Tietto Minerals (ASX: TIE) has reiterated development of its 3.45-million-ounce Abujar project in Cote d’Ivoire is on schedule to deliver first gold in the December quarter this year.
In today’s construction update, the company says development has stayed within budget and remained lost time injury free.
Installation of the SAG mill has begun on site, with two carbon-in-leach tanks at full height and the remaining six progressing.
Meanwhile, structural mechanical piping activities have started with lime silos and pebble crusher steel.
Concrete works are due for completion later this month, with 80% already undertaken.
Accelerated development
In late March, Tietto undertook a $130 million two-tranche placement to accelerate development of Abujar with 260,000 ounces of gold expected to be produced in 2023.
An updated life of mine production plan is expected in the current quarter. This will be based on an upgraded mineral resource estimate, increased mill throughput and higher gold prices compared to those in the definitive feasibility study.
The definitive feasibility study assumed a spot gold price of US$1,407 per ounce, with gold current attracting around US$1,731/oz.
Drilling continues to build confidence
In parallel with development activities at the project, Tietto is continuing an aggressive drilling program.
Drilling aims to upgrade resources to measured status across 2.9km of the AG South and AG Core targets, which will be mined over the first two years.
Earlier this week, Tietto announced highlight infill drill results from AG South of 4m at 16.16g/t gold from 19m, including 1m at 62.27g/t gold from 21m; 1m at 63.85g/t gold from 72m; and 1m at 35.82g/t gold from 313m.
Results from a further 63 holes for 8,992.5m are pending which were drilled at AG South and AG Core.
Tietto managing director Dr Caigen Wang said the company had an experienced team on board to deliver Abujar on time and on budget, with another mineral resource update due later in the year.
