Mining Intelligence and News
Ghana

Enchi Project

Click for more information

Categories

Overview

Mine TypeOpen Pit
StagePreliminary Economic Assessment
Commodities
  • Gold
Mining Method
  • Truck & Shovel / Loader
Mine Life... Lock
SnapshotThe Enchi Gold Project is focused on a low-capital, open-pit, heap leach operation with district-scale exploration potential. The project benefits from one of the strongest track records in studies and project execution for West African projects.

Mining is planned across nine shallow open pits from five deposits: Sewum, Boin, Nyam, Kwakyekrom, and Tokosea. Mineralized material will be trucked to a heap leach facility, which will be constructed in three phases over six years, allowing for potential future mine life extension.

All resource areas at Enchi remain open along strike and at depth, providing significant potential for future mine life extensions through resource growth at the existing deposits.
Latest NewsNewcore Gold Drilling Intersects 204 g/t Gold over 1.0 Metre and 3.36 g/t Gold over 28.0 Metres at the Enchi Gold Project, Ghana     November 13, 2024

Owners

SourceSource
CompanyInterestOwnership
Newcore Gold Ltd. 100 % Indirect
The Enchi project is held 100% by Newcore Gold Ltd..

Upon the grant of the exploitation permit, and in accordance with Mining Regulation, the Government of Ghana is entitled to retain a 10% free carried equity interest in Enchi Project.

Contractors

Lock

- subscription is required.

Deposit type

  • Mesothermal
  • Vein / narrow vein
  • Saprolite

Summary:

The Enchi Project’s mineralized zones have the characteristics of epigenetic, mesothermal quartz vein style gold deposits with an overlying gold-bearing saprolite. This type of mineralization is the most important type of gold occurrence in West Africa and is commonly referred to as the Ashanti-type.

Sewum Zone
The Sewum West and South prospects are found along the eastern contact of a thrust-bounded volcanic sliver, outcropping 6 km to the east of the Boin Zone on the NS. The gold mineralization is associated with late D2 to D4 deformation phases. It is structurally controlled within, and adjacent to, late graphitic faults focused on the margins of poly-phase quartz veins within faults. The veins developed along the axial planes of hinges and limbs of earlier hanging wall D3 drag folds ± intrusives.

The host rocks at Sewum include interbedded carbonaceous siltstone and sandstone (turbidite). The sediments have been regionally deformed to greenschist facies, are steeply dipping, and typically strike north-northeast (30º) parallel to the regional structural grain. A steeply dipping dolerite dyke 3 km long and up to 500 m wide has been intersected in the drilling and acts as an important host to gold mineralization in the Sewum area.

Three styles of mineralization have been identified at Sewum:
- Disseminated arsenopyrite associated with quartz veining and silicification in sheared sediment, e.g. Sewum Shear Zone.
- Quartz – sericite – carbonate replacement of sheared dolerite and sediment localized along moderately (40°) dipping shears hosted within dolerite, e.g. Sewum Ridge Top Shears (SRTSZ).
- Brecciated and stockworked sediment and dolerite developed at the margin of the dolerite dyke and replaced and in-filled by quartz-sericite ankerite and minor sulphides, e.g. Checkerboard Hill, East Contact Zone (ECZ), and West Contact Zone (WCZ).

Boin Zone
The Boin Shear Zone is formed in the west hanging wall of this major second-order, west-dipping, thrust contact between mafic volcanic ±volcaniclastic sediments which over-thrust turbidites to the east. The whole contact is expressed as a 10 to 30 m wide graphitic shear zone, which trends 025° to 040° and dips west 30° to 70°. The Boin thrust is an early, regionally second-order splay or replication off the main basin-boundary contact further to the west. Multiple sets of crosscutting fabrics, veins, and faults have been recorded within the core and trench logging. The gold is mostly found in the hanging wall quartz zone and is characterized by massive 20 to 30 m wide zones of intensive quartz veining cut and fractured by late, graphitic faults.

Nyam Zone
The Nyam Zone strikes over a distance of 2.1 km, hosted by altered phyllite, 200 to 300 m west of the interpreted position of the second order NS. The zone of mineralization lies in the hanging wall of a northeast-striking shear that dips 70º east and is up to 30 m thick. Nyam mineralization is part of a continuous 15 km strike length of gold prospects on the Project from Nyam southwest through Kojina Hill to Sewum in the south. An extensive envelope of weak gold mineralization (more than 0.25 g/t) dips sub-vertically and strikes 030°.

Mineralization at the Nyam Zone is composed of veined and brecciated sediment and phyllite cemented by quartz, carbonate (ankerite), and albite and has been traced continuously in trenching and drilling for over 2 km along strike.

