company's annual report for financial year 2011.

The stand out metric is a 307% increase in net profit to $65.1 million, which was generated from a 51% boost in gold and silver sales to $235.3 million. The gross profit jumped 70% to $80.4 million.

CGA now has a war chest of $204.6 million in cash and liquid assets - almost double from a year before, and has an aggressive exploration strategy that is planning to undertake 172,000 metres of drilling at a cost of US$20 million over the next twelve months.

The company is also looking at acquiring new gold projects with a substantial initial resource with the capacity to grow materially.

CGA Mining net profit soars 307% on high gold price and production boost

Wed, 31 Aug 2011 00:46:00 +0100

CGA Mining (ASX: CGA, TSX: CGX) has delivered a bumper set of numbers in the company's annual report for financial year 2011.

The stand out metric is a 307% increase in net profit to $65.1 million, which was generated from a 51% boost in gold and silver sales to $235.3 million.

The gross profit jumped 70% to $80.4 million.

Where the CGA Mining story becomes even more interesting, is that the company now has a war chest of $204.6 million in cash and liquid assets - almost double from a year before.

Throughput boost

Helping to deliver the production numbers was a 37% increase in throughput with a total of 6,152,561 dry tonnes milled.

The best bit for the company though is throughput is set to ramp up with the 6.5Mtpa plant upgrade to be finalised with commissioning of the supplementary crusher expected to occur within the next two weeks.

This potential production increase could be just the tip of the iceberg, with CGA Mining already kicking off work on the comprehensive Scoping Study to lift production rates to plus 10Mtpa - which the company said is well advanced and continues to track on schedule.

Masbate - by the numbers

CGA Mining successfully poured the first gold in May 2009 to kick off production from Masbate.

The project has a total Indicated Resource of 4.55 million ounces (153.41 million tonnes at 0.92g/t), a total Inferred Resource of 3.22 million ounces (127.15 million tonnes at 0.79g/t), and a Probable Reserve of 3.03 million ounces (92.2 million tonnes at 1.0g/t) of gold.

Masbate poured 150,000 gold ounces in the first year of operation, and is on track to produce at a rate of around 200,000 ounces annually.

2012 exploration plan

The anticipated upside for Masbate are these profit results have the potential to be the start of a string of top results, with the company allocating a US$20 million exploration budget for financial year 2012.

CGA Mining has planned to undertake an extensive 144,000 metres of reverse circulation drilling, and 28,000 metres of diamond drilling, principally focused on converting Inferred resources to Reserves.

The company also aims to identify new Reserves and Resources from both extensions to existing pits and a number of new targets.

If CGA Mining continues to find exploration success as production is ramped up and the gold price remains high - then the company is very well positioned for future profitability.

CGA Mining closes in on full gold production capacity at Masbate in the Philippines

Mon, 29 Aug 2011 00:32:00 +0100

CGA Mining (ASX:CGX, TSX:CGA) is continuing to find exploration success at the Masbate Gold Project in the Philippines, with gold production continuing to increase.

The latest exploration highlight at Blue Quartz includes 36 metres at 7.74 grams per tonne (g/t) gold from 126 metres.

At the north west extension of the HMB zone, CGA Mining intercepted 11 metres at 3.25g/t gold from surface, 41 metres at 4.76g/t gold from 116 metres, and 10 metres at 4.32g/t gold from 44 metres.

CGA Mining said that production continues to increase and the repair of the SAG Mill in on track, with the repairs confirmed that they can be done in situ, which will mitigate both the cost and timeline for the repairs.

This will also incorporate all required quality assurance procedures.

Most importantly - production is set to reach full capacity by the end of October.

SAG Mill repairs

Metso Minerals has been awarded the contract to conduct the repairs to the mill which is expected to take around 10 weeks.

CGA Mining said that the Metso technical experts, based in the USA, have successfully repaired similar failures on this type of mill on a number of previous occasions.

All repairs will also be subject to independent engineering supervision and full ultrasonic testing of all repair work will be conducted prior to the mill being placed back into operation.

CGA Mining added that in the interim, production via the bypass conveyor to the rest of the process plant is operating successfully with throughput already up to 340tph.

With the supplementary crusher, due for commissioning at the start of September, throughput is expected to increase further to plus 500tph.

The Masbate Gold Project

Masbate has now successfully been pouring gold for two years.

The project has a total Indicated resource base of 4.55 million gold ounces, a total Inferred resource base of 3.22 million gold ounces and a Probable Reserve of 3.03 million gold ounces.

CGA Mining has an aggressive exploration strategy at the project, and plans to undertake 172,000 metres of drilling at a cost of US$20 million over the next twelve months.

CGA Mining gold production rates to increase with 500tph ore processing by August

Tue, 26 Jul 2011 02:37:00 +0100

CGA Mining (ASX: CGX, TSX: CGA) has resumed gold production at the Masbate Gold Project in the Philippines after the reconfiguration of the grinding circuit having been completed and ore now being fed direct into the ball mills.

The company said production rates will steadily increase as the revised circuit is bedded down, with the reconfigured circuit forecast to operate at up to 400tph.

