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September 2015
MODERN MINING
11
MINING News
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8/20/15 1:58 PM
AIM-listed Shanta Gold has provided an
exploration update on its resource devel-
opment programne at the New Luika Gold
Mine (NLGM) in Tanzania.
A reverse circulation drilling pro-
gramme comprising 3 784 m has been
completed, targeting the Elizabeth Hill
mineralised prospect. Intersections
received include 14 m at 6,23 g/t from
66 m in hole CSR427; 4 m at 14,52 g/t from
61 m in hole CSR434; and 6 m at 6,75 g/t
from 29 m in hole CSR415.
All reverse circulation holes drilled
intersected the mineralised structure at
Elizabeth Hill, in close proximity to initial
ore wireframe positions, supporting the
accuracy of their interpretations.
The drilling programme was commis-
sioned in June and July 2015 with a view
to obtaining improved definition of the
nature and extent of near-surface ore
development at this prospect. Elizabeth
Hill sits within the existing mining licence
at NLGM, approximately 4 km east of
the New Luika processing plant.
During previous drilling campaigns,
Elizabeth Hill was tested by means of wide-
spaced drilling at depth, resulting in a
limited understanding of near-surface ore
development and gold grade. The latest
drilling campaign was designed to provide
close-spaced (25 m x 25 m) ore intersec-
tions at shallow depths and has yielded
encouraging assay results over portions of
the strike extent tested.
Elizabeth Hill is a linear south-east
trending topographic high which suggests
that possible future opencast exploitation
could be characterised by low stripping
ratios.
A substantial portion of the 750 m strike
expression tested (approximately 400 m) is
characterised by encouraging gold miner-
alisation. Areas displaying elevated gold
grades are located within two distinct
zones.
With progressive process plant
upgrades at NLGM enabling the company
Drill programme at New Luika prospect completed
to increase monthly ore tonnage through-
put, the required head grade at NLGM has
decreased. Shanta is therefore in a position
to exploit lower grade satellite deposits
within the NLGM tenement, identified dur-
ing earlier drilling phases. Low-to-medium
grade gold ore from satellite deposits
can be blended with high grade ore from
Shanta’s Bauhinia Creek pit to ensure
steady plant feed grades and optimise
gold recoveries. It is envisaged that this
may have a positive effect on the longer
term sustainability of NLGM operations.
The company intends to integrate
drill findings into an updated resource
assessment for Elizabeth Hill, after
which pit optimisation studies will be
commissioned.
Shanta is considering expanding the
resource development programme to
other satellite deposits within and in the
direct vicinity of the NLGM Licence. Target
areas include the Black Tree Hill, Ilunga and
Luika South mineralised prospects.