Bezant Resources PLC Initial Gold-Platinum Production at Choco Project (0769O)
August 16 2017 - 1:00AM
UK Regulatory
TIDMBZT
RNS Number : 0769O
Bezant Resources PLC
16 August 2017
16 August 2017
Bezant Resources Plc
("Bezant" or the "Company")
Initial Commercial Gold-Platinum Production, Choco Project,
Colombia
Bezant (AIM: BZT), the AIM quoted gold and platinum development
company, is pleased to announce the commencement of commercial
gold-platinum production at the Company's FKJ-083 licence area
located in the Choco region of Western Colombia (the "Choco
Project").
Through its wholly owned Colombian subsidiary, Ulloa Recursos
Naturales S.A.S., and its operating partner, Exumax S.A.S, the
Company has achieved initial commercial production of gold and
platinum within just two months of plant commissioning at this
first mining area. The FKJ-083 licence area forms part of a far
larger alluvial system and deposit within the Choco province.
Bezant will now seek to reach operational profitability at the
FKJ-083 licence area within the next three months, targeting the
operational and economic parameters outlined in the independent
scoping study commissioned earlier this year, further details of
which were announced on 8 March 2017, with equivalent estimated
total production costs of less than US$800/oz.
The first production plant is being fed from the open pit
currently under development, starting with material from the
lower-grade upper layers of platinum and gold bearing gravels
typical of the region. Whilst this upper layer material is
processed, the pit will continue to be developed to deeper levels
in order to intersect the higher grade gravels. Recovered gold and
platinum is deemed as 'free' due to the alluvial nature of the
project and should not be subject to any smelting penalties or
further recovery costs typically associated with the liberation of
ores. The Choco Project now has a fully established mining camp,
including processing laboratories, and first sales from production
are currently expected to occur during Q3 2017.
Outlook
Bezant anticipates a grade upscale commencing as production
progresses down to the higher grade platinum and gold bearing
gravels nearer to the bedrock. The intersection of the large
material areas is planned to coincide with full production ramp-up
at the first processing plant.
The Choco province is an area where significant historic gold
and platinum mining activity has been recorded near surface. Prior
to the discovery of the Bushveld complex in South Africa, Choco was
the world's largest platinum mining region. The Company will
closely monitor the success of its first production ramp-up and
then seek to expand operations across the region. Utilising
additional domestically constructed processing plants fed from open
pit operations, Bezant aims to rapidly build production and cash
flow supported by its established mining camp.
Bernard Olivier, CEO of Bezant, commented:
"First commercial production of gold and platinum has been
achieved on schedule and we are now reviewing the run-of-mine
production data to achieve full operational ramp-up during the next
few months. I look forward to announcing further progress and the
sale of our initial gold and platinum in due course. I am delighted
with the speed with which we have delivered production and the
Company is now excellently positioned to drive shareholder value
from its implementation of a cash-generative mining model in gold
and platinum with low upfront capital requirements and good
margins."
For further information, please contact:
Bezant Resources Plc
Bernard Olivier Tel: +61 40 894 8182
Chief Executive Officer
Laurence Read Tel: +44 (0)20 3289
Executive Director / Communications 9923
Officer
Strand Hanson Limited (Nomad) Tel: +44 (0)20 7409
James Harris / Matthew Chandler 3494
/ James Dance
Peterhouse Corporate Finance Tel: +44 (0)20 7469
Limited (Broker) 0930
Lucy Williams / Duncan Vasey
/ Heena Karani
Tel: +44 (0)20 7382
Beaufort Securities Limited (Broker) 8300
Elliot Hance
or visit http://www.bezantresources.com
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulation (EU) No. 596/2014.
- ENDS -
This information is provided by RNS
The company news service from the London Stock Exchange
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