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Eritrea gold mine to start commercial production early next year (MiningWeekly)

Published: 23rd July 2010

By: Megan Wait

Canadian miner Nevsun Resources’ large precious-metals- and base-metals-rich volcanogenic massive sulphide (VMS) deposit, located 150 km west of Asmara, Eritrea, is expected to reach commercial production during the first quarter of 2011. Deposit mineralisation consists of gold and silver oxides, besides copper and zinc massive sulphides.

The Bisha project, where construction started in September 2008, is expected to go into production in late 2010 and to be a low-cost gold producer for the first two years and a high-grade copper concentrate and zinc producer for the remainder of its mine life.

The mine is expected to produce 1,06-million ounces of gold, 9,4-million ounces of silver, 734-million pounds of copper and over one-billion pounds of zinc over the life-of-mine.

Picture by: Nevsun
BISHA PROJECT The project is on schedule says Nevsun Resources
 

Bisha is advancing well towards the plant commissioning phase later this year. Following a relatively short commissioning process and reaching commercial production during 2011, the company further expects to produce more than 100 000 oz of gold a quarter at a cost of less than $250/oz.

With over 95% of procurement completed, it is believed that the capital cost will be within the budget of $260-million.

With such low operating costs, Bisha is expected to achieve higher-than-average indus- try profitability and cash flow. Nevsun says that, with its current cash position of about $83-million, as well as the normal contributions by the State-owned Eritrean National Mining Corporation, there will be enough funds to satisfy all construction cash requirements.

 

 

 



1 Comment

  1. Michael Amare says:

    Congrats Governtment of Eritrea ! Mission Accoplishment I am always proud of Eritrea Govrentmnet because you do the right thing thats why you lead us to this great point.
     
    Godbless You All Keep Up the good work Awet Nehfahash ! :)

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State of Eritrea ሃገረ ኤርትራ Hagere Ertra دولة إرتريا Dawlat Iritrīya

Anthem: Ertra, Ertra, Ertra Eritrea, Eritrea, Eritrea

Capital (and largest city) Asmara 15°20′N 38°55′E / 15.333°N 38.917°E / 15.333; 38.917

Official language(s) Tigrinya, Arabic, English Other languages Tigre, Saho, Bilen, Afar, Kunama, Nara, Hedareb,.

Ethnic groups 60% Tigrinya, 30% Tigre, 4% Afar, 3% Saho, 3% Kunama

Demonym Eritrean Government Provisional government - President Isaias Afewerki

Independence - From Italy November 1941 - From United Kingdom under UN Mandate 1951 - from Ethiopia de facto 24 May 1991 - From Ethiopia de jure 24 May 1993

Area - Total 117,600 km2 (100th) 45,405 sq mi - Water (%) 0.14%

Population - 2009 estimate 5,224,000[4] (109th) - 2008 census 5,291,370 - Density 43.1/km2 (165th) 111.7/sq mi

GDP (PPP) 2010 estimate - Total $3.625 billion[5] - Per capita $681[5] GDP (nominal) 2010 estimate - Total $2.117 billion[5] - Per capita $397[5] HDI (2007) steady 0.472 (low) (165th) Currency Nakfa (ERN)

Time zone EAT (UTC+3) - Summer (DST) not observed (UTC+3) Drives on the right ISO 3166 code ER Internet TLD .er Calling code 291 1 ,. National TV: Eritrea Television (ERI-TV)

Eritrea (play /ˌɛrɨˈtreɪ.ə/ or /ˌɛrɨˈtriːə/;[6] Ge'ez: ኤርትራ ʾErtrā, Arabic: إرتريا Iritrīyā), officially the State of Eritrea, is a country in the Horn of Africa. The capital is Asmara. It is bordered by Sudan in the west, Ethiopia in the south, and Djibouti in the southeast. The northeast and east of the country has an extensive coastline on the Red Sea, directly across from Saudi Arabia and Yemen. The Dahlak Archipelago and several of the Hanish Islands are part of Eritrea. Eritrea's size is approximately 117,600 km2 (45,406 sq mi) with an estimated population of 6 million...

Source: Wikipedia


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