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Proactiveinvestors is a leading multimedia news organization, investor portal and events management business with offices in New York, Sydney, Toronto and London. Proactiveinvestors operates five financial websites in four languages providing breaking news, comment and analysis on hundreds of... More
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  • Phoenix Gold Engages Consultants For Castle Hill And Red Dam DFS 0 comments
    Apr 2, 2013 1:40 AM

    Phoenix Gold (ASX: PXG) has engaged key independent specialist technical consultants to assist with the $1.5 million Definitive Feasibility Study for its flagship Castle Hill and Red Dam gold projects in Western Australia's Goldfields.

    The DFS will be completed to a bankable level in December 2013, enabling a final investment decision to be taken to commence mine development and process plant construction in early 2014.

    Project financing will be carried out in parallel with the DFS allowing mine development and processing plant construction to commence as early as possible in 2014. Long lead time components including the ball mill and transformer will be ordered in advance.

    "The engagement of key independent experts at competitive rates is an important milestone in the development of the Definitive Feasibility Study as we prepare to transition Phoenix in the next two years from explorer to producer," managing director Jon Price said.

    "We have one of the largest drilling programs well underway in the Western Australian Goldfields delivering excellent results and improving our geological confidence.

    "We expect our flagship Castle Hill and Red Dam gold projects will be the major contributors to our initial eight to 10 year mine plan."

    Consultants

    Cube Consulting will complete an independent geological review and sign off on Mineral Resource estimates while Golder Associates will provide mining and geotechnical engineering services, complete Ore Reserve Studies and sign off on Ore Reserve statements.

    Mintrex has been engaged to complete processing plant design and assessment of capital and operating cost estimates and Independent Metallurgical Operations will conduct metallurgical test work.

    Cardno BEC, Rockwater and WorleyParsons will complete the energy, hydrology and civil engineering respectively.

    Castle Hill and Red Dam

    Phoenix expects an independent Resource update for Castle Hill and Red Dam in the June Quarter. This is expected to build on the existing resource of 3.4 million tonnes at 2.1g/t gold for 229,000 ounces.

    Recent Red Dam drilling has delivered some bonanza grade results such as; 6 metres at 97.5g/t gold from 256 metres.

    Other highlights included; 7metres at 12.7g/t gold from 42 metres; 3 metres at 17.3g/t gold from 42 metres; 12 metres at 4.0g/t gold from 42 metres; 3 metres at 14.8g/t gold from 134 metres; and 4 metres at 9.0g/t gold from 124 metres.

    The company is well-funded with $22 million in cash.

    Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX "Small and Mid-cap" stocks with distribution in Australia, UK, North America and Hong Kong / China.

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