The ore feed is then expected to increase to 500tph once the supplementary crusher is commissioned in late August, increasing gold production rates.

Also at the site - repairs to the SAG mill continue with repairs to be completed within the original time frame of three months.

Masbate has been a huge cash generator for CGA Mining recently, with the company pouring over 190,000 gold ounces during financial year 2011, a 27% increase of the previous corresponding period.

Spot gold averaged around US$1400 an ounce during the one year period, providing gross revenues of US$270 million.

CGA Mining also has an extensive exploration program underway at the project, and has allocated a US$20 million exploration budget for financial year 2012.

CGA Mining gold production jumps 27% to 190,000 ounces at Masbate

Thu, 14 Jul 2011 15:01:00 +0100

CGA Mining (ASX:CGA, TSE:CGX) continues to deliver from the Masbate Gold Project in the Philippines, with the company pouring over 190,000 gold ounces during financial year 2011, a 27% increase of the previous corresponding period.

Spot gold averaged around US$1400 an ounce during the one year period, providing gross revenues of US$270 million.

The production was achieved from a throughput level of almost 6.2 million dry tonnes, a 37% boost over financial year 2010.

The anticipated upside for Masbate are these results are likely to be just the beginning, with the company allocating a US$20 million exploration budget for financial year 2012.

CGA has planned to undertake an extensive 144,000 metres of reverse circulation drilling, and 28,000 metres of diamond drilling, principally focused on converting Inferred resources to Reserves.

The company also aims to identify new Reserves and Resources from both extensions to existing pits and a number of new targets.

September 2011 quarter production

CGA Mining said that production however for the September 2011 quarter will be impacted as mechanical repairs are carried out on the SAG mill.
The company added that it had extensive insurance policies which are available for both repairs and loss of profits claims, subject to normal deductibles.
A crack in one of the segments in the discharge end of the SAG mill was identified earlier in the week.
The SAG mill was shut down and will now be disassembled and repaired.
CGA Mining said that full technical assessments are not yet available, but the company currently estimates that these repairs will cost in the order of $0.5 million and could take up to three months to complete.
Full capacity of the plant will therefore be restored during the next quarter.

Masbate - by the numbers

CGA Mining successfully poured the first gold in May 2009 to kick off production from Masbate.
The project has a total Indicated Resource of 4.55 million ounces (153.41 million tonnes at 0.92g/t), a total Inferred Resource of 3.22 million ounces (127.15 million tonnes at 0.79g/t), and a Probable Reserve of 3.03 million ounces (92.2 million tonnes at 1.0g/t) of gold.
Masbate poured 150,000 gold ounces in the first year of operation, and is on track to produce at a rate of around 200,000 ounces annually.

CGA Mining is currently upgrading the process plant to lock in a throughput rate of 6.5Mtpa.

CGA Mining gold production jumps 27% to 190,000 ounces at Masbate in year to June

Tue, 12 Jul 2011 04:21:00 +0100

CGA Mining (ASX: CGA, TSX: CGX) continues to deliver from the Masbate Gold Project in the Philippines, with the company pouring over 190,000 gold ounces during financial year 2011, a 27% increase of the previous corresponding period.

Spot gold averaged around US$1400 an ounce during the one year period, providing gross revenues of US$270 million.

The production was achieved from a throughput level of almost 6.2 million dry tonnes, a 37% boost over financial year 2010.

The anticipated upside for Masbate are these results are likely to be just the beginning, with the company allocating a US$20 million exploration budget for financial year 2012.

CGA has planned to undertake an extensive 144,000 metres of reverse circulation drilling, and 28,000 metres of diamond drilling, principally focused on converting Inferred resources to Reserves.

The company also aims to identify new Reserves and Resources from both extensions to existing pits and a number of new targets.

September 2011 quarter production

CGA Mining said that production however for the September 2011 quarter will be impacted as mechanical repairs are carried out on the SAG mill.

The company added that it had extensive insurance policies which are available for both repairs and loss of profits claims, subject to normal deductibles.

A crack in one of the segments in the discharge end of the SAG mill was identified earlier in the week.

The SAG mill was shut down and will now be disassembled and repaired.

CGA Mining said that full technical assessments are not yet available, but the company currently estimates that these repairs will cost in the order of $0.5 million and could take up to three months to complete.

Full capacity of the plant will therefore be restored during the next quarter.

Masbate - by the numbers

CGA Mining successfully poured the first gold in May 2009 to kick off production from Masbate.

Masbate poured 150,000 gold ounces in the first year of operation, and is on track to produce at a rate of around 200,000 ounces annually.

CGA Mining is currently upgrading the process plant to lock in a throughput rate of 6.5Mtpa.

CGA Mining in pre-open pending 'operational matter' announcement

Mon, 11 Jul 2011 02:40:00 +0100

CGA Mining (ASX: CGX, TSX: CGA) has been granted a trading halt by the ASX pending an 'operational matter' announcement, with the company's shares placed in pre-open.

CGA Mining did not elaborate where the operational matter in located, but recently has been ramping up exploration at the Masbate Gold Project in the Philippines.

