Sponsored

Citigold (ASX:CTO) advancing Central Mine after busy June quarter

Summary

  • The Central Mine site is ready to kick off the mining operations.
  • Citigold continues to advance mine design and engineering of the Central Mine ahead of the mining restart process.
  • The Company has begun the regional exploration program on the Charters Towers tenement area, with the first batch of samples sent to the laboratory for assaying.
  • Work on the proposed processing plant is underway.
  • Investor interest continues in the gold project with successful fund raising during the quarter.

Australian gold mining and exploration Company Citigold Corporation Limited (ASX:CTO) has released its activities report for the quarter ending on 30 June 2021. The Company’s technical and field team were fairly busy on the exploration front as well as the development of the Central Mine site, which is production ready.

Good read: Citigold charting a golden path forward at Charters Towers, Australia

Citigold is planning to construct a processing plant in close vicinity of the Central Mine. The proposed plant will be technology-driven and will complement the ‘ultra-low-cost’ mining goal of the Company. The consultants and engineers associated with the project are looking at all possible alternatives to bring in the best innovation and technology to the project.

The proposed plant design will focus on extracting gold from the most valuable parts of the ore with the underground and surface ore sorters and crushers removing bulk of the granite dilution that naturally occurs during the underground mining operations.

Central Mine Site

The Central Mine is the focal point of most of the mining operations of Citigold.  The mine site has the key infrastructure in place. The Company has already established 1,400 metres of main access tunnel heading towards the planned mining area.

Main access tunnel ready to commence the restart of mining process (Image source: Company update, 20 July 2021)

The consultants associated with the project are looking into all available data from the mine to update the mine design and engineering in order to optimize the mining operations. The Company is focused on minimizing waste dilution and increasing gold extraction efficiency. The approach will include making small excavations for extraction of the gold ore, utilizing twin-decline and implementing efficient ore handling system whilst keeping the dilution to a minimum level, leading to lesser waste. The Company is able to achieve these efficiency gains with technology and innovation which was not available ten years ago.

Also read: Citigold (ASX:CTO) inching closer to commercial production on Charters Towers

Meanwhile, Citigold is also evaluating the option of deploying renewable energy to carry out the mining operations. The ‘greener’ approach will involve initial up-front capital costs but will prove cost-effective in the long run.

Satellite image of Central Mine site (Image source: Company update, 20 July 2021)

Good read: A snapshot of Citigold’s exploration program at Charters Towers, QLD, Australia

Exploration Season of 2021

After the wet season came to an end, Citigold in April kicked off the exploration season for 2021 at the Charters Towers Gold Project. The exploration program involved collecting rock chip outcrops and float samples from the upstream side.

The field team collected samples from 74 different locations on the tenement. Three samples from each location were collected for further analysis by the lab. By the end of the June quarter, the sampling operation was completed, and the first batch of the samples was shipped to the lab.

Red circles shows sample location of previous campaign while the blue circles are the latest 74 follow-up and infill sample sites (Image source: Company update, 14 July 2021)

A total of 222 samples were collected. The rest of the samples are being worked upon and getting ready to transport to the lab.

The sampling program is aimed to bolster the mineral resources and reserve of the project.

Read More: A kaleidoscopic view of Citigold’s (ASX:CTO) Charters Towers Gold Project

Mineral Resources on Charters Towers

Good read: Citigold Corporation Limited (ASX:CTO) in sweet spot to leverage the gold market

Share Price

The shares of the Company traded at AU$0.012 a share on 26 July 2021 at 2:25 PM AEST, with a market capitalization of AU$33.36 million.

Comment


Disclaimer

Ad

GET A FREE STOCK REPORT


Top Penny Picks under 20 Cents to Fit Your Pocket! Get Exclusive Report on Penny Stocks For FREE Now.


   
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK