Halifax, Canada — MININGREVIEW.COM — 03 March, 2008 – Etruscan Resources Inc. – a diversified Canadian mining company that has been exploring for gold and diamonds in Africa for over 13 years – is aiming at a substantial increase in gold production this year, and also intends spending US$15 million (more than R110 million) on new exploration for gold in West Africa in 2008.
Reporting its financial and operating results for the year ended 30 November 2007, the company outlined the following objectives aimed at boosting output for this year:
- Gold production of between 60 000 and 70 000 oz from the Youga gold mine in Burkina Faso in the 2008 calendar year. First production was last month;
- Completion of the feasibility study for the Agbaou gold project in Côte d’Ivoire during the third quarter of 2008, with a view to bringing the property into production in the fourth quarter, 2009;
- Completion of the deep drilling programme to evaluate the potential of the gold resource at the Finkolo gold project in Mali;
- Achievement of a steady production level of 100 000 cub m per month of diamondiferous gravels at the Tirisano diamond mine, equating to annual diamond production of 30 000 carats; and
- Completion of a pre-feasibility study for the Blue Gum diamond project in South Africa.
Turning to exploration, Etruscan is continuing its exploration activities on earlier stage projects in Burkina Faso, Mali, Côte d’Ivoire, Ghana and Namibia
The company has allocated US$15 million (over R110 million) – more than 40% of its recent US$35 million (R260 million) equity financing to aggressive exploration and drilling programmes in the five African countries in 2008. Ten projects are drill-ready and several others are expected to generate drill targets over the next three to four months.
The planned drilling programme for the year involves a hectic schedule covering a combined total of 75 000 geo-chemical samples, 50 000m of augur drilling, 23 000m of RAB drilling, and nearly 80 000m of RC drilling.