Supporting the increased exploration is a US$20 million budget for financial year 2012, almost triple last year’s spend.

Masbate is the largest gold project in the Philippines and has a total Indicated Resource base of 4.55 million ounces, a total Inferred Resource base of 3.22 million ounces and a Probable Reserve of 3.03 million ounces.

CGA Mining triples gold exploration budget to US20m at Masbate in the Philippines

Tue, 28 Jun 2011 02:43:00 +0100

CGA Mining (ASX: CGX, TSX: CGA) is ramping up exploration at the Masbate Gold Project in the Philippines by allocating a US$20 million exploration budget for financial year 2012, almost triple the current years spend.

CGA has planned to undertake an extensive 144,000 metres of reverse circulation drilling, and 28,000 metres of diamond drilling, principally focused on converting Inferred resources to Reserves.

The company also aims to identify new Reserves and Resources from both extensions to existing pits and a number of new targets.

CGA continues to deliver from Masbate, and exceed expectations, and earlier in the month announced a new monthly throughput production record for May.

During May the company processed 605,330 tonnes at a throughput rate of 870dtph and an availability of 93.51%, equating to an annual throughput rate of 7.1mtpa.

The result is that 17,074 gold ounces were produced for the month, with a gross value of around US$26.3 million, based on the then gold spot price of US$1540 an ounce.

Production is expected to continue to increase, with the commissioning of a supplementary crusher due in the September 2011 quarter.

In the first year of operation the project produced over 150,000 ounces, with the May production highlighting the company is on track to produce at a rate of around 200,000 ounces annually.

CGA Mining project completion fully satisfied for Masbate finance facility

Thu, 09 Jun 2011 02:31:00 +0100

CGA Mining (ASX: CGX, TSX: CGA) has announced that the Project Completion has been successfully achieved for the project finance facility for the Masbate Gold Project in the Philippines.

The facility will be US$43.478 million at the end of the June quarter 2011 before any further prepayments.

Importantly for CGA Mining, having now satisfied the Project Completion, the following additional benefits apply to the facility:

- The margin will be reduced to LIBOR plus 3.15% from LIBOR plus 3.65%;
- Any guarantees from CGA Mining will be released and the project will go non-recourse to the company; and
- The project will be able to flow all excess funds (above and beyond the Debt Service Reserve Account) to any other entity within the CGA group, with any payment out of the security structure to be applied as to 25% to a further prepayment of the principal outstanding under the facility, subject to the satisfaction of normal financial ratios.

This latest good news for CGA Mining comes hot on the heels of yesterday’s announcement where the company continues to 'exceed expectations' in the production of gold at Masbate, with the company achieving a new monthly throughput production record in May.

Over the month CGA Mining processed 605,330 tonnes at a throughput rate of 870dtph and an availability of 93.51%, equating to an annual throughput rate of 7.1mtpa.

The result for the month of May is that 17,074 gold ounces were produced, with a gross value of around US$26.3 million, based on the current gold spot price of US$1540 an ounce.

CGA Mining hits another monthly throughput gold production record at Masbate

Wed, 08 Jun 2011 01:37:00 +0100

CGA Mining (ASX: CGX, TSX: CGA) continues to exceed expectations in the production of gold at the Masbate Gold Project in the Philippines, with the company achieving a new monthly throughput production record in May.

Over the month CGA Mining processed 605,330 tonnes at a throughput rate of 870dtph and an availability of 93.51%, equating to an annual throughput rate of 7.1mtpa.

The result for the month of May is that 17,074 gold ounces were produced, with a gross value of around US$26.3 million, based on the current gold spot price of US$1540 an ounce.

Production is expected to continue to increase, with the commissioning of a supplementary crusher due in the September 2011 quarter.

CGA Mining continues to work towards boosting the resource at the project, with an aggressive US$10M exploration program underway focussed on both the conversion of additional resources to reserves and delineating new reserve and resource ounces.

In the first year of operation the project produced over 150,000 ounces, with the May production highlighting the company is on track to produce at a rate of around 200,000 ounces annually.

CGA Mining hits more near surface gold at Masbate in Philippines

Thu, 26 May 2011 04:02:00 +0100

CGA Mining (ASX: CGX, TSX: CGA) exploration success continues at the Masbate Gold Project, the largest gold project in the Philippines.

The latest intercepts have been identified at Libra East, which is immediately adjacent to the Main Vein Pit.

Highlights include:

- 32 metres at 1.98 grams per tonne (g/t) gold from 74 metres;
- 30 metres at 1.57g/t gold from 92 metres; and
- 14 metres at 2.25g/t gold from 131 metres.

Adding to the potential for more gold strikes, CGA said an extension of highly mineralised quartz veining has also been identified, immediately to the north of the current planned Colorado Pit.

Exploration is ongoing at the project, with a current program of resource infill drilling underway in the planned Main Vein Pit.

The 41 hole program is targeting the inferred section of 4 major veins within the Binstar zone as well as the Main Vain zone itself.

These latest results for CGA come hot on the heals of a major milestone announced earlier in the week, with the company now having poured ten tonnes of gold at Masbate.

