Tabakoto and Segala Gold Projects, Mali (West Africa)
Avion Gold Corporation ("Avion"), is a Canadian-based gold company focused in West Africa. Avion acquired the Tabakoto and Segala gold properties, located in Mali, West Africa, from Nevsun Africa Ltd. (a subsidiary of Nevsun Resources Ltd.) (“Nevsun”) in May 2008. In consideration for an 80 percent interest in the past producing gold mine (Tabakoto) and a land package (approximately 101 square km.), Avion paid US$20 million and granted a one percent net smelter return royalty that is buyable. The Government of Mali owns the remaining 20 percent interest.
Mali is the second largest gold producing country in Africa, with two million ounces of gold produced in 2007. Gold projects account for approximately 80 percent of mining activity in Mali.
The Tabakoto and Segala properties, approximately 200 kms south of the city Kayes, are situated in a major gold mining district. Anglogold Ashanti/IAMGOLD (Sadiola Mine) and Randgold (Loulo Mine) operate in the area.
Avion commenced gold production in February 2009. During 2009, Avion achieved the following benchmarks:
- Restart of the mill and gold plant on schedule -Development of the Segala pit for mining in February -The successful merger with Dynamite Resources to regain original ownership of the Segala property in May -95.4% overall recovery in the mill vs. 90% budgeted -Milling throughput rate at budget; and -2009 Exploration Program of 21,635 metres drilled in 111 holes.
2009
|
|
Q1(1)
Partial Quarter |
Q2(2) |
Q3(3) |
Q4
|
2009(4) Total |
|
Ore Milled (000 t) |
76.0 |
182.6 |
125.1 |
179.1 |
562.8 |
|
Head Grade (g/t Au) |
2.74 |
1.99 |
3.25 |
3.83 |
2.95 |
|
Recovery (%) |
92.8 |
93.7 |
95.5 |
96.7 |
95.4 |
|
Gold Production (oz) |
6,958 |
10,992 |
12,517 |
21,307 |
51,291 |
(1) Mill was restarted on February 17, 2009. Gold production includes 747 oz recovered from plant clean-up work in 2009 prior to the mill restart.
(2) Commercial production was declared May 1, 2009.
(3) Includes 2 weeks downtime due to heavy rainfall and road transportation issues.
(4) 2009 Total adjusted by -483 oz to reconcile to refined ounces.
2010
|
|
Q1
|
Q2
|
2010 To Date |
|
Ore Milled (000 t) |
156.1 |
183.1 |
339.2 |
|
Head Grade (g/t Au) |
3.26 |
3.95 |
3.63 |
|
Recovery (%) |
96.5 |
95.8 |
96.1 |
|
Gold Production (oz)(1) |
15,710 |
22,222 |
37,932 |
(1) Ounces adjusted to final refined product.
The company believes that a 100% capacity upgrade is warranted, and ongoing studies are taking place, with the goal being to increase to a run-rate of 200,000 oz/year in 2012.
To download a recent NI43-101 technical report on the geology and exploration potential of the Tabakoto and Segala properties, visit the SEDAR website at www.sedar.com . The report also presents historic information on the properties, including past production statistics.