RG Gold announced the results of the re-evaluation of its mineral resources in accordance with the JORC international classification.
The company reported about the completion of calculation of the amount of natural resources at the Yuzhnyi (Southern) and Severnyi (Northern) Raygorodok minefields in concordance with the JORC Code of 2012.
The results of geological explorations that were conducted in the period from 1996 until 2017 were taken into account during the calculations. It shows that between 2012 and 2016, the total amount of mineral resources had increased from 1.3 million ounces to 4.66 million ounces of gold.
The new calculations were carried out by the AMC, the company from Austria. 420 core holes of the total depth of 119 thousand meters were drilled across the Yuzhnyi Rajgorodok in the course of geological prospecting works, while 264 core holes of the total depth of 65 thousand meters were drilled across the Northern one.
The obtained results have proved the expectations of RG Gold regarding an additional increase in mineral recourses. In order to realize the full potential of this resource increase, the company initiated the launch of the program for the refining supplementary drilling program which was completed in September 2017. As the result, the estimated resources for the Yuzhnyi Rajgorodok have increased two-fold.
The company continues its work on the technical and economic justification for constructing the plant for processing of primary ore with regard to the increase of resource base. It also doesn’t rule out the possibility of the corresponding increase of its production capacity. According to the plan, the plant will begin its operations in 2021.
Serik Syzdykov, the general director at RG Gold LLC, said that they are happy that the drilling had positive results. However, we want to keep the work going; therefore, we have prepared the geological exploration plan for the period of 2018-2021. This new assessment of our resources gave us more confidence about the prospects of further development.
Davron Rustamkulov, the deputy general director in charge of investment at Vernyi Capital Group, said that RG Gold and its team of international consultants are reviewing various options for further project development which include the increase of gold-mining plant’s capacity up to 6 million tons per year.
RG Gold, previously known as Rajgorodok, is a mining company that operates in the Burabay district of the Akmola region on the Novodneprovsk contract territory. The Vernyi Capital Group, a group of private equity companies owned by Bulat Utemuratov, is currently the sole owner of RG Gold LLC.