To aggressively boost exploration at the project, CGA has allocated a US$10 million per annum exploration budget, focussed on both the conversion of additional resources to reserves, and delineating new reserve and resource ounces.

The exploration campaign includes 25,000 metres of reverse circulation drilling, 30,000 metres of diamond drilling and 15,000 metres of trenching.

CGA Mining reaches 10 tonne gold poured milestone at Masbate

Wed, 25 May 2011 06:04:00 +0100

CGA Mining (ASX: CGA, TSX: CGX) has now achieved the ten tonne gold poured milestone at the Masbate Gold Project in the Philippines.

CGA is also locking in the throughput rate of 6.5 million tonnes per annum, with an upgrade to the processing plant.

To agressiverly boost exploration, the company has allocated a US$10 million per annum exploration budget at Masbate focussed on both the conversion of additional resources to reserves, and delineating new reserve and resource ounces.

The exploration campaign includes 25,000 metres of reverse circulation drilling, 30,000 metres of diamond drilling and 15,000 metres of trenching.

Masbate is the largest gold project in the Philippines and has a total Indicated Resource of 153.41 million tonnes at 0.92 grams per tonne gold for 4.55 million gold ounces, and a Probable Reserve of over 3 million gold ounces.

The ore body at Masbate strikes in a south easterly direction and CGA owns the next 18 kilometres of intensely mineralised strike.

CGA successfully poured its first gold in May 2009 to kick off production from the project.

In its first year of operation Masbate produced in excess of 150,000 ounces and is on track to produce at a rate of over 200,000 ounces per annum.

The company recently spun out its African assets in Ratel Group (TSX: RTG) and also holds a 23% interest in St Augustine Gold and Copper (TSX: SAU), which is earning a 60% stake in the King-king Copper-Gold Porphyry Project in the Philippines.

CGA Mining net profit jumps 400% to $39 million in first half

Wed, 09 Feb 2011 10:37:00 +0000

CGA Mining (ASX: CGX, TSX: CGA) is reaping the benefits from the sustained high gold price and the stellar gold production performance from the Masbate gold project in the Philippines, with a 400% jump in net profit.

Net profit was $39 million for the first half of financial year 2011, up from $7.6 million for the corresponding period a year before, with cash flows from existing operations doubling to $47 million.

For the second quarter of financial year 2011, a record 50,330 gold ounces was produced by CGA Mining, a 4% increase over the previous quarter.

This was the seventh consecutive quarter of increased gold production for the company.

Masbate is behind the booming gold production, which is currently forecast to produce 200,000 gold ounces each year.

Masbate has a Probable Reserve of 3.03 million gold ounces.

CGA Mining seventh consecutive record quarter of gold production

Tue, 25 Jan 2011 04:34:00 +0000

CGA Mining (ASX:CGX, TSX:CGA) continues its stellar production record from the Masbate gold project, which has helped the company land its seventh consecutive quarter of increases in gold production and throughput.

Masbate is the company's main project, which was acquired by CGA in March 2007, and is now the largest operating gold project in the Philippines.

For the second quarter of financial year 2011, a record 50,330 gold ounces was produced, a 4% increase over the previous quarter.

Mill throughput rose 7% to 1.5 million tonnes of ore.

The company said cash operating costs were A$613 per ounce for the period, up from A$587 per ounce in the September quarter, due to a small decrease in recovery rates.

Revenue from gold sales jumped 36% to $68.5 million for the period, with the average gold price US$1,228 per ounce up from US$1,119 per ounce in the September quarter.

CGA also said that in line with the 6.5mtpa plant expansion plan at Masbate, orders were placed for a 400tph supplementary crushing circuit, which will be designed to ensure the 6.5mtpa throughputs are achieved when the ore blend becomes "harder".

Initial construction for the upgrade has already begun.

At the end of 2010, CGA had US$240 million in cash and liquid assets.

CGA Mining's quarterly results see record gold production at Masbate project

Mon, 24 Jan 2011 08:42:00 +0000

CGA Mining (TSX:CGA, ASX:CGX) announced Friday quarterly results that saw the company land its seventh consecutive quarter of increases in gold production and throughput.

The company's prime project is the Masbate gold property, which was acquired by CGA in March 2007, and is now the largest operating gold project in the Philippines. In the first year of operations, the project produced in excess of 150,000 ounces of gold.

For the quarter ending December 31, 2010, CGA achieved a record 50,330 ounces of gold production - a 4% increase over the previous quarter. Mill throughput rose 7% to 1.5 million tonnes of ore.

The company said cash operating costs were $613 per ounce, versus $587 per ounce in the September quarter, a result of slightly reduced recovery rates.

Revenue from gold sales saw 36% sequential growth to $68.5 million in the quarter as the company recorded an average gold price of US$1,228/oz, versus US$1,119/oz for the September quarter.

During the last quarter, the company conducted 9,401 metres of reverse circulation drilling and 2,383 metres of diamond core drilling at Masbate as part of its exploratory efforts. Some significant intersections include 4 metres at 8.99 g/t gold in hole BSST019; 6 metres at 3.37 g/t gold in hole PORP008; 9 metres at 3.41g/t gold in hole PORP009; and 3 metres at 9.63 g/t gold in hole PORP017.

