Kinross acquired the Lobo-Marte gold project in northern Chile
on January 8, 2009 from Teck Cominco Limited and certain
subsidiaries of Anglo American plc.
Close to 30,000 hectares in size, Lobo-Marte is located in the
Maricunga mining district, roughly midway between Kinross'
Maricunga and La Coipa mines.
Lobo-Marte allows Kinross to further increase its presence in the
Maricunga district and offers potential cost savings by using
existing administration and operations at neighbouring Kinross
operations to help develop the project. As well, Kinross'
experience in cold-weather, heap leach mining at high altitudes
will be relied on.
Kinross has completed an update to its earlier pre-feasibility
study on Lobo-Marte. The updated study is based on a mine life of
approximately 10 years and confirms the viability of a 47,000 tonne
per day open pit heap leach operation incorporating SART
(Sulphidization, Acidification, Recycling and Thickening)
technology. The updated study estimates an average annual
production of approximately 350,000 ounces per year, with average
operating costs of $11.00-11.50 per tonne. The average gold grade
over the life of mine is estimated to be 1.17g/t and average
recovery of 60 - 70%.
Kinross received approval for an additional 20,000 metres of
drilling at Lobo-Marte late in the fourth quarter of 2010. The
Company is proceeding with further infill and geotechnical drilling
in support of the project feasibility study, which is scheduled for
completion in the fourth quarter of 2011. The project remains on
target to commence commissioning in 2014.
Mineral Reserve and Resource Summary
As at December 31, 2010
| Gold |
Tonnes
(X 1,000) |
Grade
(g/t) |
Ounces
(X 1,000) |
| Proven and Probable Reserves |
164,230 |
1.14 |
6,028 |
| Measured and Indicated Resources (a) |
34,052 |
0.83 |
908 |
| a) Measured and Indicated Resources exclude
Proven and Probable Reserves |