London, England — MININGREVIEW.COM — 29 April 2008 – Cluff Gold plc – a British-based company focused on the identification and acquisition of mining deposits in West Africa – expects to be producing gold there at an annualised rate of at least 100 000 oz by the end of this year.
Releasing its preliminary results for the year ended 31December 2007 here yesterday, the company confirmed that its 90%-owned first producing mine, the Angovia gold mine in Cote d’Ivoire – which poured its first gold in March – expected annual production to reach a rate of 40 000 oz by the end of 2008. Its resource had increased to 495 000 oz.
Cluff’s 78%-owned Kalsaka gold mine in Burkina Faso – now boasting an increased resource of 790 000 oz – is scheduled for completion of development during Q2 of 2008, and the first gold pour is expected during the course of Q3. By the end of the year Kalsaka is scheduled to reach an annualised production figure of 60 000 oz.
Meanwhile the Baomahun, project in Sierra Leone – in which Cluff has a 60% stake – saw its resource increased to 1.16 million oz in 2007, and a new resource estimate is expected in Q3 of 2008. The scoping study at Baomahun has confirmed the potential for economic development, and an agreement was signed in February 2008 to buy remaining 40% of project.
Chairman and CEO Algy Cluff comments: “With our first gold pour from the Angovia Gold Mine, we are now a producing gold mining company. Our second gold mine at Kalsaka is scheduled to be operational within the next few months and results from pre-feasibility drilling at Baomahun – our flagship exploration project – continue to confirm our positive expectations.”
Referring to cost inflation in the mining industry, Cluff warned that the year ahead would certainly present some challenges, but – he added – “it is also set to be rewarding and exciting as we head towards an annualised gold production of 100000 oz and the completion of our pre-feasibility study at Baomahun.”