At year-end, CGA had US$240M in cash and liquid assets - a 62% sequential increase following an investment in the 20.7M equivalent gold ounce King-king Gold Copper project. The company invested in the project through its acquisition of an interest in Ratel Gold last year.

CGA Mining acquires 28.7 million Ratel Group shares

Wed, 12 Jan 2011 06:40:00 +0000

CGA Mining (ASX: CGX, TSX:CGA) now has beneficial ownership and control of 28,722,222 common shares in Ratel Group (TSE: RTG).

This comprises 9,722,222 shares acquired from the spin-out of certain African property interests formerly held by St. Augustine Gold and Copper, (formerly Ratel Gold), and 19,000,000 shares acquired from the conversion of subscription receipts.

The CGA stake in Ratel is now 19.15%.

Ratel last traded at C$0.48.

CGA Mining hits another quarterly gold production record with 50,330oz at Masbate

Fri, 07 Jan 2011 05:41:00 +0000

A record 50,330 gold ounces, equating to around $70 million in value based on a gold price of US$1375, was produced by CGA Mining (ASX: CGX, TSX: CGA) at the Masbate Gold Project for the December 2010 quarter.

Throughput also hit record levels at 1,549,168 tonnes.

To highlight how the CGA continues to ramp up production at Masbate, the December 2010 quarter was the seventh consecutive quarter of record production and throughput levels being achieved.

Gold ounce production is set to continue increasing, with expansion plans in place in early 2011.

Masbate, located in the Philippines, is the largest gold project in the country with gold first poured in May 2009.

Masbate has an indicated resource base of 4.55 million gold ounces, a total inferred resource base of 3.22 million gold ounces and a probable reserve of 3.03 million gold ounces.

CGA said the project is forecast to produce over 200,000 gold ounces annually.

CGA Mining expands Masbate gold project in Philippines with new stake in Pajo property

Wed, 08 Dec 2010 08:49:00 +0000

CGA Mining (TSX: CGA, ASX: CGX) said Tuesday that it has acquired an undisclosed interest in the Pajo property in the Philippines, in joint venture with Bloomsbury Holding and local partners.

The Pajo property covers an area of around 786 hectares and is to the north of the Colorado Pit on the company's Masbate Gold project, the largest gold project in the Philippines that had its first pour in May of last year.

The acquisition will increase CGA's amount of land under mining licenses by 53%, and is expected to improve operations by allowing shorter hauls for waste dumping from the currently operated Colorado Pit.

The company said that the new stake in Pajo will mean the site, together with Masbate, now has more than 18 kilometres of exploration tenure, with potential to grow the reserve and resource base of the project through drilling.

The Pajo property hosts the Pajo Hill prospect, which was subject to underground mining during the pre-war period. CGA said that a drilling program by previous owners identified a polygonal resource at the site, with the central part of the zone showing continuous mineralized widths of 60-110 metres.

It added: "Several other areas of significant quartz veining that align with structures already identified and converted into reserves and resources at the Masbate tenements have also been identified."

Masbate has a total indicated resource base of 4.55 million ounces, a total inferred resource base of 3.22 million ounces and a probable reserve of 3.03 million ounces of gold. The project is forecast to produce over 200,000 ounces per year.

CGA Mining invests C$15 million in African focused Ratel Gold via subscription receipts

Tue, 07 Dec 2010 09:07:00 +0000

CGA Mining (ASX: CGX, TSE: CGA) has increased its investment in Ratel Gold (TSE: RTL) by acquiring 50 million subscription receipts at C$0.30 in Ratel through a subsidiary, for a total investment cost of C$15 million.

The investment was made through a private placement.

When the subscription receipts are exercised into common shares, CGA Mining will hold 67.5 million Ratel shares, or around 26.3% of the company.

Ratel is focused on developing gold and copper deposits in Africa, with the company earning a 51% interest in the Segilola Gold Project in Nigeria, the largest undeveloped gold resource identified in the country, and holds a 51% interest in the Mkushi Copper Project in Zambia.

At the Segilola Gold Project, Ratel has identified a maiden NI 43-101 compliant indicated resource of; 521,814 ounces of gold contained in 3,620,386 tonnes at a grade of 4.5g/t, and an inferred resource of; 96,445 ounces of gold contained in 747,590 tonnes at a grade of 4g/t, from just the first pass 11,000m drill program.

CGA Mining hits new record daily rate of output at Masbate gold project in the Phillippines

Tue, 30 Nov 2010 16:07:00 +0000

CGA Mining (TSX:CGA, ASX: CGX) said Tuesday it has reached a new record throughput level at the Masbate gold project in the Phillippines, with the mill having processed 22,562 tonnes on 27 November.

This represents a 3% increase from the company's previous record set a week earlier at 21,831 tonnes on 15 November.

The company said the new record of 22,562 tonnes, at a 94% availability, is equivalent to an annual throughput of approximately 7.5Mtpa - in excess of 90% above design capacity.

