Client name: Golden Rim Resources (GMR)

Duration: 2013

Location: Balago District, Burkina Faso


Coffey’s proposed project plan delivered an net present value of $43M with an IRR of greater than 100% - resulting in less than 12 months payback.   

Situation

The ore body was a small 850,000 tonne deposit at 6.3g/t gold grade demanding a simple, low capital cost project concept with a fast payback (IRR) and healthy nett present value (NPV).

The deposit was high grade and almost vertical dipping requiring the processing facility to be modulised and easily transportable to enable re-location.

Solution

The scoping study outcome proposed was 443,000 tonnes of ore at 9.3g/t grade for a C3 cost under $700/ounce, meeting a payback period of less than 12 months.

We were able to provide the client with a viable mine plan with an acceptable stripping ratio.

Various options were proposed, some unconventional, all delivering a low capital cost and providing required cash flow with low processing risk.

Result

We offered a simple low cost option to develop the Netiana gold deposit. The study was completed in less than three months, including metallurgical testwork, to demonstrate that this high grade orebody was amenable to conventional cyanide leaching at greater than 95% recovery.

Challenging strip ratios were mitigated through application of optimised pit design and novel approaches were offered for treatment pathways from our metallurgical experts to further improve project economics.

We also delivered additional project options to enable future optimisation during feasibility studies to further improve the project economics and maximise shareholder returns.