The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Globe Investor

News Sources

Take control of your investments with the latest investing news and analysis

Press release from CNW Group

Construction Update CAGP, Ghana Practical Completion Milestone Achieved

Wednesday, July 20, 2011

Construction Update CAGP, Ghana Practical Completion Milestone Achieved23:57 EDT Wednesday, July 20, 2011/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/PERTH, Western Australia, July 21, 2011 /CNW/ - Perseus Mining Limited (ASX/TSX: PRU) ("Perseus") is pleased to announce that on 20 July it signed off on Practical Completion on the lump sum turn key process facility ("LSTK Process Facility") for the Central Ashanti Gold Project ("CAGP") in Ghana.   Practical completion is defined as the point where the mill is ready to receive ore.Commissioning works for the LSTK Process Facility and infrastructure are advanced.  The high voltage ("HV") substation is complete and fully operational after the HV lines were energised on 22 May. The crushing facility is operating with primary and transition ore. The entire wet processing plant has been fully commissioned with water.  90 tonnes of graded steel balls have been added to the SAG mill and all plant services have been commissioned and await introduction of reagents when commissioning requires.The main tailings dam is complete and is awaiting EPA clearance and the smaller concentrate tailings dam should be ready to receive slurry within a week.The mining ramp-up is progressing, with five Lieberr 984 excavators and 21 Cat 777 trucks on site.  About 3,100,000m3 of material has been mined to date, including about 360,000t of ore.About 95% of the Company's required operational and administration staff has been employed and Perseus's and the LSTK contractor's mill commissioning teams are on site.With the excellent progress made to date on the process plant construction and infrastructure development, the Company remains confident that gold production will commence on schedule in the current quarter.Photographs of the commissioning process at CAGP are available on the Company's website at Calderwood, Managing Director's Comments"Practical completion is a very important commissioning milestone for the LSTK Process Facility.  We are now looking forward to the first gold pour and Performance Test completion."Perseus Mining Limited (ASX/TSX: PRU) has forged a reputation as one of West Africa's most successful gold explorers. Focused on under-explored gold belts in West Africa, Perseus is on track to become a producer by the third quarter of 2011 at its Central Ashanti Gold Project (CAGP) in Ghana.  The Company plans to produce at the initial rate of about 220,000 ounces of gold in year 1 and to increase this to about 280,000 ounces per annum in year 2.Perseus is now also planning the development of its Tengrela Gold Project in Côte d'Ivoire, with production targeted for 2013. Tengrela has the potential to become a significant contributor to the Company's goal to develop into a 400,000 ounce per year gold producer by 2013.Perseus will continue its strategy of rapidly increasing its resource and reserve base during the development of the CAGP and Tengrela.Caution Regarding Forward Looking Information: This report contains forward-looking information which is based on assumptions and judgments of management regarding future events and results. Such forward-looking information, includes but is not limited to information with respect to future exploration and drilling,  procurement of financing, procurement of necessary regulatory approvals, the development of a mine at the Central Ashanti Gold Project, and development of a mine at Tengrela .  Forward-looking information involves known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any anticipated future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, the actual market price of gold, the actual results of current exploration, the actual results of future exploration, , changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's publicly filed documents.. The Company believes that the assumptions and expectations reflected in the forward-looking information are reasonable.  Assumptions have been made regarding, among other things, the Company's ability to carry on its exploration and development activities, the timely receipt of required approvals, the price of gold, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain financing as and when required and on reasonable terms.   Readers should not place undue reliance on forward-looking information.  Perseus does not undertake to update any forward-looking information, except in accordance with applicable securities laws.For further information: To discuss any aspect of this announcement, please contact: Mark Calderwood at telephone +61 8 9240 6344 or email Nathan Ryan at telephone +61 420 582 887 or email Rebecca Greco at telephone +1 416 822 6483 or email (Toronto)