Modern Mining May 2016

GOLD

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adds that Shanta is undertaking the development of the underground mine in house and has already appointed the key members of the underground team. The underground mine forms the cor- nerstone of New Luika’s Base Case Mine Plan, announced in September last year, which details the mine’s production profile through to 2022. “Essentially, the plan allows New Luika to maintain an average annual production of 84 000 ounces for the next five years,” states Bradbury. “Ore production will be from both open pits and underground from 2017 with increasing emphasis on the underground operation. The Base Case Plan also includes a tailings recovery project that will produce 19 000 ounces over six years and this will be commis- sioned in 2017.” Looking at the upside potential for New Luika, Bradbury says that current resource sitting outside the Base Case Plan amounts to just over half a million ounces, some of it open-pittable and some of it mineable by underground methods. “The Base Case Plan currently has unutilised mill capacity of 362 000 tonnes over the five years so clearly there is potential to bring these ounces to account. We have also committed to a vigorous exploration programme of known prospects within our mining licence area and prospecting licences in close proximity to the New Luika pro- cess plant. So there is every prospect that New Luika will continue until well into the 2020s and possibly beyond,” he concludes. 

higher cost per ton. Mining method selection was based on achieving maxi- mum recovery with minimum dilution with particular consideration given to orebody geometry and geotechnical con- straints. At Bauhinia Creek the method of long hole open stoping with waste rock back-fill will ensure high produc- tivity at relatively low cost. At Luika the method of cut and fill with flat- backing will ensure higher selectivity and smaller spans in what are expected to be more adverse ground conditions compared to Bauhinia Creek. The overall underground project necessitates a new 7,5 MW power plant on site. As with the existing facility, the new plant will use heavy fuel oil but will be equipped with medium speed engines which provide a longer life and are more efficient. The power station will be supplied, operated and main- tained by the supplier, Inglett & Stubbs International, and is due to arrive on site in Q1 2017. As regards underground mobile mining equipment, Shanta announced earlier this year that it had completed a US$5 million finance agreement with Sandvik Mining & Construction which will allow it to purchase the machines. The equipment will arrive at the mine in stages, with the first units scheduled for delivery as this article was being written. Outlining progress on the under- ground, Bradbury says the project is in the early stages with work currently focused on the portal development. He

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May 2016  MODERN MINING  25