Latest issue of International Mining Project News available (November 20): Gold projects are once again very prominent in this issue. Randgold Resources is fast-tracking its Gounkoto project in Mali after a successful scoping study estimating Inferred resources of 2.65 Moz of gold at 6.3 g/t Au. Aurizon Mines, after a positive prefeasibility study, is proceeding to final feasibility on its Joanna project in Canada. Navigator Resources and Mega Uranium are discussing possible sharing of infrastructure and services on the Bronzewing gold and Lake Maitland uranium projects in Western Australia. On the production side, Timmins Gold is preparing for first gold pour at its San Francisco project in Sonora, Mexico, and Newmont Mining has achieved commercial production at its Boddington mine in Western Australia. 

Outside of gold, Corriente Resources has received formal notification from the Ministry of Non-Renewable Natural Resources (formerly the Ministry of Mining and Petroleum) that the company is in full compliance with applicable legislation on its concessions and is authorised to restart all advance development work on the Mirador project in the Corriente Copper Belt of Ecuador. Mineral resources at Mirador include Measured and Indicated of 438 Mt at 0.61% Cu, 0.19 g/t Au and 1.5 g/t Ag and Inferred of 235 Mt at 0.52% Cu, 0.17 g/t Au and 1.3 g/t Ag. Corriente has completed a feasibility study on milling 30,000 t/d from a 181 Mt in-pit resource, over a 19 year mine life, and with a 0.8:1 strip ratio.

In coal, Altona Energy, through its wholly owned Australian subsidiary Arckaringa Energy, has signed a binding agreement with CNOOC New Energy Investment that agrees the terms of the Unincorporated Evaluation Joint Venture (UEJV) Agreement.  Through the UEJV, the parties will evaluate the maximum development and commercial potential of the company’s estimated 7,800 Mt coal resource (based on non-JORC standards) in South Australia and will carry out detailed studies covering resource extraction and optimisation, project development options and chemicals and other coal conversion studies. 

To uranium, Extract Resources (EXT) commenced a comprehensive review of strategic options in May 2009 for the development of Rossing South, part of the company’s world class Husab uranium project in Namibia. This has already identified a number of potential development pathways for Rossing South. At this stage no decision has been made on the preferred development option for the project. As part of the continuing process, EXT has now invited interested parties to submit proposals for their potential partnership in the development of Rossing South, including outlining the basis of their interest and how they can assist with bringing the project into production in the most timely and efficient manner.

Talvivaara Mining says the key task in production at its Talvivaara nickel mine in Sotkamo, eastern Finland during the third quarter, was the installation and commissioning of the upgraded crushing circuit to enable a significant increase in production volumes. This has now been successfully installed and commissioned to a capacity of around 22 Mt/y.

In iron ore, Centrex Metals and Shenyang Orient Iron & Steel have signed a five-year Hematite Ore Sales Agreement plus one year extension option covering the sale of 1 Mt/y of Wilgerup hematite product. The agreement finalises the hematite supply details that were the basis for Shenyang’s initial investment in Centrex in September 2006. Concluding the agreement ensures that 100% of Wilgerup hematite ore is sold under long term sales agreements for a minimum of five years. The Wilgerup hematite deposit is located 20 km southeast of Lock in central Eyre Peninsula, South Australia.

To those important gold projects. Randgold Resources, after a scoping study and first resource declaration on Gounkoto, confirmed robust economics well in excess of the company’s hurdle rates. A prefeasibility study on the project, situated 25 km south of the company’s flagship Loulo complex in Mali, has been scheduled for completion by the end of the first quarter of 2010. The scoping study estimated an Inferred mineral resource of 2.65 Moz of gold at a grade of 6.3 g/t Au, with pit optimisations at gold prices of $650/oz and $850/oz both showing internal rates of return in excess of 60%.

Aurizon Mines’ positive prefeasibility study is proceeding to final feasibility on its Joanna project. Joanna is expected to create excellent synergies with its asset base in the prolific gold producing Abitibi region of Quebec and the proposed open-pit operation has the potential in itself to increase Aurizon’s gold production by 60% to around 260,000 oz/y.

Navigator Resources and Mega Uranium’s possible sharing of infrastructure and services between the two companies has involved the signing of a non-binding memorandum of understanding reflecting their joint interests in negotiating for the shared use of certain of Navigator’s Bronzewing gold project facilities. Navigator’s Bronzewing gold project and Mega’s Lake Maitland uranium project adjoin each other in the central goldfields region of Western Australia, where there is well developed infrastructure and services.

Timmins Gold has signed a 3.5 year mining contract with Peal de Mexico to provide both mining equipment and personnel for operations. Peal’s mining fleet, consisting of mostly brand new equipment required to deliver ore and waste at an average rate of 45,000 t/d, is being mobilised and is scheduled to be on site by the end of November.

At Newmont Mining’s Boddington operation, upon ramp up to full production, key operating highlights include: 

• First five year average annual gold production: around 1 Moz
• First five year average costs applicable to sales (net of byproduct credits): around $300/oz
• Estimated mine life in excess of 24 years.