Kwakyekrom Zone
The Kwakyekrom Zone is located 3 km south of the Nyam Zone and is interpreted to be related to the extension of the same structure. Drilling has tested the Kwakyekrom Zone over a strike distance of 1.3 km and to a depth of approximately 150 m. The zone is hosted by altered phyllite, 700 to 800 m west of the interpreted position of the second order NS structure. The phyllite has been intersected by metre-scale dolerite dykes similar in composition to the larger intrusive bodies encountered at Sewum.

Kwakyekrom mineralization is part of a continuous 15 km strike length of gold prospects on the Project from Nyam southwest through Kwakyekrom to Sewum in the south. Gold mineralization is hosted in a series of sub-parallel zones (more than 0.20 g/t) ranging in width between 5 and 25 m and dipping sub-vertically and striking 030°.

Kwakyekrom mineralization is associated with sediments showing intense ductile strain, with centimetre- to metre-scale quartz veins focused within brittle-ductile deformation zones. Additionally, sediment-dolerite contacts are often the site of quartz veins and variable gold mineralization.

Tokosea
The Tokosea prospect is located on a volcanic / sediment contact similarly to that associated with the Sewum Mine, although offset by faulting south of Adamansu. The prospect includes the workings of the historic Tokosea Mine along with several parallel and en-echelon gold mineralized quartz veined zones some 30 m to the east, including the Tokosea East prospect. The historic mine included a small open pit and underground has development on the 18 m, 27 m, and 45 m levels.

All the significant gold mineralization is hosted by sub-vertical quartz veined structures in phyllite with some gold in quartz veinlets within the sediment and volcaniclastic units. The main structure developed in the Tokosea Mine is a shear hosted, thin (0.3 to 1 m) lenticular quartz veined zone averaging 5-10 m in width, dipping 85° northwest, and following a contact between a dominantly argillaceous (phyllite) footwall (eastern) and a dominantly volcaniclastic hanging wall (western) unit. The immediate host rock is a black carbonaceous phyllite. The general strike is 030°.

Reserves

Lock

- subscription is required.

Mining Methods

Lock

- subscription is required.

Comminution

Crushers and Mills

Lock

- subscription is required.

Processing

Lock

- subscription is required.

Production

CommodityProductUnitsAvg. AnnualLOM
Gold Metal in doré oz 121,8391,096,553
Gold Payable metal oz 1,096,553

Operational metrics

Metrics
Daily ore mining rate  ....  Subscribe
Annual ore mining rate  ....  Subscribe
Annual processing capacity  ....  Subscribe
Stripping / waste ratio  ....  Subscribe
Waste tonnes, LOM  ....  Subscribe
Ore tonnes mined, LOM  ....  Subscribe
Total tonnes mined, LOM  ....  Subscribe
Tonnes processed, LOM  ....  Subscribe
* According to 2024 study.

Production Costs

CommodityUnitsAverage
Cash costs Gold USD  ....  Subscribe
Total cash costs Gold USD  ....  Subscribe
All-in sustaining costs (AISC) Gold USD  ....  Subscribe
Assumed price Gold USD  ....  Subscribe
* According to 2024 study / presentation.

Operating Costs

CurrencyAverage
OP mining costs ($/t mined) USD  ....  Subscribe
OP mining costs ($/t milled) USD  ....  Subscribe
Processing costs ($/t milled) USD  ....  Subscribe
G&A ($/t milled) USD  ....  Subscribe
Total operating costs ($/t milled) USD  ....  Subscribe
* According to 2024 study.

Project Costs

MetricsUnitsLOM Total
Initial 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 285.1
Refining and treatment costs $M USD  ......  Subscribe
G&A costs $M USD 46.7
Total OpEx $M USD  ......  Subscribe
Income Taxes $M USD  ......  Subscribe
Royalty payments $M USD  ......  Subscribe
Gross revenue (LOM) $M USD  ......  Subscribe
Net revenue (LOM) $M USD  ......  Subscribe
Pre-tax Cash Flow (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
Pre-tax IRR, %  ......  Subscribe
After-tax IRR, %  ......  Subscribe
Pre-tax payback period, years  ......  Subscribe
After-tax payback period, years  ......  Subscribe

Required Heavy Mobile Equipment

Lock

- subscription is required.

Personnel

Mine Management

Job TitleNameProfileRef. Date
....................... Subscription required ....................... Subscription required Subscription required Jun 7, 2024
....................... Subscription required ....................... Subscription required Subscription required Jun 7, 2024
....................... Subscription required ....................... Subscription required Subscription required Sep 20, 2024
....................... Subscription required ....................... Subscription required Subscription required Sep 12, 2024
....................... Subscription required ....................... Subscription required Subscription required Sep 20, 2024

Aerial view:

Lock

- subscription is required.