Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Mining News of Note -- Ignore unavailable to you. Want to Upgrade?

To: LoneClone who wrote (35849)	4/21/2009 2:06:43 PM
From: LoneClone	Read Replies (1) \| Respond to of 193312

New fleet arrives at Castle Gold's El Castillo mine miningweekly.com By: Liezel Hill 20th April 2009 Updated 2 hours 44 minutes ago TORONTO (miningweekly.com) – Portions of a new equipment fleet are on site and starting operations at the El Castillo mine, in Mexico, and owner Castle Gold expects the new equipment to boost the total monthly mine production of waste and ore material to 600 000 t effective immediately, the firm said. This rate represents a 28% increase over the average monthly amount of material mined at El Castillo in the fourth quarter of 2008. Further, additional equipment will arrive in June and September, ultimately increasing the amount of material mined to 800 000 t/m in the fourth quarter of this year. “The impact of these higher volumes of material being mined is expected to be reflected in higher volumes of gold production two to three months following the throughput volumes being achieved, in accordance with the gold-leach cycles," said CEO Thomas Atkins. The company has signed a new agreement with its mining contractor, for a fleet of larger mining equipment that will help it meet its production target of more than 50 000 oz/y of gold, at lower costs. Under the terms of the new agreement, unit costs of the mined material will be reduced by 10% relative to the previous terms. At the targeted rate of 800 000 t/m, this offers savings of approximately $25 an ounce of gold produced, Castle said. The firm also announced a few weeks ago that it planned to spend $1-million to buy and install a portable screening deck at the El Castillo crushing plant, which it expects will have a positive impact on costs at the operation. Besides El Castillo, Castle Gold also owns 50% of the El Sastre gold mine in Guatemala, and is exploring at a gold/silver/copper project in Mexico and on properties surrounding the El Sastre mine.