GOLD
May 2014
MODERN MINING
31
Location of Asanko Gold’s
projects in Ghana.
was Executive Director in charge
of metallurgical operations in
Zimbabwe for Rio Tinto.
Asanko Gold has also appointed
Knight Piesold to design the tail-
ings storage facility (TSF) and
carry out detailed geotechnical
engineering works for the project.
Knight Piesold are well known in
Ghana and have designed, built
and operated several tailings stor-
age facilities in the country. They
have reviewed the current TSF
design and concluded that the
selected location can be expanded
to hold tailings from both Phase 1
and Phase 2 operations.
Earlier this year Asanko Gold
acquired PMI Gold Corporation
and the Phase 1 development
of Asanko is based on PMI’s
Definitive Feasibility Study (DFS)
on the Obotan project, published
in September 2012. Asanko Gold
is currently updating the DFS capital and oper-
ating cost estimates.
As part of the competitive EPCM tender-
ing process, Asanko received and reviewed
a selection of bids for the process facilities.
Based on this, the company believes that the
US$83,7 million capital cost for the construc-
tion of the processing plant included in the
DFS capital cost estimate of US$298 million
is still valid. As well, the company is modify-
ing certain technical elements to incorporate
Phase 2’s future requirements.
Asanko has also undertaken work on
enhancing the information utilised to com-
plete the mineral resource estimate at Nkran
and Adubiaso. The updated estimate for these
two deposits will form the basis of the detailed
mine plan, which will be completed by mid-
year along with the project’s Control Budget
Estimate to allow Asanko’s Board to make the
full investment decision.
The September 2012 Feasibility Study for
Phase 1 targeted approximately 220 000 ounces
of annual gold production over the first five
years of mine life via an open-pit, contractor-
mining operation and a 3 Mt/a carbon-in-leach
(CIL) processing plant. The primary source
of feed material for the CIL plant will be the
Nkran and Adubiaso pits. In addition, Asanko
Gold will be investigating the potential for the
newly discovered Dynamite Hill deposit to
provide additional feed material in the early
years of production.
Nkran is an existing pit that was mined
from 1998-2002 and requires approximately
four months of dewatering prior to starting the
pre-strip. The company has a permit to dewa-
ter the pit and expects to commence pumping
later in 2014.
The plant, mine and associated infrastruc-
ture, such as the TSF and waste rock dumps,
have been fully permitted for construction
to start. Detailed design of the plant is well
advanced and is in the process of being transi-
tioned to DRA.
The SAG and ball mills, which were ordered
in 2012, have been fabricated. The manufac-
ture of the SAG mill liners and girth gears for
both mills will start as soon as Asanko Gold
has made an investment decision. Due to the
advanced nature of the mills’ fabrication, it is
expected that the mills will be ready for deliv-
ery well ahead of the dates required in the final
project schedule.
Once an investment decision has been made,
construction and commissioning of the mine is
expected to take place over 21 months, with
first gold targeted during Q1 2016. In the mean-
time, Asanko Gold has just started an early
works construction programme funded by a
budget of US$16 million. These early works
will include advancing detailed engineering
to allow for construction to commence in Q3
2014; commencement of bulk earthworks on
the CIL plant site; re-routing of a power line;
roadworks; and installing the temporary con-
struction camp accommodation.
Photos courtesy of Asanko Gold
“My team and
I have worked
extensively
with DRA for
many years and
together we
have successfully
built and
commissioned
mines in Africa
that have all been
delivered on time
and on budget.”
Peter Breese, CEO
of Asanko Gold.
