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Colombia

La Cumbre Project

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Overview

Mine TypeOpen Pit
StagePreliminary Economic Assessment
Commodities
  • Gold
  • Silver
Mining Method
  • Truck & Shovel / Loader
Mine Life... Lock
SnapshotThe La Cumbre Project contemplates a two-phases mine plan, the first phase reflects a 6-year mine life. Phase II extends the mine life to 14 years through an expansion to the sulphide zone by gravimetry and flotation. During phase I, 23% of commercial ounces will be obtained with the operation at a mining rate of 15,000 tons per day. Phase II will operate at a rate of 30,000 tons per day. During this phase the remaining 73% of planned ounces will be obtained.

Owners

SourceSource
CompanyInterestOwnership
Batero Gold Corp. 100 % Indirect
The La Cumbre project is 100% owned by Batero Gold Corp. The subject titles are held under the name of Sociedad Minera Quinchia S.A.S. (Minera Quinchia), a Colombian subsidiary of Batero Gold Corp.

Deposit type

  • Porphyry
  • Intrusion related

Summary:

Three intrusive centers have been identified within the mining property: Dos Quebradas, Mandeval-Centro and La Cumbre. They are copper-poor gold porphyry-type systems in which the intermediate argillic conclusion locally overprints an early potassic assemblage and stockwork of quartz veins, where gold is found in altered dioritic intrusions and contact zones. The Dos Quebradas and Centro-Mandeval intrusives were verified with some drilling, pending their characterization and development of the filling program to determine their mining potential. Additionally, to the south of the property, epithermal-type mineralized structures and the presence of mineralized breccias have been found. The La Cumbre Project is located along the eastern margin of Colombia’s physiographic Western Cordillera. The region is underlain by a highly complex basement known as the Romeral Terrane, which may be characterized as a tectonic mélange. The basement took form when Middle to Upper Mesozoic-aged volcanic and sedimentary oceanic rocks collided with, and were accreted to, the northern Andean paleo-continental margin, beginning in the Early Cretaceous. The resulting suture is known as the Romeral fault system and the mélange can be traced for over 1,000 km along the northern Andes. The La Cumbre and surrounding area is underlain by four principal rock units. These include: 1) a basement complex consisting of mafic and ultramafic oceanic volcanic rocks and granitoid intrusive rocks belonging to the Romeral Terrane, 2) stratified clastic sedimentary rocks of the Amaga Formation, 3) basalt-andesite through felsic volcanic and pyroclastic rocks of the Combia Formation, and, 4) dioritic to monzonitic hypabyssal porphyritic intrusive rocks. The Dos Quebradas, El Centro and La Cumbre porphyry gold deposits are associated with three Miocene intrusive centers in a north-south trend that have a strike extension of approximately two kilometers at elevations between 1,600 meters above sea level (MASL) and 1,050 MASL. The Dos Quebradas, El Centro and La Cumbre porphyry gold deposits are copper-poor porphyry gold systems in which intermediate argillic alteration locally extensively overprints an early potassic assemblage and its associated quartz veinlet stockwork. Gold in these deposits occurs in altered dioritic intrusions and in the diorite-basalt contact zones. The highest gold and silver grades occur in the early diorite phases characterized by potassic (mainly biotite with subordinate K-feldspar) and potassic-calcic alteration that is characterized by addition of traces of actinolite and garnet to the potassic assemblage. Significant amounts of quartz ± sulfide veinlets and greater than 3% hydrothermal magnetite are common in these early phases. The intrusions that host mineralization consist of several phases of diorite and later andesitic dike phases exhibiting characteristic alteration zoning, possibly because of telescoped porphyry and epithermal systems and progressive leaching of gold by overprinting argillic alteration. La Cumbre is a discrete porphyry gold center in which the average gold content reaches economic tenor even though the quartz-veinlet intensity is relatively low. The La Cumbre porphyry gold center is truncated to the north and west by the structural corridor of La Amarilla. This structure has a NW trend and separates the La Cumbre deposit from the El Centro and Dos Quebradas deposits. On the basis of the drilling to date, the gold grade attains a maximum in biotite-rich porphyry, and is clearly progressively leached as the intermediate argillic overprint intensifies (Sillitoe, 2006). Gold values in the early diorite are highest where hydrothermal biotite and fine-grained chalcopyrite reach maximums. Gold grades are lower in the inter-mineral phases; they still have potassic alteration with a lower density of veinlets compared with the early intrusive phases. Sulfide contents in early intra-mineral phases are normally lower than 1% but up to 3% and include pyrite, and locally trace amounts of chalcopyrite, bornite, and molybdenite. Late inter-mineral intrusive phases present moderate to strong intermediate argillic alteration with an average sulfide content of 3% to 5% composed mainly of pyrite with traces of molybdenite and chalcopyrite. The late inter-mineral phases are devoid of potassic alteration and quartz veins. Post mineral dikes exhibit argillic alteration (kaolinite) with subordinate chlorite and epidote. Gold and copper grades in basaltic wall rock follow potassic biotite and potassic calcic (biotiteactinolite) alteration. A-veinlet densities reach up to 50 veinlets per meter. Most artisanal mining activity in the Quinchia area follows centimetric fault gouge along faults in tuffaceous volcanic rocks with strong intermediate argillic alteration. Gold occurs with the fault gouge that contains fine-grained pyrite. The intrusions that host mineralization consist of several phases of diorite and later andesitic dikes exhibiting characteristic alteration zoning, possibly because of telescoped porphyry and epithermal systems. Mineralization at La Cumbre was discovered through follow up drilling of surface geochemical anomalies by Kedahda in 2006. The mineralization was best tested in the central part of La Cumbre where four holes were drilled along an east-west section. Hole DD008 intersected 210 m of 0.80 Au g/t and 0.15% Cu from surface to a vertical depth of 150 m. Drilling to the south of this section confirmed the mineralization at surface which continued as a low-grade zone to 520 m depth in hole DD018.

