Shanta Gold Limited (AIM:SHG, OTC:SAAGF)'s new gold mine at Singida in Tanzania is on track for first production early in 2023 with 70% of the construction work now complete.
Eric Zurrin, Shanta's chief executive, said in a statement: "We are delighted with the great progress being made at Singida, with construction on schedule for first production in Q1 2023."
A crushing circuit has been installed and commissioned with work on a grinding circuit ongoing, he said.
Linings for the tailings facility are expected to be laid in the fourth quarter.
Zone 1 of the Gold Tree Pit has also been excavated to 15 metres (m) with total depth by year 4 expected to reach 150m.
Gold Tree contains 49% of all the current mineral resources at Singida.
“The completion of this mine will transform Shanta Gold into a +100,000 oz/pa producer with a diversified resource base, de-risking the balance sheet and providing the business with further financial flexibility," Zurrin added.