Sub Nigel 1 Project, South Africa

The project will entail the establishment of a number of underground production areas, to produce 6 000 oz/y of gold from a production rate of 6 000 t/m of ore. The project will use the current infrastructure at Sub Nigel, which is reported to be in excellent condition and will gain access to stoping areas from existing development. The ore from Sub Nigel will initially be processed through the Modder East plant, which will have excess capacity until the latter reaches full production in 2011. A second phase is envisaged to follow the successful implementation of Phase 1. A third phase could potentially see run-of-mine production increase to 20 000t/m. Project value: R28.9 million.