During the month of November, the plant acheived a number of milestones, including a daily throughput rate of 94dtph and the highest six days of productivity thus far.

The Masbate gold project is the largest of its kind in the Philippines and was developed with first gold poured on 12 May 2009. The project has a total indicated resource base of 4.55M ounces, a total inferred resource base of 3.22M ounces and a probable reserve of 3.03M ounces of gold. At steady state operations, the project is forecast to produce over 200,000 ounces per year.

The company is currently completing a US$15M investment program designed to upsize throughput to 6.5Mtpa.

CGA was up 1.6% on Tuesday, trading at $3.06 as of 10:31 am EST.

CGA Mining achieves daily throughput production record at Masbate

Mon, 15 Nov 2010 15:34:00 +0000

CGA Mining (ASX:CGX, TSX:CGA) has achieved a new daily throughput production record at the Masbate Gold Project in the Philippines of 21 831 dry tonnes processed at a throughput rate of 926dtph, with the plant continuing to perform well and exceed all expectations.

The previous record was 20 526t which was announced 10 May 2010. In the September Quarter the project produced 48 373 ounces at cash operating costs of $587/ounce. Throughput was 1 447 557t for a grade of 1.27g/t and a recovery of 85.9%. Availability was up to 91% (June Quarter 87.4%).

The Masbate Gold Project is the largest gold project in the Philippines and was successfully developed with first gold poured on 12 May 2009.

The project has a total indicated resource base of 4.55M ounces, total inferred resource base of 3.22M ounces and a probable reserve of 3.03M ounces of gold. At steady state operations the project is forecast to produce over 200,000 ounces per annum.

The 4Mtpa designed plant was constructed by Leighton Contractors Asia Limited without one lost time injury. The mining contract for the project has also recently been awarded to Leighton, the largest mining contractor in the world, and aims to expand the project to 6.5 Mtpa.

The plant is currently running at an annualised rate in excess of 6Mtpa. CGA is completing a US$15M investment program designed to upsize throughput to 6.5Mtpa at Masbate.

CGA Mining and Sierra Mining to identify opportunities in the Philippines

Tue, 02 Nov 2010 09:13:00 +0000

CGA Mining (ASX: CGX) and Sierra Mining (ASX: SRM) have entered into an exploration alliance to identify exploration and development opportunities in the Philippines.

CGA is very experienced in the Philippines, as the developer of the Masbate Gold Project, which is the largest gold mine in the country with forecast production at 200,000 gold ounces per annum.

Sierra will conduct a A$6 million placement, which will be supported by and participated in by CGA, and in return Sierra has granted CGA a right of first refusal in the event Sierra chooses to dispose of an interest in any of its projects, as well as a pro-rata right to participate in future capital raisings, subject to approvals.

Michael Carrick, managing director of CGA, said “CGA has great faith in the future of the mining sector in the Philippines and the contribution it can make to the Philippines economy.

"Sierra has an outstanding portfolio of projects and this Alliance is a terrific opportunity for CGA to participate in the great untapped exploration potential in the country.”

The Sierra placement will comprise 24 million ordinary shares at $0.25.

CGA Mining and Ratel Gold to acquire 60% stake in 21m ounce gold King-king Project

Tue, 19 Oct 2010 10:11:00 +0100

Ratel Gold (TSX: RTL) has entered an alliance with CGA Mining (TSX: CGA, ASX: CGX) to acquire a 60% interest in the 21 million ounce undeveloped gold resource at the King-king Copper-Gold Project in the Philippines, one of the largest undeveloped copper-gold deposits in the world.

The proposed consideration is an issue of 80 million new shares in Ratel, together with a further 75 million Ratel shares on the completion of a feasibility study on the project or any subsequent change in control of the Ratel Board.

The King-king deposit is a gold rich, copper-gold porphyry deposit located in the south east of the Philippine Island of Mindanao, located 92kms NW of Davao City and 13 kms from the coast.

The project is listed as one of the top priority projects by the Philippine Mines and Geosciences Bureau and the project has a low strip ratio (0.8:1 compared to an industry average of 2.5:1).

There is significant unexplored upside potential to the deposit. Drilling was open at depth and is undrilled to the north east end of the deposit, which has a number of high grade epithermal gold targets.

King-king has a measured and indicated equivalent copper-gold resource of 791.5 Mt at 0.815 g/t equivalent gold for 20.7M equivalent gold ounces (0.279% Cu for 4.9B lbs of Cu and 0.371 g/t Au for 9.4M ounces of contained Au) and a further 2.75M equivalent gold ounces in inferred resources (125.5Mt at 0.237% Cu lbs and 0.308 g/t Au).

A NI 43-101 compliant report is being prepared by Independent Mining Consultants, Inc. (IMC) and will be released by Ratel on sedar.com within 45 days.

The RMMI Group entered into an agreement (the Memorandum of Understanding) with Philippine based Nationwide Development Corporation (Nadecor), the current MPSA licence holder.

