lets make some gold!
Treatment Plant Commissioned
The Twin Hills Gold Project treatment plant has been successfully commissioned with waste
material and is now ready to treat the first ore from the 309 mine scheduled for December
2005.
The treatment plant, located 34 km from Charters Towers, was purchased from SMC Gold
Limited in April 2005 for $2.75 million. Approximately $2 million has since been spent
upgrading the gravity circuit and preparing the plant to receive Twin Hills ore. The established
plant was purchased with the right to process ore on the SMC Gold mining lease with tailings
to be discharged into the existing tailings dam. Under the arrangements, BMA rehabilitation
liability is minimal as it is limited to the immediate plant site and does not extend rehabilitation
of the tailings.
The proximity of the plant to Charters Towers with its established housing, schools and
services, has been helpful in securing and experienced workforce. The plant has access to
mains electricity thereby providing more favourable power costs than would be achieved from
a diesel generation at the Twin Hills mine.
High grade ore will be hauled some 270 km by road to the treatment plant from the Twin Hills
Mine. The cost of ore haulage is a little over 1 gram of gold per tonne. The plant has a rated
capacity of 500,000 tpa, well above the production rate of up to 100,000 tpa targeted from Twin
Hills. It is possible that some of the spare plant capacity will be utilised for toll treating ore from
third party mines from around Charters Towers.
Work carried out since the purchase of the plant included the installation of a 30 inch Knelson
concentrator and a Gemeni Table to assist in the recovery of course gold. Testing of Twin Hills
ore shows that between 40 and 50% of gold will be amenable to gravity recovery and its early
removal will enhance the performance of the CIL part of the process.
Yours sincerely,
BMA Gold Limited
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