Nige the snake
21 Apr 2016
Re: should see 10p today sorry that should have read 10p plu
Nige the snake
21 Apr 2016
should see 10p today Chaarat Gold Holdings Limited("Chaarat" or "the Company"
Results of the Chaarat Gold Project optimised Feasibility StudyRoad Town, Tortola, British Virgin Islands (21 April 2016)Chaarat (AIM - CGH), the AIM quoted exploration and development company with assets in the Kyrgyz Republic, is pleased to present the results of the review of certain key areas of the Feasibility Study (FS) by the Chaarat team and its advisers, on its 100% owned Chaarat Gold Project (the Project) prepared by NERIN Engineering and NFC.· Post-tax NPV of $615m increased from US$351m (using a discount rate of 8% and a gold price of US$ 1,250/oz)· IRR increased to 25% (at a gold price of $1250/oz)· Initial capital investment to reach production reduced 31% from $684 million to $470 million with scope for further reduction· Average all-in sustaining cost (AISC) reduced 5% to $605/oz· No change in reserve base of 4.7 million ounces at 2.79 g/t and average annual production of 211 thousand ounces· Stage two of the optimisation to focus on improved metallurgical recoveries Following the announcement of the FS on 3 February 2016, the Chaarat team and its advisers have completed their first stage review of the FS prepared by NERIN and NFC in order to identify areas where the Study can be optimised.Dekel Golan CEO commented: "We are very pleased to present the results of the optimised feasibility study to our shareholders and stakeholders. As we highlighted when announcing the FS, the work of NERIN and NFC, we were impressed with the technical quality of the work but the cost calculations, especially relating to the quantity and costs of civil works during construction left considerable scope for optimisation. Our optimisation therefore concentrated principally on adapting designs to local conditions and seeking quotes from Kyrgyz companies.We continue to work on the optimisation of the FS and further metallurgical testing is now underway to try and improve recoveries from the Chaarat ores and hence the bottom line of the Project.Although our industry faces challenges which are not lessened by the financial situation in China, the regional engine, an appetite for good projects in the gold sector is still evident. The interest in Chaarat, a world class, high grade, low cost of production asset has not disappeared. Your management is reviewing a number of options targeting value generation whilst minimising dilution for our shareholders. We hope to deliver news on our progress in the coming months. We commend the patience of our shareholders who will appreciate that it is important to take our time to maximise the value of the Chaarat Project for their benefit."Methodology of the optimisationThe optimisation work focussed on key areas where major savings had already been identified from the original FS. The estimated capital expenditure now required for the Project is comparable to the capital costs estimated by SNC-Lavalin in the Pre-feasibility Study prepared in 2011. 1. Reduction in volume of earthworksThe extremely large quantity of earthworks included in the FS indicated that NERIN envisaged a single basic flat terrace layout for the Project which ignored the natural valley site terrain of the Chaarat deposit. A more suitable terraced layout would take advantage of gravity and reduce the volume of earthworks by up to 50%. In addition NERIN based their calculations on "indices" rather than actual volumes. A local company recalculated the necessary earthworks for the tailings facility, heap leach pad and other production facilities and reduced the volume of work by 50%. In addition local prices (with the addition of a 15% contingency) were used to achieve further savings.2. Efficient layout of siteThe layout of the structures adopted by NERIN, principally comprising the processing plant, was suitable for locations with mild climatic conditions. Giv
Jitter
08 May 2015
MM's after more shares! .
