Luiri Gold (ASX: LGM) has provided documents on the Dunrobin Feasibility Study to mezzanine financial institutions to support finance applications.
Currently optimisation studies underway to update the Feasibility Study documents with the recently defined Measured Resource.
The Measured Resource was defined by Coffey Mining and includes 978,000 tonnes at 2.6g/t gold for 81,000 ounces gold, and accounts to 42% of the metal at Dunrobin.
Dunrobin is part of the Luiri Hill Gold Project in the Mumbwa district of Zambia, which covers 277 square kilometres of granted tenements under 25 year, renewable mining licences.
The plan for Dunrobin is to produce 8,000 to 10,000 gold ounces annually for eight years, at a head grade to plant of 2.4g/t gold. 95% gold recovery indicated by existing testwork on oxide ore.
The current capital cost estimate of US$15 million to be financed by debt (and equity if required), and at US$1500 per troy ounce provides a reasonable rate of return on investment.
Construction to commence before end calendar 2013.
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