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Resolute Mining ups Bibiani gold resources by 40%

Resolute Mining Ltd. said Oct. 18 that an updated resource estimate for the past-producing Bibiani gold property in Ghana increased contained gold by 40% with the incorporation of data from phase-two drilling.

Indicated and inferred resources at Babiani increased to 21.7 million tonnes grading 3.59 g/t gold for 2.5 million ounces, using a 2 g/t cutoff.

The company noted that indicated resources increased by 26% to 1.5 million ounces. Updated indicated resources will form the basis of a revised mine plan and updated feasibility study, which will also enable an updated reserves estimate. The new mine plan is expected to focus on the Central Lode at Bibiani.

Resolute released a feasibility study for the property in June 2016, which resulted in an initial reserves estimate of 5.4 million tonnes at 3.7 g/t gold for 640,000 ounces.

The company said phase-two drilling had returned highlights including 30.3 meters grading 8.92 g/t gold from a depth of 498.7 meters and 29 meters grading 9.03 g/t gold from 279 meters.

In early September, Resolute said it expects to make a decision on recommissioning the Bibiani mine by year-end.