Shanta Gold Ltd said construction at the Singida gold project in Tanzania was progressing on schedule and in line with capital spending expectations.
“Several major project milestones have now been completed on site with construction now 45% complete and a clear path to realising first production within the next 12 months,” said chief executive Eric Zurrin.
“Total capital spend at Singida in 2022 is estimated at approximately US$25mln, resulting in production early 2023, assuming the current guided production forecast at our operating mine New Luika gold mine and an average gold price of approximately US$1800/oz.”
The Metso-built crushing circuit was delivered last December and all the equipment and steel are now on site with assembly due to begin in March 2022, said the AIM-listed company. Manufacturing of the grinding and gravity circuit mill is 100% complete with shipment to site targeted for next month and installation planned for May.
"Singida will transform Shanta from a single asset gold producer to a +100,000 oz pa diversified gold miner with two independent operations generating significant cash flow,” said Zurrin.