Nativo Resources plc said that initial assay results from surface trenching, along previously interpreted vein structures, supported plans to restart production at the Bonanza gold mine on the Tesoro concession, in Peru.
EXPANSION
Returns of localised values reached 19.5 grams per ton gold, with an average of 10g/t gold.
The company added that positive near-mine sample results, successful completion of underground rehabilitation and preparation of existing mine workings, also strengthened its confidence.
Nativo has also confirmed additional prospectivity within Tesoro.
The 20-trench programme over 400 hectares has so far resulted in 250 samples, in addition to more than 150 samples from the ongoing underground mine sampling programme.
The company also continues discussions with mining contractors, along with finalising the mine plan.
“The sampling programme has confirmed, in the view of the directors, that the Bonanza vein has the required grades for mining to restart,” said chief executive officer Stephen Birrell.
“In addition, it is pleasing to see high surface grades south of Bonanza which indicate potential for at least one – and potentially two – further mine sites in addition to Morrocota.”
Nativo also continues to refine the geological and structural model of the Bonanza vein as well as underground mapping and sampling, as it restarts mining in the existing Bonanza mine.
Further sampling is aimed at optimising mine planning for Bonanza and Morrocota, as well as expanding the Tesoro concession’s gold footprint.