Golden Rim Resources (ASX: GMR) has kicked off a Bankable Feasibility Study for its Balogo gold project in Burkina Faso with the commencement of an Environmental Impact Assessment.
Balogo is a potential high margin, low capital cost, open pit mine development that offers the company an early route towards gold production and cashflow.
The BFS will assess the economic viability of installing a modular 30 tonne per hour gravity and carbon-in-leach plant to exploit the resource at the high grade Netiana Lodes at Balogo.
Netiana Lodes has an Inferred Resource of 850,000 tonnes at 6.8 grams per tonne for 185,000 ounces of contained gold.
Golden Rim has also completed a scoping study on the Netiana Lodes which indicates that the resource can support a robust, high margin, low capital cost, open pit mine development.
The EIA is the longest time line component of the BFS and is expected to be completed by the end of June 2014. Other components of the study are expected to start in late September 2013 after the end of the rainy season.
Initially Golden Rim intends to complete an infill drilling program at Netiana to upgrade the gold resource. It is planned to utilise some of these drill holes for geotechnical, metallurgical and hydrological purposes. The drilling will be followed by mining and engineering studies.
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