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Aureus Mining to build up stockpiles while process plant offline

Published: 08:49 13 May 2016 BST

Gold bar and nugget picture
Production has been suspended while the detox circuit is sorted out

Aureus Mining (LON:AUE TSX:AUE) said it is working with consultant SRK to remedy the problems that caused processing at the New Liberty mine to be suspended last week.

Production at the recently commissioned mine in Liberia was suspended after too high concentrations of cyanide were found in waste from the process plant.

Aureus said it is carrying out scheduled maintenance and building up an ore stockpile while it remedies the detoxification circuit.

New Liberty began commercial operations on 1 March but this was behind schedule due to other teething problems last year prompting it to renegotiate its debt repayment schedule.

That renegotiation process is still ongoing.  Aureus said it currently has US$5.5mln of cash and is monitoring its working capital position closely. 

In the quarter to March, Aureus generated revenues of US$23.1mln from sales of 19,246 oz.

Mining from the Kinjor and Larjor pits produced 1.97mln tonnes including 263,998 tonnes of ore at an average grade of 3.32g/t.

Some 252,578 tonnes of ore were processed at an average feed grade of 3.01g/t, resulting in the production of 22,706 ounces of gold.

Gold recovery for the quarter averaged 85%.

In April, production was 5,967 ounces of gold.

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