Which US presidential candidate does gold prefer?
Gold loves chaos and should be hitting new highs, especially with inflation coming down and with it, two rate cuts likely before year’s end.
Galiano Gold (TSX: GAU) is on track to resume hard-rock mining operations at the Asanko gold mine (AGM) in Ghana in the fourth quarter following the award of a mining contract, the company said on Friday. AGM is a 50/50 joint venture with South Africa’s Gold Fields. Galiano is the manager and operator.
The contract scope will follow the new mine plan as described in a 2023 feasibility study, which outlined a an 8.5-year life with an after-tax net present value (at a 5% discount rate) of $343 million. Annual gold production approximately doubles from the 2023 guidance of 100,000-120,000 ounces to 250,000 ounces per year from 2025.
AGM is a multi-deposit complex, with four main open-pit mining areas – Abore, Miradani North, Nkran and Esaase – plus multiple satellite deposits along the Asankrangwa gold belt, and a 5Mtpa carbon-in-leach processing plant.
Mining will first resume at the Abore deposit, with higher-grade mill feed expected in the second quarter of 2024. To realize productivity and scheduling benefits while offsetting the impact of current inflationary pressures, the mining fleet at Abore and Miradani North has been optimized to utilize 100-tonne haul trucks, Galiano said.
“Galiano remains on track to deliver on the life of mine plan described in the 2023 technical report, and we look forward to establishing the AGM as a significant Ghanaian gold mine, averaging nearly 220,000 ounces per year over an 8.5-year mine life,” CEO Matt Badylak said in a news release.
An exploration program is also underway at the AGM tenements. The goal is delineating additional resources at known deposits while also exploring greenfield targets on the 476 km2 land package, the company said.
