TORONTO, Feb. 22 12, 2022 (GLOBE NEWSWIRE) — Tanzanian Gold Corporation (TSX:TNX) (NYSE American:TRX) (TanGold or the Company) is pleased to provide an update on recent milestones achieved on the 1,000+ tpd (tonnes per day ) the expansion of the plant of the Buckreef Gold project (Buckreef Gold).
Buckreef Gold continues to advance the construction of a 1,000+ tpd oxide processing plant while successfully operating the 360 tpd operation.
Highlights for February 2022 include:
- Arrival of ball mills: Two new 360 tpd ball mills (to the same specification and from the same manufacturer as the existing operational mill) have now arrived on site (Figure 1). The delivery of this long-lead key element removes significant schedule risk, and the company reiterates its second and third quarter guidance for the commissioning of the 1,000+ tpd processing plant.
- Completion TSF-2: The second tailings storage facility (ISR) for processed oxide materials has been completed. The new facility, with future “elevators” planned, provides two years of storage. Planning for TSF-3 is underway
- Completion of the elution circuit: A new elution column (circuit) has been installed at Buckreef Gold, allowing for larger gold pours (2-3 times per month) with higher gold recovery efficiency from gravid carbon
- Significant balance of Run of Mine (ROM) pads: The mine has built up a large inventory of material mined on the ROM block of (end January 2022): 59,000 tonnes at 1.87 g/t containing approximately 3,532 ounces of gold. Another crush stockpile of 4,800 tonnes at 3.43 g/t containing approximately 533 ounces of gold was accumulated between the crusher and the mill
- Temporary detour completed: A temporary road diversion was completed around the northern end of the open pit, allowing the pit to be extended an additional 150 meters before the final road diversion around the final pit shell.
- Completed geotechnical work on site for the new carbon-in-leach (CIL) reservoirs: Geotechnical analysis has been completed for the site area of the new expanded CIL tanks of the 1,000+ tpd processing plant and earthworks will begin in February
“The arrival of the two new ball mills at the gates of Buckreef marks an important milestone for the Company. Following our initial success in building the 360 tpd processing plant (as an advancement of the 1,000+ tpd oxide processing facility), we are excited about the second construction phase of a treatment capacity of more than 1,000 tpd in the coming months. The expected increase in cash flow from the expanded processing plant should allow us to continue to move Buckreef forward in a way that is accretive to shareholders,” said Stephen Mullowney, Chairman and Chief Executive Officer of TanGold.
Target completion date for the 1,000+ tpd processing plant is Q2/Q3 2022 schedule and the expanded processing plant is expected to produce 15,000-20,000 ounces of gold per year based on plan initial pit and grade profile.
A media clip accompanying this announcement is available by clicking on the image or link below:
Figure 1: New 360 tpd ball mills arriving at Buckreef Gold Mine
About the Tanzanian Gold Corporation
TanGold and its joint venture partner, STAMICO, are advancing a major gold project at Buckreef in Tanzania. Buckreef is anchored by an expanded Mineral Resource released in May 2020. The Measured Mineral Resource is 19.98 million tonnes (“MT”) at 1.99 grams per tonne (“g/t”) of gold (“Au ”) containing 1,281,161 ounces (“oz”). ) of gold and indicated mineral resources is 15.89 MT at 1.48 g/t gold containing 755,119 ounces of gold for a combined tonnage of 35.88 MT at 1.77 g/t gold gold containing 2,036,280 oz of gold. The Buckreef Gold Project also contains an inferred mineral resource of 17.8 MT at 1.11 g/t gold for contained gold of 635,540 oz of gold. The Company is actively studying and evaluating several exploration targets on its property. Please see the Company’s updated mineral resource estimate for the Buckreef Gold Project, dated May 15, 2020 and filed under the Company’s profile on SEDAR on June 23, 2020 and with the SEC on June 23, 2020 , as amended (the “Technical Report”), for more information. Buckreef is progressing in a sustainable and value-creating way thanks to:
Expanding production profile: A 360 tonne per day (“tpd”) processing plant is being expanded to over 1,000 tpd, enabling a short-term production profile of 15,000 to 20,000 ounces of gold per year. Positive operating cash flow will be used for value enhancement activities, including exploration and development of sulphide projects.
Exploration: Pursue a drilling program with the objective of expanding resources, discovering new resources and converting resources to reserves, by: (i) step-out drilling in the northeast extension of Buckreef Main; (ii) infill drilling to improve the mineral resources currently in the Inferred category at Buckreef Main; (iii) Buckreef West infill drilling program; (iv) develop an exploration program for the newly discovered Anfield area; (v) develop historical mineral resources at Bingwa and Tembo; and (vi) identification of new prospects at the Buckreef Gold Project and in the East Africa region.
Sulfide Development Project: Unleashing the value of the sulphide project in which “sulphide ore” encompasses around 90% of the resources. The Company’s goal is to significantly exceed all metrics outlined in the technical report, including annual production and stripping ratio.
For more information, please contact Michael Leonard, Chief Financial Officer [email protected], 416-315-0662, or visit the Company’s website at www.tangoldcorp.com
Andrew M. Cheatle, P.Geo., Chief Operating Officer and Director of the Company, is the Qualified Person as defined by NI 43-101 who has reviewed and takes responsibility for the technical content of this press release .
The Toronto Store EXsonggchnotD NYSE American Havand notohyou randvIsewn and do notohdoes not accesspyou randresponsibleyouthere for the aDequity Where batteryraof this randIfacilitate. The Tanzanian Gold Corporation provides the research report reference in this press release for informational purposes only.
This press release contains certain forward-looking statements as defined in applicable securities laws. All statements, other than statements of historical fact, are forward-looking statements. Forward-looking statements are frequently, but not always, identified by words such as “expects”, “anticipates”, “believes”, “hopes”, “intends”, “estimated”, “potential”, ” possible” and similar expressions, or statements that events, conditions or results “will”, “could”, “could” or “should” occur or be achieved. Forward-looking statements relate to future events or future performance and reflect TanGold’s management’s expectations or beliefs regarding future events and include, but are not limited to, statements regarding continuing operating cash flow, expansion of its processing plant, the ability to successfully increase production to 1,000 tpd, estimate of mineral resources, recoveries, subsequent testing of the project, success, scope and viability of mining operations, timing and amount of estimated future production and capital expenditure.
Although TanGold believes that the expectations expressed in these forward-looking statements are based on reasonable assumptions, these statements are not guarantees of future performance. TanGold’s actual achievements or other future events or conditions may differ materially from those reflected in the forward-looking statements due to a variety of risks, uncertainties and other factors. These risks, uncertainties and factors include general business, legal, economic, competitive, political, regulatory and social uncertainties; actual results of exploration activities and economic evaluations; exchange rate fluctuations; cost changes; future prices of gold and other minerals; mining method, production profile and mine plan; delays in exploration, development and construction activities; changes in governmental laws and regulations; the ability to obtain financing on acceptable terms and in a timely manner or not at all; title deed competitions; employee relations and shortages of qualified personnel and contractors; the speculative nature and risks inherent in exploration, development and mining activities. These risks are set out in the reports that Tanzanian Gold files with the SEC. You may view and obtain copies of these filings on the SEC’s website at http://www.sec.gov.
The information contained in this press release speaks as of the date of the press release and TanGold undertakes no obligation to update this information.