Anaconda Mining Inc. says it has completed the construction phase of the expansion and redevelopment of its Pine Cove Gold Mine in Baie Verte and is in the process of commissioning the site for production.In a statement on the Toronto-based company's website, Lew Lawrick, Anaconda's president and chief executive officer, said the commissioning is on schedule and on budget.
"Over the weeks ahead, the commissioning process will culminate in our goal of achieving commercial production at Pine Cove," said Lawrick.
"Achieving this goal will provide material benefits for Anaconda shareholders and will also continue the significant positive economic impact the project has had and will continue to have on Baie Verte and the surrounding communities for years to come."
In anticipation of the commissioning process and subsequent ramp-up to commercial production, Anaconda has accumulated a stockpile of 23,249 tonnes of ore, grading 2.03 grams per tonne of gold. There is an additional 7,100 tonnes of ore broken in the pit, grading 3.88 grams per tonne gold, that is ready to be hauled to the stockpile.
Combined, this represents roughly 43 days of ore supply at a base operating throughput of 700 tonnes per day.
The announcement on the website included a response from Anaconda regarding a press release issued July 8 by New Island Resources Inc. regarding the unsolicited share exchange takeover bid commenced by Anaconda for all of the issued and outstanding common shares of New Island. Anaconda said the press release contained some inaccurate information relating to Anaconda and the Pine Cove operation, particularly concerning access to the site.
While New Island had demanded immediate access to the site and to certain confidential information, Anaconda maintained it was compliant with the terms and conditions of the agreement which governs access to the mine site by having advised New Island it would be provided site access as soon as it was practical to do so, taking into account the ongoing commissioning process.