Gold and Silver Project

Amec awarded next Phase of Ban Houayxai Gold and Silver Project

17.05.2010 | Deskman: Marcel Dröttboom

Amec has been awarded the detailed engineering and procurement services contract for the BanHouayxai gold and silver project. (Picture: PanAust)

Ban Houayxai, Laos – Amec has been awarded the detailed engineering and procurement services contract for PanAust’s BanHouayxai gold and silver project in Laos. The contract value has not been announced. The services for the 4 million tonnes per-year project will be delivered by Amec Minproc.

On March 29, 2010, PanAust announced that its Board of Directors has approved the development of the Ban Houayxai gold and silver project. The successful feasibility study was based on an open pit mining operation feeding ore to a conventional 4 million tonnes per year carbon-in-leach process plant to produce over 100000 ounces of gold and 700000 ounces of silver per year. The plant design is for a semi-autogenous grinding/ball milling circuit. The open pit mine will be a conventional truck and shovel operation. The life-of-mine strip ratio based on the current mine plan is less than 1.5:1. No pre-stripping of the deposit is required. The equipment fleet will consist of ten 92 tonne capacity dump trucks, two 100 tonne excavators and an associated ancillary fleet. The project development will include construction of a new access road and a power line spur connected to the grid near the town of Vang Vieng, approximately 30 kilometres west of the project. An accommodation camp will be constructed for the majority of the workforce, which is estimated to total 526 during steady state operations and up to 630 during construction. Raw water for the process plant will be sourced from the adjacent Nam Ngum 2 reservoir.

Amec Minproc has been working closely with PanAust’s Phu Bia Mining subsidiary over the last few months, concentrating on process engineering design and long- lead equipment specifications production, to enable early tender of the long-lead equipment. The Ban Houayxai project is targeting commissioning completion by December 2011, with steady state gold production expected in March of 2012.

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