Canadian mining company, Guyana Goldfields Inc., is currently reviewing bids for its underground mining project. The contract, according to the company, is set for final award in the second quarter of 2019.

Guyana Goldfields said that the plan is to advance the exploration decline approximately 2,500 metres and provide a platform for further underground exploration and definition drilling. The decline is intended to provide access to all principal underground mining areas, including certain higher-grade zones in its Mad Kiss and East Walcott targets that will allow the company to further delineate exploration prospects, potentially add mineral resources and help convert mineral resources to mineral reserves.

Mobilisation and field work for the underground mining project had commenced in October 2018 but it was forced to temporarily suspend those works in November 2018 at the request of the Environmental Protection Agency (EPA) since that entity did not grant a permit for such works. Subsequently, the company addressed all matters raised by the EPA and, in February 2019, received environmental authorisation from the EPA to continue works on the project.

Guyana Goldfields said that the environmental authorisation allows it to “to resume construction and development work on an underground exploration decline at Aurora.” It said that the underground decline is intended for exploration and definition drilling in support of eventual planned underground production.

In addition to this, the company noted that the permit it received from the Environmental Protection Agency allows for test mining of up to 350,000 tonnes that could potentially provide supplemental mill feed during the development period and further unlock value at the Aurora Gold Mine. Management’s intention is to develop an Underground Technology Centre, with the purpose of educating and transferring skills and technology required in all areas of underground technology.

The company expects this work will take approximately three months to complete once the contractor is fully mobilised. A budget of $2.0 million has been approved for the early works phase.


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