Canada-based mid-tier gold producer Calibre Mining has secured environmental approval for the Volcan gold deposit at its fully owned La Libertad mine complex in Nicaragua.
Granted by the Nicaraguan authorities, the key environmental permits will enable the company to advance the development and production of the open pit mines at the Volcan gold deposit.
Located around 5km south of the Libertad mill, the Volcan deposit hosts 508,000 tonnes of indicated mineral resource and 1,788,000 tonnes of inferred mineral resource producing 30,000 and 131,000 ounces of gold, respectively.
Production from the Volcan deposit is expected to begin next year.
Calibre Mining CEO and president Darren Hall said: “Approval of the Volcan permit demonstrates the value of our hub and spoke operating strategy as we achieve another significant milestone in Calibre’s efforts to organically grow gold production.
“With an initial open pit resource averaging 2.0 g/t gold, 2023 drilling confirms that the deposit can host higher-grade, near-surface gold mineralization.
“With receipt of this key permit, combined with Volcan’s proximity to the Libertad mill, which has in excess of one million tonnes of surplus capacity, we expect the deposit to contribute to the Company’s production profile in the second half of this year.”
The company’s La Libertad exploitation concession encompasses an area of about 10,937ha. It was granted in 1994 by Ministerial Decree for a 40-year term.
The La Libertad project also includes the Buenaventura and Cerro Quiroz exploration concessions that cover a total area of 4,600ha. The processing plant at the complex can treat around 2.25 million tonnes per annum.
Currently, the La Libertad mine is fed by ore trucked from the Limon mill feed, Pavon Norte and Pavon central open pits and Eastern Borosi gold mines along with ore mined near the mill at the Jabali underground mine.
