Reunion Gold Corp. [RGD-TSXV] CEO Rick Howes says metallurgical results continue to confirm the robustness and strong economic characteristics of the company’s Oko West project in Guyana.
“These results represent one of the many studies that will comprise our preliminary economic assessment (PEA), which we expect to release by the end of 2023 or early 2024,’’ he said.
The Oko West project is in the Cuyuni Mining District, about 95 kilometres west of Georgetown and is accessible by roads and trails from the town of Bartica or by boat using the Cuyuni River.
The project covers 11,900 acres of mineral rights held by local Guyanese entrepreneurs. Reunion entered into agreements entitling it to conduct exploration activities and acquire a 100% in the project area.
The metallurgical results were released after the close of trading on August 21, 2023 when Reunion shares closed at 51 cents. The shares are currently trading in a 52-week range of 58 cents and 24 cents.
The company said metallurgical test work program was conducted under the overall supervision of G Mining Services Inc. Eighteen composite samples totalling 1,200 kilograms were evaluated using core material from across the deposit representing two gold grades (1.0 g/t gold and 2.0 g/t gold).
Gold extraction for gravity leach averaged 94.4% (fresh rock), 96.5% (transitional material) and 97.5% (saprolite). Primary grind size of P80 at 75 microm resulted in the best gold extraction on average. The company said results indicate a deposit with a medium level of hardness, which is typical of other deposits in the Guiana Shield region.
Back in June, 2023, the company announced an initial pit-constrained mineral resource estimate for the Kairuni zone at Oko West. It consists of 2.47 million ounces of gold in the indicated mineral resource category, grading 1.84. g/t gold. On top of that is an inferred resource of 1.76 million ounces of gold at a grade of 2.02 g/t gold.
Howes said the maiden resource confirms Oko West as a quality multi-million-ounce gold discovery with the potential for further growth. He said in just 22 months of drilling, the company has outlined a sizeable resource containing 60 to 100 metre thick saprolite cover, good grade continuity over a 70 metres average thickness to a depth of over 600 metres and with grades well above industry average.
“Further work is planned to both grow and infill this maiden mineral resource estimate, which remains open for further expansion, particularly at depth” he said.
“In addition, we continue to explore several other promising targets on our prospecting license including the Bryan, Takutu, and Carol zones. In parallel with the exploration programs, we intend to rapidly advance this exciting new discovery and plan to release a preliminary economic assessment in the fourth quarter.’’