RMMI had the right to earn a 60% interest in the project in exchange for funding and preparing a feasibility study on the development of the project (estimated in the Memorandum of Understanding at US$43.5m), and make payments to Nadecor of US$7.5m and fund the first US$12.8m of Nadecor’s ultimate 40% contribution to development capital.

The RMMI Group has significantly advanced the project over the last 14 months, engaging IMC in the development of a mine plan and resource validation and assessment to NI 43-101 and JORC standards and AATA International, Inc. in the environmental assessment, as well as assisting Nadecor in the filing of he required Exploration and Environmental Work Programs.

Bromius Capital has acted as their exclusive financial advisor in this process.

The RMMI Group, in coordination with Nadecor, has entered into a heads of terms agreement with the previous operating partner, Benguet Corporation (“Benguet”) (Philippine Exchange Symbol - BC), providing for a settlement of all previous claims of interest in the project.

It is anticipated that completion of the settlement will occur shortly and the loan facility described below will be used to fund the initial settlement payments to Benguet that will be due under the settlement agreement.

The proposed acquisition of the King-king Interests is conditional on Ratel first completing a C$25m capital raising at C$0.30 and securing all necessary consents and approvals, including shareholder and Toronto Stock Exchange (TSX) approval of amongst other things, the acquisition, the issue of shares to the RMMI Group and the Ratel Placement.

CGA, in line with its existing strategic alliance with Ratel and the RMMI Group has agreed to subscribe for additional shares in the Ratel Placement, to increase its interest to approximately 27%. As part of this strategic alliance, CGA is well positioned to assist with operating in the Philippines.

CGA’s participation in the Ratel Placement is also subject to the approval of Ratel’s shareholders and the TSX.

CGA has agreed to provide the initial funding (upto US$14.9m) under a loan facility to the RMMI Group to fund the initial settlement payments to Benguet and debtholders of Benguet together with working capital, which will be fully secured against the King-king Interests and will be repaid on completion of the proposed acquisition from the Ratel Placement proceeds.

Repayment of the loan by CGA is also subject to the approval of the TSX and Ratel’s shareholders.

The RMMI management team are US based and will assume Board control of Ratel on successful completion of the proposed acquisition of the King-king Interests.

Ratel also plans to undertake a spin-off of the existing African assets of the company, by way of an entitlement issue back to shareholders, with the entitlement date to be established prior to completion of the abovementioned transactions.

It is currently planned that a meeting of shareholders of Ratel will be held in late November and detailed meeting documentation, including an overview of the King-king project will be dispatched to shareholders as soon as available.

Completion of the proposed acquisition of the King-king interests and the Ratel placement is planned after all necessary consents are secured.

CGA Mining inks contract to increase mining fleet at Masbate Gold Project

Fri, 08 Oct 2010 09:31:00 +0100

CGA Mining (TSX: CGA, ASX: CGX) has secured a new mining contract with Leighton Contractors Asia Limited, a part of the Leighton Group, to expand the Masbate Gold Project in the Philippines to 6.5 Mtpa.

The plant at Masbate is currently running at an annualised rate of 6Mtpa. CGA is completing a US$15M investment program designed to upsize throughput.

Leighton Group, which is the largest mining contractor in the world with annual revenues exceeding US$16.5 billion, has ordered a larger mining fleet as part of the expansion.

The new fleet, initially consisting of 2 200T excavators and 10 100T dump trucks, will be used to increase mining production rates from the current 550,000 BCMs per month to 920,000 BCMs per month.

The fleet will be further increased with the addition of an extra 7 100T dump trucks, to be ordered in approximately 6 months time. The new fleet will improve the efficiency of the mining operation and will allow the acceleration of cutbacks to ensure ore is available to the mill at the increased rates.

Michael Carrick, chief executive officer, said “this is an important step towards locking in the benefits from the economies of scale available at an expanded throughput rate of 6.5 Mtpa."

"The sizing of the fleet is in line with the larger mining areas now available and is a reflection of the maturity and future potential of the operation at Masbate."

The Masbate Gold Project is the largest gold project in the Philippines and was successfully developed with first gold poured on 12 May 2009.

The project has a total indicated resource base of 4.55M ounces, total inferred resource base of 3.22M ounces and a probable reserve of 3.03M ounces of gold. At steady state operations the project is forecast to produce over 200,000 ounces per annum.

CGA Mining reports bumper US$18.9m profit, hunts for gold acquisitions

Wed, 29 Sep 2010 09:07:00 +0100

CGA Mining (ASX:CGX,TSX:CGA) has reported a US$18.948M net profit for financial year 2010 in audited results, up from the $4.847M loss in the previous corresponding period.

Michael Carrick, chief executive officer, said, “CGA is pleased with the operational performance of the Masbate Project in its first year."

The Masbate Gold Project, the largest gold project in the Philippines, was fully commissioned during the year.

The mine achieved an annual production profile in excess of 150,000 ounces with consistent growth quarter on quarter, to be operating currently at an annual equivalent of 6Mtpa throughput.

The project has a total indicated resource base of 4.55M ounces, and a total inferred resource base of 3.22M ounces, with a probable reserve of 3.03M ounces of gold.

At steady state operations the project is forecast to produce over 200,000 ounces per annum.

