In parallel, an evaluation of associated tenders for an environmental impact assessment (EIA) to support the PEA and an eventual bankable feasibility study is nearing completion. An announcement declaring the successful bids is expected in coming weeks.
Proposals to prepare the resource update and the PEA were received from all seven of the international mining consulting firms invited to submit bids.
Regarding the EIA tenders, 6 of an original 10 invited companies submitted bids to complete a preliminary environmental assessment by the end of 2014 followed by submission of a final EIA within three years to the French government Ministry for Ecology, Sustainable Development and Energy.
The principal objective of the PEA is to complete an initial detailed economic and environmental appraisal of the Montagne d’Or deposit. Completion is targeted for the end of 2014 with an announcement expected in the first quarter of 2015.
The PEA will include:
26,600 metres of in-fill core drilling (program commenced in late November 2013);
Updated resource estimate;
1,000 metres of large diameter core drilling for detailed metallurgical testing;
Hydrology;
Preliminary design of pit(s), tailings dam and mine site;
Mining method, equipment, and processing parameters;
Environmental impact assessment and socio-economic baseline studies;
An economic model.
The proposed EIA is intended to be comprehensive in order to fully support the environmental components of a bankable feasibility study.
All studies are being funded by Nord Gold as part of a 3 year minimum US$30 million exploration and development program pursuant to which Nord Gold can earn a 50.01% interest in Montagne d’Or and certain Paul Isnard mineral claims, by completing a bankable feasibility study.
The Montagne d’Or deposit contains a NI 43-101 compliant inferred gold resource using a cut-off grade of 0.3 grams per tonne gold for 5.37 million ounces within 117.1 million tonnes at an average grade of 1.43 grams per tonne gold. Using a cut-off of 1 gram per tonne gold the deposit hosts a resource of 4.15 million ounces within 58.1 million tonnes at an average grade of 2.22 grams per tonne gold. The resources are defined within a gold mineralized area of 2,250 meters by 400 meters and to an average depth of 250 meters from surface.
The mineralized zones remain open between widely spaced holes internally, at depth and in part along strike. Further details can be found in the technical report "Paul Isnard, French Guiana, Mineral Resource Estimate, NI 43-101 Technical Report" with an effective date of November 23, 2012, filed on Columbus Gold’s SEDAR profile at www.sedar.com on March 14, 2013.
