Kingsgate Consolidated Ltd
Experienced Pacific Rim gold producer, Kingsgate Consolidated Limited (ASX:KCN) is A HIGHLY SUCCESSFUL ASX LISTED GOLD COMPANY WITH SIGNIFICANT EXPERTISE IN GOLD EXPLORATION, DEVELOPMENT AND MINING, USING WORLD’S BEST PRACTICE FOR SAFE, ENVIRONMENTAL AND SOCIALLY RESPONSIBLE OPERATIONS.
The company was listed in 1988 and commenced gold production at its Chatree Gold mine in Thailand in 2002. Kingsgate is the owner and operator, through its subsidiary Akara Resources, of the Chatree Gold Mine in central Thailand. Chatree has produced over 1.8 million ounces of gold since 2002, and in recent years has operated at a rate of approximately 125,000 to 135,000 ounces per annum.
In 2009, Kingsgate expanded into South America with the acquisition of the Arqueros Project in Chile, with further high sulphidation epithermal project acquisitions in 2011 before consolidating them into the Nueva Esperanza Project. The Nueva Esperanza Project, 100% owned by Kingsgate, is located in the highly endowed Maricunga Gold/Silver Belt of the Atacama Region of northern Chile.
In April 2016, Kingsgate released a Pre-Feasibility Study for the Nueva Esperanza Project which aims to deliver an average 91,000oz pa AuEq60* for 11.6 years at a life of mine average cash cost of US$642/oz AuEq60 and an average All-in cost of US$849/oz.
Mine plan optimisation delivers a 3 year payback period and strong first 5 years production with an average 135,000oz pa AuEQ60 at an average $US568/oz cash cost.
The Ore Reserve for Nueva Esperanza has increased and now stands at 1.1 million ounces AuEq60, at a grade of 2.0g/t AuEq60 of oxidised mineralisation contained in 3 open pits and the total Mineral Resource base stands at 1.9 million ounces AuEq60, at a grade of 1.5g/t AuEq60.
Kingsgate’s team is highly experienced in the discovery, delineation, construction and operation of precious metals opportunities. Coupled with a strong balance sheet and sustainable cashflow generating capacity, Kingsgate is well placed to capitalise on exploration success as well as opportunistic M&A transactions.
*AuEq60 = gold equivalent based on a ratio of 60oz silver per 1oz gold