Perseus Mining Ltd. (TSX:PRU,ASX:PRU) announced an updated mineral resource estimate for its Edikan gold mine in Ghana. The update follows an infill drilling program and reflects adjustments made to “key assumptions to reflect actual results to date.”
As quoted in the press release:
Relative to the previous Mineral Resource estimate for EGM published in June 2013, the updated Mineral Resource contains 357,300 fewer ounces of gold in the Measured and Indicated categories and 74,300 fewer ounces in the Inferred category. After adjusting both Mineral Resource estimates to the mining surface as at 30 April 2014, the net decrease in Mineral Resources is 155,500 ounces (2.8%) in the Measured and Indicated category and 73,800 ounces (3.0%) in the Inferred category.
Jeff Quartermaine, managing director of Perseus, commented:
The overall change to Edikan’s Mineral Resource estimate is relatively immaterial but it does reflect several points worth noting.
The first is that actual conditions encountered once mining operations commence do not always totally mirror assumptions made when initial mine planning takes place. In this case the bulk density of ore mined in the AF Gap and Fobinso pits is slightly different to what was assumed in prior Mineral Resource estimates and when this difference is factored into Mineral Resource calculations, it does have an impact, albeit, reasonably small.
The second key takeaway from the current Mineral Resource estimate is that our recent infill drilling programme at Bokitsi South has been successful in identifying mineable material with a head grade well above the life of mine average ore grade that may lead to an increase in the average head grade of ore processed by our mill.