LONDON (Alliance News) - East Africa-focused gold producer Shanta Gold Ltd on Monday said the reserve estimate for the Elizabeth Hill prospect in Tanzania has been substantially increased.
Shanta said the new study conducted on the project has increased the reserve estimate to 667,000 tonnes of gold at 1.33 grams per tonne, compared to 70,000 tonnes at 2.3 grams per tonne previously. Despite the lower average grade, the higher tonnage results in 28,000 ounces of gold, up from 5,000 ounces before.
The total surface mineable ounces included in the base case mine plan for the project has also been increased, up to 156,000 ounces from 133,000 ounces.
Shanta shares were up 1.6% to 6.35 pence.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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