PRESS RELEASE: The A$120 million (US$96 million) project not only increased its processing capacity, but also will provide support for the mine’s underground exploration and development and increase gold production.
Specifically, the company projects annual production to jump 80,000oz annually to between 425,000-475,000oz. The expansion also added three years to Tanami’s lifespan.
The work follows the development of a second decline last year that also helped it step up production rates.
Processing plant expansion efforts included the addition of a ball mill, thickener and gravity circuit to improve recoveries. Mill capacity was increased from 2.3Mt/y to 2.6Mt/y. Commercial production was reached there late last month.
President and CEO Gary Goldberg, who noted that the massive project was completed safely and on schedule despite a one-month weather delay, said that studies for a second expansion have already commenced.
“Tanami’s team has more than doubled gold production while cutting costs by about two-thirds and significantly improving resource confidence since 2012. The expansion project continues this trajectory, offering robust returns of 35% at a A$1,200 gold price,” he said.
“Since [the completion of the second decline], Tanami’s team has improved mine ventilation to support further growth, and increased mine development rates through drilling efficiency gains.”