(MENAFN- ProactiveInvestors - Australia) PanTerra Gold's (ASX: PGI) ultrafine grinding mill at its Las Lagunas gold/silver project in the Dominican Republic has reached design power draw of 1.5 megawatts following a successful upgrade late last month.
The company is now in the position to progressively bring each element of the process plant up to design operating level.
The process plant has been designed to extract gold and silver from 5.137 million tonnes of high grade, 3.8 grams per tonne (g/t) gold and 38.6g/t silver, refractory tailings from the Pueblo Viejo mine.
Based on pilot plant test work the project expects to recover about 435,000 gold ounces and 3.966 million silver ounces over a six to seven year period.
Earlier this month, PanTerra increased the amount of gold and silver forwarded to refiners as it runs up the larger shell for the ultrafine grinding mill.
Bullion forwarded to refiners reached 542 ounces of gold and 5,003 ounces of silver on 2 November, up from the 480 ounces of gold and 4,723 ounces of silver on 26 October before the new shell was installed.
Targeted weekly production is about 1,300 gold ounces and 12,100 silver ounces at steady state design throughput.
Capital raising
PanTerra also recently announced it will raise A$5 million of additional working capital from a placement to sophisticated investors.
The company has arranged the placement of 33.3 million shares at $0.15 each, and will also issue one free share option, convertible at $0.175 on or before 31 December 2014, for every two shares issued in the placement.
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