Egyptian gold mine, Sukari, has released its revised life of mine plan, which targets several significant improvements.
The new plan outlines long-term increased gold production, with an average gold production of 506,000 ounces per year from 2024 to 2032, and an average of 475,000 ounces per year over the life of the mine (2024 to 2034). This represents a 5% increase in life of mine gold production compared to the previous year (FY22).
Life of mine plan
The plan includes various strategies to lower operational costs, such as an improved opencast schedule with a 40% reduction in the strip ratio, an increased underground schedule, and the integration of a gold gravity circuit to increase gold recoveries. The average life of mine all-in sustaining costs (AISC) are projected to be US$922 per ounce, which reflects a 34% reduction compared to FY22.
The plan indicates significantly reduced operational risk, which contributes to greater stability and sustainability in gold production. Sukari aims to reduce carbon emissions by connecting to the Egyptian national grid, which is expected to result in approximately US$41 million of annual cost savings based on current diesel prices. The plan also aims for a 39% reduction in greenhouse gas intensity compared to the previous year, reflecting a more environmentally friendly approach.
The plan identifies opportunities to extend the current 11-year life of the mine (2024 to 2034) through exploration and resource development in underground, surface satellite deposits, and adjacent exploration licenses. The plan also mentions that there are additional opportunities that have not been included in the life of mine plan, which could further reduce costs, carbon emissions, and improve operational efficiencies.