Photo credit: Kingston Resources - Misima Gold Project Regional Overview
Commenting on the December quarter, Kingston Managing Director Andrew Corbett said: “We’ve hit the ground running in 2022 after finishing last year strongly on a number of fronts. Three key events – the acquisition of the Mineral Hill Mine, the divestment of our interest in the Livingstone Project, and a successful $14 million capital raising – have given us a great platform from which to grow in 2022.
“The Mineral Hill operations team is continuing to ramp up production through the transition period, and we look forward to to delivering positive cash-flow from the operation in the coming months. We are also very excited to have drill rigs arriving on site imminently to commence our exploration program.
“In addition to the near-term operations and exploration news flow from Mineral Hill, we expect to complete the Definitive Feasibility Study for the Misima Project in March – the results of which will be reported together with an updated mineral Reserve. This amounts to a very positive outlook for Kingston in the months ahead as we strive to achieve our objective of building a substantial diversified gold producer in the Asia-Pacific region based on the two high-quality assets in our portfolio.
Misima Gold Project
Definitive Feasibility Study
Process Plant Design
The process plant design contract for the Misima Gold Project DFS was awarded to Lycopodium Minerals Pty Ltd (ASX: LYL) during the September quarter. Work on plant design has advanced rapidly during the December quarter with process design criteria finalised, simulation work complete and the layout now finalised. The procurement process and pricing is now in progress.
Engineering Studies
Together with process plant design, the remaining work programs including civil works, site water management, HV electrical work, non-processing infrastructure, mine geotechnical assessments and mine planning are all well advanced with a number of tenders sent to market and pricing received.
Geotechnical Program
Geotechnical work commenced at the end of July and is now complete for pit slope assessment and waste rock dump design, with the necessary design assumptions finalised for inputs into mine planning.
Mine Planning
Initial pit optimisations have been run, with pit and waste rock dump designs complete. Estimation of detailed operating parameters is now underway.
Estimating and Financial Modelling
The project estimate is currently being compiled from market pricing and quantities estimates derived from the engineering studies with the financial model set up also underway.
Environmental and Mining Approvals
ESIA work programs continued during the quarter. The baseline field surveys, including the necessary marine surveys, are now largely complete. Initial data reports are largely complete with impact assessments to now be finalised, informing the ESIA to be submitted to the PNG Conservation and Environment Protection Authority (CEPA).
The Artisanal and Small-Scale Mining Study, the In-migration Study, the Human Resources and Localisation Plan and the Business Development Plan are continuing. This work will contribute to the Proposal for Development required as part of the Mining Licence Application.
Community Engagement
Kingston’s community engagement team has been continuing consultation activities with various stakeholders including community members, landowners, government, and other organisations as part of its commitment to keeping all stakeholders appraised of the work being carried out and the proposed project development strategy.
Article courtesy of Kingston Resources