Jitter
01 May 2015
Info from ProActive... Chaarat Gold chief executive Dekel Golan said he has been assured the companyÕs planned mine in the Kyrgyz Republic is Òfinanceable in ChinaÓ.The PeopleÕs Republic last year mapped out its development strategy, which encourages its major corporations to expand their sphere of influence along the old Silk Road from China to Europe. With Kyrgyzstan sitting on the north-west border with China and gold one of its favoured commodities, the Chaarat Project should attract interest.ÒI think it is fair to say that we are being assured that the project is financeable in China,Ó Golan told Proactive Investors.ÒChinese entities seem interested in financing this sort of project. But nothing is assured at this stage.ÓEarlier Chaarat said it expects the mine to come into production a year earlier than planned with the upfront costs of the initial phase forecast to lower than first budgeted.Those were the two main headlines from a brief update on the definitive feasibility study being carried by the Chinese consultant NERIN. The full report, giving detailed costings and assessing the economics of the 6.1mln-ounce project, is expected to be published by the end of the first half.TodayÕs announcement reveals that NERIN has made some important and positive tweaks to the initial plan, which would see the mine in production by 2017.Chaarat has already told investors it expects to build the operation in two stages, ultimately producing 250,000 ounces of the precious metal a year.Using the previous blue-print, the firm expected to mine 200,000 ounces at a cash cost below US$600 an ounce.The first stage will focus on the easy-to-process oxide component of the resource. Today it said the upfront capital cost of stage-one heap leach project will be reduced by delay in tunnel construction, though it didnÕt say just what the saving would be. It did reveal there would be a Òpositive uplift in the value of the project and reduction in implementation riskÓ.The planned Tulkabash pit has Ôheap leachableÕ gold reserves of 533,000 ounces, at a grade of 1.41 grams per tonne, giving a mine life of four-and-a-half years. Initial production is likely to be in the order of 80-90,000 ounces, the company said.ÒThe reason we are going for two stages is the heap leach requires relatively little capital,Ó Golan told Proactive Investors.ÒOnce you have something working it is easier to finance the second stage. ÒThe choice was letÕs get to production and show the world we actually have some gold here and then do the second stage. ÒFor a junior company it is wiser to have a staggered approach to production rather than trying to go for a major development. Today people want to see you deliver.ÓLonger term, the Chaarat will process the refractory portions of the ore bodies using a process called bio-oxidation, pioneered by Gold Fields of South Africa and used extensively in Russia and China. ÒIn Asia this is the method of choice,Ó said Golan.It had originally expected to use pressure oxidation, which is more popular in the US.
The Speculator
28 Apr 2015
Re: Looks like... Let's hope ji
Jitter
27 Apr 2015
Looks like... ...we're forming a bit of a floor, so I had a little nibble today. J.
dickie3times
06 Apr 2015
Get ready for the next GOLD bull run..... ..but ..not till 2016 2016 is start of new gold bull cycle[link] to cheer next yearDisappointing jobs and manufacturing data out of the US coupled with a sagging dollar sent the gold price on a tear Wednesday with the metal surging past the psychologically important $1,200 an ounce level and back into positive territory for the year.A new report by Metals Focus – Gold Focus 2015 – forecasts a bottom in the price of gold this year with a rising trend in 2016 after three years of declines.Short term the London-based research firm expects further price weakness in the coming months and a low for the year at $1,080 which would constitute a more than 5-year low. Metals Focus' estimated annual average of $1,190 would mark a 6% decline compared to last year.The actual start of US interest rate increases will – paradoxically – mark the turning pointing"The biggest headwind continues to be expectations of US interest rate increases later this year, as other developed economies’ ultra-loose monetary policies (notably the Eurozone’s) remain in place, this helping to drive
up the dollar against other currencies. Low inflation, weak commodity prices and strong equities are other factors that should keep gold under pressure," says Metals Focus in its 88-page review.The firm also believes that the actual start of US interest rate increases will – paradoxically – temper the pressure that expectations of a rise had placed on the price and mark the turning pointing.Shortly after the first Fed action in six years gold will start appreciating according to the report which is "premised on our expectation that these increases will be slow and modest, leaving real rates in negative territory for some time to come."From 2016 onwards, there are several plausible arguments to be made to provide the spark for a renewed gold bull market according to the report:While Western investor interest in gold remains low, selling pressure is likely to ease further from the already much-reduced level of liquidations seen in 2014.Meanwhile, Asian investment demand for physical gold is expected to recover from last year’s slump. In addition potentially gold-friendly developments in debt, inflation, foreign exchange, commodity and equity markets and the scope for a far more malign environment for international relations should also boost the price.
