Gold mine costs less than expected

Costs related to the building and ongoing running of Ireland’s proposed first commercial gold mine, planned for Co Monaghan, are expected to come in significantly lower than initial estimates.

Dublin-headquartered prospector, Conroy Gold and Natural Resources announced, yesterday, that the cost of establishing the processing plant, at the facility, should amount to around $18.5m (€13.6m).

This is down from original estimates of almost $20.2m. Furthermore, the actual gold ore processing/ operating costs are now expected to amount to approximately $12.26 per tonne; more than $1 less than the original $13.64 per tonne estimate.

The estimate amendments are based on US engineering consultant, Tetra Tech’s independent review of the results of the final testwork on the ore grade material, at Clontibret by South African mining giant, Gold Fields.

Conroy chairman Prof Richard Conroy welcomed the development, adding: “I am delighted by Tetra Tech’s independent confirmation that the test work results on the ore grade material sent to GoldFields/Biomin validate the process design criteria. I am especially pleased at the significant reduction in capital and operating costs for both the development and operation of the mine.”