CGA added that it has a disciplined acquisition program focused on acquiring new gold projects, with a substantial initial resource with the capacity to grow materially, and where the development and operational experience of CGA can be applied to enhance shareholder value.

CGA Mining boosts cash pile and cuts debt as cash flow rises

Thu, 16 Sep 2010 14:40:00 +0100

CGA Mining (ASX: CGX, TSX: CGA) cash and liquid assets has increased fivefold to US$109.2 million from US$22.6 million for financial year 2010, as reported in the preliminary financial results.

Total revenue jumped to US$158M from US$2.3M for the same period, with borrowings falling to US$63.4M from US$108M.

The financial success has been driven by the Masbate Gold Project, which is the largest gold project in the Philippines.

Masbate was successfully developed with first gold poured in May 2009, with the project having a total indicated resource base of 4.55M ounces, and a total inferred resource base of 3.22M ounces, with a probable reserve of 3.03M ounces of gold.

This has allowed CGA to forecast gold production of over 200,000 ounces per annum.

The increasing gold price helped the CGA financial success, with the US$1,052 average realised gold price for financial year 2010 US$118 higher than the previous corresponding period.

With the gold price steadily climbing, currently around US$1,270, this bodes well for a further increase in profitability for CGA for financial year 2011.

The market applauded the results, with CGA up $0.11, or 4% to $2.75, in early morning trading.

CGA Mining increases cash and reduces debt with Masbate production success

Thu, 16 Sep 2010 09:13:00 +0100

CGA Mining (ASX: CGX, TSX: CGA) cash and liquid assets has increased fivefold to US$109.2 million from US$22.6 million for financial year 2010, as reported in the preliminary financial results.

Total revenue jumped to US$158M from US$2.3M for the same period, with borrowings falling to US$63.4M from US$108M.

The financial success has been driven by the Masbate Gold Project, which is the largest gold project in the Philippines.

This has allowed CGA to forecast gold production of over 200,000 ounces per annum.

The increasing gold price helped the CGA financial success, with the US$1,052 average realised gold price for financial year 2010 US$118 higher than the previous corresponding period.

With the gold price steadily climbing, currently around US$1,270, this bodes well for a further increase in profitability for CGA for financial year 2011.

The market applauded the results, with CGA up $0.11, or 4% to $2.75, in early morning trading.

CGA Mining nears 6.5 million tonnes per annum throughput at Masbate Gold Mine

Wed, 15 Sep 2010 08:38:00 +0100

Dual listed Philippines focused gold producer CGA Mining (TSX:CGA, ASX:CGX) slipped 2% in trading today despite reporting that its plant availability at the Masbate gold mine was 2.7% ahead of management`s forecast of 92%. The emerging gold producer reported the milestone in a brief update to shareholder this morning to coincide with its maiden year of operations at Masbate.

The processing plant at Masbate was initially designed to operate at a rate of 4 million tonnes per annum (Mtpa), but the Sydney and Toronto listed company reported today that a US$15 million investment program was `well advanced` which would increase throughput to 6.5 Mpta. In August the company achieved throughput of 0.538 million tonnes.

For the twelve month period ended June 30, 2010, CGA Mining milled 4.5 Mtpa at an average grade of 1.26 grams per tonne gold with plant availability of 88.9% and recoveries of 83.2%. This produced 150,143 ounces of gold at a an average cash cost of US$548 per ounce.

The Masbate Gold Project is the largest gold project in the Philippines and first gold poured in May 2009. It has a total indicated resource base of 4.55 million ounces, total inferred resource base of 3.22 million ounces with a probable reserve of 3.03 million ounces of gold.

The mine will produce at a annualized rate of 200,000 ounces of gold once at a steady state of operations.
Shares in the company are currently sitting just below their 52 week high of CAD$2.60 per share.

CGA also recently spun out its African assets into Ratel Gold (TSX:RTL), which listed on the Toronto Stock Exchange. Ratel Gold is earning a 51% interest in the Segilola Gold Project in Nigeria and holds a 51% interest in the Mkushi Copper Project in Zambia. CGA has retained a 20% equity stake in the Africa focused company.

CGA Mining`s Ratel Gold raises C$14 million

Mon, 09 Aug 2010 15:52:00 +0100

Dual-listed CGA Mining (TSX: CGA, ASX:CGX) and Ratel Gold Limited (TSX: RTL) has reported the previously announced initial public offering of common shares in Ratel has closed successfully. Ratel today issued 70,000,000 common shares at a price of C$0.20 per common share, for aggregate gross proceeds of C$14 million.

Haywood Securities Inc. acted as agent for the Offering pursuant to an agency agreement. The common shares will begin trading today on the Toronto Stock Exchange under the symbol “RTL".

The funds raised will be used to fund exploration and feasibility activities at the Segilola Gold Project and the Mkushi Copper Project.

Michael Carrick, chief executive officer of CGA and Director of Ratel, said ”we are pleased with the overwhelming support shown by CGA shareholders for the spin off of the African assets and believe Ratel Gold Limited, a new dedicated African focussed resources company will be well received by the market.”