Galane Gold steps towards underground mine expansion21 May 2014
Gold producer and explorer, Galane Gold Ltd, has kicked off the first ore mining from its Tau deposit in the northern part of Botswana--a development expected to enhance the company’s performance.
Galane Gold, the Canadian miner listed on both the TSX Venture Exchange and the Botswana Stock Exchange, on 13 May said mining commenced in the fourth quarter of 2013 and the forced portal entry at the bottom of the existing Tau pit has been completed.
In addition, the company said installation of the entire infrastructure required, appointment of an underground contractor and the development work required to reach ore have started.
"This is a major step in the evolution of the company both with regards to a change from open pit mining to underground mining and our plans to extend mine life through further exploration," said Ravi Sood, Galane Gold's chief executive officer.
Sood said the project has been completed within six months and from the company's own operating cash flows.
Last year, the company indicated its intention to exploit the reported measured and indicated resource of 128,600 ounces of gold for Tau through underground mining.
Meanwhile, Galane Gold has put together a mine plan based on the reported resource to mine approximately 85,000 ounces of gold over the next three and a half years.