TSX:
CGG
HKSE:
2099
last:
1.82 (-0.02)
last:
10.60 (+0.08)
vol:
70,010
vol:
869,200

CSH Gold Mine

The CSH gold mine is one of China's largest open pit gold mines.

Project Overview

  • A conventional open-pit, heap-leach, gold-mining operation
  • Mining a large, bulk-tonnage, low-grade gold deposit
  • Located in Inner Mongolia of China, approximately 210km northwest of the city of Baotou
  • Principal product: Gold dore bars with silver as a by-product
  • Well-established basic infrastructure with excellent access to road and sufficient supplies of power, water and local labor force

Gold Production

CSH&Jiama Combined

 

Recent Updates:

Third Quarter ("Q3") 2018 Financial Performance Snapshot

CSH Mine Three months ended September 30, Nine months ended September 30,
  2018 2017 2018 2017
Gold sales (US$ million) 39.96 56.90 134.65 160.76
Realized average price (US$) of gold per ounce 1,197 1,261 1,278 1,261
Gold produced (ounces) 33,468 46,621 103,390 126,959
Gold sold (ounces) 33,374 45,133 105,344 127,479
Total production cost (US$ per ounce) 1,238 1,041 1,117 1,078
Cash production cost(1)  (US$ per ounce) 805 657 724 682
(1) Non-IFRS measure. See ‘Non-IFRS measures’ section of this MD&A    
  • Gold production decreased by 28% to 33,468 ounces compared to 46,621 ounces for Q3 in 2017. The decrease in gold production is attributed to lower volumes of ore mined during the 2018 period in accordance to the revised mining plan in relation to the slope stability issue.
  • The total production cost of gold increased to US$1,238 per ounce compared to US$1,041 for Q3 2017.
  • The cash production cost of gold increased by approximately 23% to US$805, from US$657 per ounce for the same period in 2017, mainly due to an increase inwaste stripping costs and significantly lower grade.

Third Quarter ("Q3") 2018 Production Update

CSH Mine Three months ended September 30, Nine months ended September 30,
  2018 2017 2018 2017
Ore mined and placed on pad (tonnes) 1,959,973 5,520,391 7,058,982 15,000,288
Average ore grade (g/t) 0.43 0.57 0.55 0.55
Recoverable gold (ounces) 15,611 60,430 73,053 160,617
Ending gold inventory (ounces) 178,553 213,877 178,553 213,877
Waste rock mined (tonnes) 19,910,536 23,299,218 48,340,340 67,720,295
  • Total amount of ore placed on the leach pad was 1.96 million tonnes, with total contained gold of 15,611 ounces (486 kilograms).
  • Overall accumulative project-to-date gold recovery rate has slightly increased to approximately 53.59% at the end of September 2018 from 52.87% at the end of June 2018.

Mineral Resource Update

CSH Mine Resources by category, Northeast and Southwest pits combined at December 31, 2017 under NI 43-101:

      Metal
Type Quantity Mt Au g/t Au t Au Moz
Measured 16.25 0.65 10.57 0.34
Indicated 128.77 0.61 79.14 2.54
         
M+I 145.01 0.62 89.71 2.88
Inferred 81.54 0.51 41.93 1.35

Mineral Reserves Update

CSH Mine Reserves by category, Northeast and Southwest pits combined at December 31, 2017 under NI 43-101:

      Metal
Type Quantity Mt Au g/t Au t Au Moz
Proven 15.41 0.66 10.22 0.33
Probable 85.50 0.64 55.14 1.77
         
Total 100.90 0.65 65.35 2.10

Click here for Management's Discussion and Analysis of Financial Condition and Results of Operations Nine Months ended September 30, 2018

2018 Company Gold Production Highlights

  • Gold production of approximately 145,000ounces from CSH Mine, representing a 22% decrease compared to 2017.
  • However, the consolidated gold production from both of the Company’s mines (Jiama nad CSH) was approximately 215,000 ounces. This exceeds more than 34% of the previously forecasted production guidance of 160,000 ounces disclosed at the beginning of 2018.  Where,
  • gold production of approximately 70,000 ounces from the Jiama Copper-Gold Polymetallic Mine (“Jiama Mine”), representing a 47.3% increase compared to 2017.

Health, Safety & Environment

  • Safety performance: As at September 30, 2018, achieved 187 days zero fatality rate for million-ton production, zero major equipment accident rate, zero major fire and explosion accident rate, and zero major traffic accident rate

Looking Forward:

Guidance Highlights for 2019:

  • The Company anticipates production of approximately 210,000 ounces of gold (CSH&Jiama Combined) in 2019.

Click here for Preliminary 2018 Production results and 2019 Outlook news release

Photos

Show image 'Crusher' in New Window Show image 'New Crusher' in New Window Show image 'New Crusher' in New Window
Show image 'New Crusher' in New Window Show image 'New Crusher' in New Window Show image 'Crusher Construction' in New Window

top of page