(TheNewswire)
Vancouver, BC / TheNewswire / February 1, 2018 – John Cumming, President and Chief Executive Officer of Stellar AfricaGold Inc., (TSX-V: SPX) ("Stellar" or the "Company") announces:
GUINEA BALANDOUGOU GOLD PROJECT, BULK SAMPLE PROGRAM
Development continues at the B3 Zone of Stellar’s 100% controlled Balandougou Gold Project in Guinea where the Company has installed a 150 tonnes per day (“tpd”) gravity separation plant based on design parameters defined by SGS South Africa and manufactured by Henan Xingyang Mining Machinery, Zhengzhou, China. The mill will process a 15,000 tonnes bulk sample to test the economic viability of processing the B3 Zone gold mineralization using only gravity separation.
The B3 Zone is a surface and near-surface gold-mineralized oxide deposit defined by the results of 90 core and RC drill holes and over a dozen mechanized trenches. The identified 800 metre strike length of the B3 Zone sheared structures of quartz veins and veinlets remain open both laterally and vertically.
From an identified extraction trench within the B3 Zone Stellar has extracted and stockpiled 15,000 tonnes of gold-mineralized oxide for the bulk sample, and the sample is ready for processing once commissioning of the plant is complete.
Since the seasonal holiday break construction crews and management supervisors have worked steadily and all plant construction and equipment installation is expected to be finished by the first week of February and commissioning of the gravity mill will begin immediately thereafter. Processing of the 15,000 tonnes bulk sample is expected to take approximately 4 months.
MILL CONSTRUCTION UPDATE
Within the plant all concrete footings are finished and structural steel supports are nearing completion. Most heavy components of the production line, including the upper vibrating feeder, primary crusher, conveyors, cylinder washing plant, secondary fine crusher and electric generator, are in place and installation of the other two major components of the plant, the ball mill and Knelson concentrator, is almost complete.
Within the gold recovery room, a 40' shipping container repurposed into a secured facility, the Model 6S shaking table with capacity to process 30-60 tpd of gold concentrate from the Knelson concentrator, and the high frequency smelting furnace have been installed.
The entire plant is powered by a 250 kilowatt YTO Diesel Generator. The generator installation is complete and the electrical wiring for all of the plant’s heavy components is underway.
To provide a secure water supply, and completely eliminate any potential costs that could be incurred to transport water from other sources, Stellar drilled two 100-metres deep water wells near the plant site. The wells are fully operational and supplying between 10-15,000 litres of water per hour, i.e. combined well steady flow rate, and a 1.5 million litre reservoir is being filled. The plant will require up to 30,000 litres per hour of continuous water flow of which about 75% will be recycled and reused, therefore with the well flow and the reservoir there will be abundant water supply for milling operations. Any net decline in the reservoir level at the end of the day will be replenished overnight. Installation of water supply lines to the plant components and the water recovery recycling circuit is presently underway.
At the mill camp construction of sleeping facilities, kitchen and cafeteria, and bathrooms, showers and laundry is complete, and all finishing materials and accessories including air conditioning units and other electrical supplies, stoves and sanitary fixtures have been installed within the five support buildings. External water supply is being connected to a 2,000 litres water tower, and external wiring to the camp’s dedicated 45 kilowatt electrical generator is also being completed.
Stellar AfricaGold Inc. is a Canadian gold exploration Company with offices in Vancouver, BC and Montreal, QC, with operations concentrated mainly in West Africa and in Quebec.
The Company is developing the promising gold potential of the Balandougou project in Guinea, including installation of a 150 t/p/d gravity mill and processing of a 15,000 tonne gold-mineralized oxide bulk sample. (see News Release March 1, 2017)
The Company also owns the Namarana project in neighbouring Mali. In Quebec, the Company owns 100% of the Opawica Project in the Chibougamau mining camp.
The technical content of this press release has been reviewed and approved by independent consultant Greg Isenor, P. Geo, a Qualified Person as defined in NI 43-101.
For further information please contact:
John Cumming, President & CEO, Stellar AfricaGold Inc.,
4908 Pine Crescent, Vancouver, BC, V6M 3P6, or
Maurice Giroux, VP Exploration, Stellar AfricaGold Inc.,
1035 West Laurier Street, Suite 201, Montréal (Québec) H2V 2L1.
Tel.: 514-866-6299 Email: mgiroux.stellar@gmail.com
Additional information is available on the Company’s website at www.stellarafricagold.com.
On Behalf of the Board
John Cumming, LLM,
President & CEO
This release contains certain "forward-looking information" under applicable Canadian securities laws concerning the Arrangement. Forward-looking information reflects the Company’s current internal expectations or beliefs and is based on information currently available to the Company. In some cases forward-looking information can be identified by terminology such as "may", "will", "should", "expect", "intend", "plan", "anticipate", "believe", "estimate", "projects", "potential", "scheduled", "forecast", "budget" or the negative of those terms or other comparable terminology. Assumptions upon which such forward-looking information is based includes, among others, that the conditions to closing of the Arrangement will be satisfied and that the Arrangement will be completed on the terms set out in the definitive agreement. Many of these assumptions are based on factors and events that are not within the control of the Company, and there is no assurance they will prove to be correct or accurate. Risk factors that could cause actual results to differ materially from those predicted herein include, without limitation: that the remaining conditions to the Arrangement will not be satisfied; that the business prospects and opportunities of the Company will not proceed as anticipated; changes in the global prices for gold or certain other commodities (such as diesel, aluminum and electricity); changes in U.S. dollar and other currency exchange rates, interest rates or gold lease rates; risks arising from holding derivative instruments; the level of liquidity and capital resources; access to capital markets, financing and interest rates; mining tax regimes; ability to successfully integrate acquired assets; legislative, political or economic developments in the jurisdictions in which the Company carries on business; operating or technical difficulties in connection with mining or development activities; laws and regulations governing the protection of the environment; employee relations; availability and increasing costs associated with mining inputs and labour; the speculative nature of exploration and development; contests over title to properties, particularly title to undeveloped properties; and the risks involved in the exploration, development and mining business. Risks and unknowns inherent in all projects include the inaccuracy of estimated reserves and resources, metallurgical recoveries, capital and operating costs of such projects, and the future prices for the relevant minerals.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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