Plant construction – up-to-date progress report

The refurbishment of Maco’s existing 500 t/d processing plant (Phase 1) was completed towards the end of 2006 and the plant was progressively commissioned from Q1, 2007. 

Experience during processing in 2007 and early 2008 confirmed that the 500 tpd plant would be capable of processing up to 700 tpd with good recoveries.   During 2007 and the early part of 2008 the 500 tpd pilot plant operated on development ore while the technical review of the mill expansion and mine plan continued. 

The plant has shown that it can operate at rates of up to 700 tpd, but is not able to do so on a sustainable basis at present. While this is being investigated,  the ramp up to 700 tpd has been delayed to Q3 2009. A production rate of 1,000 tpd to 1,500 tpd was considered achievable in 2007 based on normal expectations regarding the confidence in resources and the physical mining conditions. This expectation has been downgraded on the basis of the most recent review of the resources.

Flotation studies were initiated to reduce the amount of cyanacides in the ore including, copper, lead and zinc. Tests have shown that saleable concentrates of these base metals can be obtained that could potentially double the value of the ore. Poor current base metal prices and concerns over the market for these concentrates have meant that this project has been deferred.

The new starter dam and first phase of the tailings management facility were completed in 2008.  The first phase of the facility will allow for production through calendar year 2009. The second expansion phase is scheduled to start in late 2009, with the timing of the third phase dependent upon the tailings consumed in the mine backfilling process.

Construction is ongoing of a fine ore bin and the conversion of the cyanide detoxification tanks to leach tanks to achieve the 700 tpd for Q3 2009.