Hummingbird Resources plc said that Pasofino Gold Ltd expects to complete the feasibility study (FS) in April 2022 for the Dugbe joint venture (JV) gold project in Liberia.
GOLD RECOVERIES
The FS confirms gold recoveries of between 85% and 91%, depending on whether carbon-in-leach (CIL) or CIL with flotation circuit is selected.
Hummingbird added that current trade-offs aimed at the selection of the “optimal process to achieve the best financial outcomes”.
DUGBE
Dugbe’s open pittable resources include 57Mt material, grading 1.58 g/t with 2.88Moz gold.
Pasofino intends to prioritise the extraction of this higher grade component of the overall resource (75Mt at 1.37g/t in measured and indicated categories) to support a higher head grade during early years of production.
Hummingbird said that favourable results from the on-site geotechnical work should allow development of steeper pit slopes, which should translate to lower strip ratios.
The company also reported reduced energy costs and advancement of all other disciplines with the FS more than 70% complete.
The Liberian authorities have approved the environmental and social impact assessment (ESIA) scope.
The JV has also undertaken community engagement throughout the project’s development.
EARN-IN AGREEMENT
Pasofino intends to exercise its right under the earn-in agreement to acquire 100% of the project on completion of the 49% earn-in.
This will involve exchanging Hummingbird’s 51% controlling interest in the project for a 51% controlling interest in Pasofino.
PROJECT ECONOMICS
Chief executive Dan Betts added that news of the near completion of Dugbe FS was very encouraging.
“We look forward to reviewing what promises to be very strong project economics as highlighted by today’s update and those as highlighted in the PEA release in June 2021.
“The completion of the FS will mark a major milestone for Dugbe and complete its journey from being a pure exploration asset to a viable project with strong project economic fundamentals.”