Theta Gold Mines (ASX:TGM) has begun pre-construction activities, including decommissioning of the old gold plant, as well as completing final design and engineering packages at the TGME Project in South Africa.
The pre-execution works are expected to be completed by the end of next month, which will enable bulk earthworks to begin immediately upon project approval.
Once completed, Feasibility Study work will be refreshed to reflect the updated gold pricing and incorporate surface gold resources.
Gold’s price is sitting at $5,207.22 per ounce, as of 10.30am AEST today.
As part of the pre-development work, Theta will conduct procurement of electrical and wastewater management systems for temporary operations, as well as engage mobile cranes, flatbed trucks and heavy equipment to facilitate decommissioning activities.
Theta, which has a market capitalisation of $118.72 million, will also purchase equipment to dismantle old structures and conduct site preparations.
Upon completion, a perimeter fencing around the processing plant footprint will be installed and water supply piping will be rerouted.
Chairman Bill Guy says the transition from planning to action has started.
“This is a major step forward in transforming Theta into a near-term gold producer,” Guy says.
Theta notes that a near-term opportunity exists to include 174,000 ounces of gold located in tailings dams and surface rock dumps surrounding the TGME gold plant. This includes 140,600 ounces of indicated resources.
RM Processing has been appointed to oversee the comprehensive final plant design and cost estimates, as well as to build on Feasibility Study work conducted by Theta and Met63.
The TGME plant will process underground ore, surface tailings and rock dumps to produce a doré bar for refining.
Write to Aaliyah Rogan at Mining.com.au
Images: Theta Gold Mines
