Asanko Gold Inc. will release towards the end of the first quarter of 2015 the Phase 2 of feasibility studies of the proposed gold mine Asanko which will show the scope of the development of the adjacent Esaase deposit and the potential to increase the production to 400,000 ounces of gold per year.
On the 15th January, the Canadian company has introduced the publication of these studies as the “next big step” of this project it wants to start a low-cost gold production, with a level of 190,000 ounces per year from the first quarter of 2016. “The construction of Phase 1 moving in on time and on budget set,” said Peter Breese, CEO of Asanko, announcing the third quarter of 2015, the start of mining operations on the Nkran deposit.
At the end of December, the level of evolution of the works was estimated at 24% of the project, which focuses on the Nkran deposits Adubiaso, Abore and Asuadai of 2,43Moz of proven and probable mineral reserves.
Asanko Gold Inc aims to reach a target of 400,000 ounces by 2017 and to move on, as quickly as possible to phase 2 with the construction of the Esaase mine contains 2.2 million ounces of mineral reserves.
The Company continues to advance the construction of its flagship Asanko Gold Mine in Ghana, West Africa. The Company held approximately US$230 million in cash on-hand as at 31st December 2014 and has undrawn project debt facilities of US$70 million plus a US$20 million cost-overrun facility for total available funding of approximately US$320 million.
Phase 1 of the Project is going on as scheduled and is expected to be completed within the US$295 million capital expenditure budget, with some US$40 million spent as of December 31st, 2014. First gold is expected in first quarter of 2016 with steady- state production of 190,000 ounces of gold per year targeted in second quarter of 2016.
Note that Asanko Gold is a Canadian-based gold company focused on developing its Asanko Gold Mine project in Ghana, West Africa. The gold project integrates two phases of gold production, including the Obotan and Dynamite Hill deposits (Phase 1), and the Esaase deposit (Phase 2).