Crusader Options Crushing and Milling Plant for Juruena
Perth, April 21, 2016 AEST (ABN Newswire) - Brazil-focused resource development company Crusader Resources (
ASX:CAS) (CHLXF:OTCMKTS) ("Crusader" or "the Company") is pleased to advise the Company has signed a non-binding option to purchase and install a refurbished plant from Brazilian equipment supplier GNA (Minerales equipamentos e Acos Especiais Ltda.), for its wholly owned high-grade Juruena Gold Project.
Highlights
- Crusader has signed a purchase option for a crushing and milling plant for the Juruena Gold Project
- The plant will include a re-furbished second-hand crushing, screening and grinding circuit, capable of treating up to 300tpd
- The option has been signed with Brazilian equipment supplier and foundry - GNA, a group that has had a long association with Crusader as crushing, screening and wear part supplier for the Posse Iron Ore Mine
- The option is exclusive for 90 days and includes a total cost of R$8 million (~US $2 million) for a "turn key" contract including installation and delivery to site
- Two diamond rigs have arrived on site and are progressing the recently announced 6,000m diamond drilling program
The plant includes three stage crushing and a single ball mill recently purchased (second hand) by GNA. The option is for the supply and installation on site at Juruena (turn-key) and comes at a cost of ~R$8million (~US$2 million).
Commenting on the purchase, Crusader's Managing Director Rob Smakman said: "We have worked with GNA for a long time at Posse and have always had great service, reasonable terms and reliable products. With this plant option now available, it demonstrates our commitment to Juruena- the Scoping Study currently underway will be positively affected by this option. The availability of second-hand mining equipment in Brazil has never been better and when coupled with the purchasing power of US dollars with the current exchange rate, we have a unique opportunity to fast track Juruena into production."
During the Scoping Study, various equipment suppliers have been contacted for quotations on both new and used equipment and this information was built into the financial analysis of the capital costs and overall viability. GNA are one of the suppliers who were a part of this search and had previously provided a competitive bid for a new crushing and grinding circuit.
Further to this, GNA was able to purchase a used ball mill of suitable size and had enough crushing and screening equipment available to quote on a refurbished option. The turn-key concept will remove much of the execution risk involved in the installation of the plant and the Company will work closely with GNA to refine the design and implementation of the project. The plant throughput rate of up to 300tpd is considered appropriate for the project scope at this stage, however there is some flexibility with final throughput rates dependant on additional testing and process flowsheet finalisation.
Exercising of the option is exclusively Crusader's decision and will depend on the outcome of the Scoping Study, prevailing market conditions as well as the ongoing drilling program.
Juruena Drilling Program Update
The Juruena Project (> 400km2 of contiguous tenements) is located in Central Brazil on the southern fringe of the Amazon Basin. Situated on the western end of the prospective Juruena-Alta Floresta gold belt (estimated to have produced ~7Moz Au), Juruena has been explored extensively by artisanal miners since the 1980's, producing an estimated 500koz of gold. A maiden JORC compliant mineral resource estimate was released to the market in 2015, which included inferred resources at Querosene and Dona Maria of 460kt @ 12.1g/t for 178koz.
Crusader recently announced a 6,000m diamond drilling program at the Juruena Project, initially targeting Querosene and Dona Maria prospects (refer to ASX announcement dated 16 March 2016).
The resource-infill and expansion program comprises around 50 holes for approximately 6,000m over a period of up to 90 days. The Company expects to convert a high percentage of the current Inferred resources at Dona Maria and Querosene to the Indicated category as well as seek to expand the size of the overall gold resources at Juruena.
To view figures, please visit:
http://abnnewswire.net/lnk/GF98EDHT
About Crusader Resources Limited
Crusader Resources Limited (ASX:CAS) is a minerals company focussed on the identification, acquisition, development and operation of projects in Brazil. Crusader believes that Brazil is a vastly underexplored country with high potential for the discovery of world class mineral deposits. The company has already acquired a diverse portfolio of projects including gold, iron ore, tin, tungsten and uranium and continues to utilise its strong networks in Brazil to identify new opportunities.
Crusader is characterised by a tight corporate structure and features an experienced board of directors who are strongly focussed on the success of the company.
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