Reserves

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Mining Methods

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Comminution

Crushers and Mills

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Processing

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Production

CommodityProductUnitsAvg. AnnualLOM
Gold Payable metal koz 1,627
Silver Payable metal koz 2,651
Gold Metal in doré koz 75
Silver Metal in doré koz 96

Operational metrics

Metrics
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Waste tonnes, LOM  ....  Subscribe
Ore tonnes mined, LOM  ....  Subscribe
Tonnes processed, LOM  ....  Subscribe
* According to 2021 study.

Production Costs

CommodityUnitsAverage
Credits (by-product) Gold USD  ....  Subscribe
All-in sustaining costs (AISC) Gold USD  ....  Subscribe
C1 cash costs Gold USD  ....  Subscribe
Assumed price Silver USD  ....  Subscribe
Assumed price Gold USD  ....  Subscribe
* According to 2021 study / presentation.
** Net of By-Product.

Operating Costs

Currency2021
OP mining costs ($/t mined) USD 2.46 *  
OP mining costs ($/t milled) USD  ....  Subscribe
Processing costs ($/t milled) USD  ....  Subscribe
G&A ($/t milled) USD  ....  Subscribe
* According to 2021 study.

Project Costs

MetricsUnitsLOM Total
Initial CapEx $M USD  ......  Subscribe
Expansion CapEx $M USD  ......  Subscribe
Sustaining CapEx $M USD  ......  Subscribe
Closure costs $M USD  ......  Subscribe
Total CapEx $M USD  ......  Subscribe
OP OpEx $M USD  ......  Subscribe
Processing OpEx $M USD 743.9
Refining costs $M USD  ......  Subscribe
G&A costs $M USD 23.6
Total OpEx $M USD  ......  Subscribe
Total Taxes $M USD  ......  Subscribe
Royalty payments $M USD  ......  Subscribe
Gross revenue (LOM) $M USD  ......  Subscribe
Net revenue (LOM) $M USD  ......  Subscribe
EBITDA (LOM) $M USD  ......  Subscribe
After-tax Cash Flow (LOM) $M USD  ......  Subscribe
Pre-tax NPV @ 5% $M USD  ......  Subscribe
After-tax NPV @ 5% $M USD  ......  Subscribe
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Required Heavy Mobile Equipment

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Personnel

Mine Management

Job TitleNamePhoneProfileRef. Date
....................... Subscription required ....................... Subscription required ........... Subscription required Subscription required Feb 27, 2023

Aerial view:

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