Shambesai Gold Project
The Shambesai Prospect is a high-grade gold discovery, with a Mineral Resource of 766,000 ounces of gold.
Shambesai contains a significant high-grade oxide portion with more than 460,000 ounces of high-grade oxide Indicated and Inferred Mineral Resources. Using a high-grade cut-off of 2.0g/t, Manas has defined 2.6Mt at a grade of 3.6g/t for a total of 300,000 ounces, with an additional 160,000 ounces coming from 4.0Mt at an average grade of 1.3g/t gold.
The best high-grade results achieved to date include:
- 33.7m at 10.74g/t gold including 7.8m at 28.64g/t gold
- 21m at 12.6g/t gold
- 21.8m at 4.92g/t gold
- 23m at 4.09g/t gold
- 16.2m at 4.11g/t gold from 244.9m
- 24m at 1.62g/t gold from 242m
- 7.75m at 3.54g/t gold from 217.25m in
We submitted a technological and economic justification study (a TEO Report) to the Kyrgyz Ministry of Natural Resources for review in June 2011. Once approved, this report will allow us to apply immediately for a mining licence at Shambesai.
Pit optimisation studies at Shambesai have demonstrated potential for net cash flows of up to US$190 million over the first five years by the production of more than 200,000 ounces of gold. Production is projected to peak at 50,000 ounces of gold per annum in year 3 and average 40,000 ounces a year for five years. However there remains potential for increased throughput, cash flows and mine life by further oxide ore discoveries and future sulphide ore treatment.
Work on a full feasibility study is now underway and ahead of schedule. It is due for release in Q1 2012.
Further drilling is also being planned to infill areas along the shear zone to follow up on results of 33.7m at 10.7 g/t gold and 21m at 9.71 g/t gold, and at depth on the western extensions to follow up the most recent result of 54m at 2.9g/t gold from within an 87m long mineralised zone at depth. Drilling is ongoing at other prospects including Obdilla, Ulugtau and Tashbulak.