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August 2016

MODERN MINING

19

MINING News

Galane Gold, which is listed on the TSX-V,

and owns and operates the Mupane gold

mine near Francistown in Botswana, has

approved a US$2,0 million capital expen-

diture programme required for the first

phase of the recommencement of produc-

tion at its Galaxy gold mine in South Africa,

up to a target of 60 000 ounces per annum.

Galane anticipates that the first phase

will take six months to complete and will

be funded from internal cash flows pri-

marily from the company’s core operation,

Mupane, where an underground operation

has now been established to mine the Tau

orebody.

The first phase of the capital project is

designed to refurbish existing infrastruc-

ture and upgrade the processing facility

to take production to 18 000 ounces per

annum. It covers the following steps:

The refurbishment of the existing

15 000 tonnes per month processing

plant which will include the installation

of a new crusher, remedial work to the

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08.03.16 18:05

Galane approves US$2 million investment in Galaxy

float section, a new gravity separation

section and re-establishment of the elu-

tion plant.

The construction of a new 25 000

tonnes per month CIL tailings retreat-

ment plant within the current footprint

of the existing processing plant.

The recommencement of underground

mining at Woodbine, Agnes and Ivy

on 17 level using conventional shrink

stope mining.

The commencement of tailings recov-

ery by sluicing at the Woodbine and

Hostel dumps.

“The second major goal for Galane

this year is to recommence production

at Galaxy,” says Galane Gold CEO Nick

Brodie. “Having achieved our first goal to

commence mining in the main orebody

at Tau, management of the company can

now concentrate on the implementation

of the first phase of this project at Galaxy.

This first phase forms a core part of our

long-term strategy to target production of

over 60 000 ounces per year at Galaxy.

“It is an exciting time for Galane as we

start to see the fruition of all the hard work

we have put in over the last five years to

reshape the company into a long-life

and low-cost operation that can produce

positive returns for investors across com-

modity cycles.”

The Galaxy gold mine is located

approximately 8 km west of the town of

Barberton and 45 km west of the provin-

cial capital of Nelspruit (Mbombela) in

South Africa’s Mpumalanga Province and

covers an area of 5 863 ha. The mine com-

prises 21 east-west trending gold bodies

and four prospects at 600 – 2 000 m depth.

Currently, over 75 historical adits exist

within the mining area.

Galaxy’s existing processing facilities

consist of a south plant comprising crush-

ing, milling, flotation, elution and smelting

sections and a north plant equipped for

biological oxidation and leaching of flota-

tion concentrate.