 Garrison International
Ltd. has announced that construction of a processing facility on its Tovshiir
gold project in Mongolia has recommenced. Blair Krueger,
president of Garrison, reports,"The financial crisis that significantly
delayed Garrison in the development of this operation is now behind the
company.
With the funds obtained from Garrison's recent financing, Garrison is
in possession of the funds required to complete construction on Garrison's
primary asset. Once the processing facility has been completed and it becomes
operational, Garrison will have achieved its goal of producing gold from its
property in Mongolia."
The Tovshiir gold
project is an open cut gold mining project in South-eastern Mongolia. The
production facility that Garrison has planned for the project would be capable
of producing 500 tonnes per day of gold ore using feedstock grading 4.7 g/t Au.
The project is expected to be a low cost producer due to the free milling
nature of the ore that will be sourced at the project, as well as the very low
strip ratio to the mineralization.
The mineralization at Tovshiir outcrops as
flat quartz ore bodies at surface and the mine plan has the entire defined
mineralization zones being mined with less than a 0.5:1 strip ratio. In
addition, Garrison expects that the operation will remain low-cost as the
production plan for Tovshiir does not require the use of explosives and is a
basic dozer - excavator operation.
JPCM Ltd., an
Australian quarry group, has been engaged to undertake the mining and site ore
crushing and to deliver fine material to Garrison's grinding circuit.
US$1,650,000 of expenses are projected to be incurred to complete construction
of the plant. The plant will include a gravity concentration circuit (Knelsons
and Action Jigs) that will produce a high gold content concentrate that will then
undergo intensive leaching and electro-winning.
Plant equipment, including a
500 tonne per day ball mill with spare liners and ball charges, mixing and
dewatering units, conveyor belts, surge bins and filter presses, are scheduled
for delivery from China to the Tovshiir project within Garrison's fourth
quarter (i.e. by June 30, 2010). Management of Garrison also anticipates that
the on-site construction required to commence operations would be complete by
December 31, 2010, with commissioning of the plant to occur in late 2010 and
full production to be reached towards the end of the third quarter of
Garrison's 2011 financial year (i.e. by March 31, 2011).
Gill Engineering LLC
has been appointed to construct the plant infrastructure and complete all site
concrete works. Erchim Usny Engineers LLC, Garrison's environmental
consultants, continue to work closely with Mongolian provincial and national
governments to ensure proper implementation of the monitoring plans required to
satisfy the international standards under which Garrison plans to operate.
Garrison is a junior
mineral exploration company focused on acquiring and developing advanced stage
gold properties in Mongolia.
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