Aug 27 2014
Banks Island Gold Ltd. (the "Company") is pleased to report that the commissioning of grinding and flotation circuits is in progress and production of gold concentrate has recommenced at the Yellow Giant Gold Property ("Yellow Giant"), located on Banks Island, British Columbia.
Company crews completed construction of the grinding and flotation circuits at Yellow Giant on August 6th and commenced processing mineralized material on August 7th. During the period from August 7th through August 25th, the Company has focused on crew training, improving plant availability, and optimizing concentrate grade and gold recovery.
The implementation of grinding and flotation circuits has resulted in a dramatic improvement in metallurgical gold recoveries from previous Dense Media Separation Plant production. The average gold grade of final tailings to date is less than 1gpt Au resulting in a concentrate grade averaging 64gpt Au. The Company estimates that metallurgical gold recovery exceeds 90%.
Plant availability and throughput have been improving since the commissioning commenced and now averages ~100 tonnes per day. The Company continues to work on improvements to throughput including the installation of a larger mill cyclone and additional tailings filter press capacity, both of which are expected to be in place during the first week of September. Installation of these components will require minimal interruption to production. After these components are fully operational, the Company expects plant throughput to increase to 200 tpd.
Underground mining of mineralization at the Tel Zone is ongoing and the Company has significant inventories of mill feed available as previously reported by news release on July 17th 2014.
Benjamin Mossman, P.Eng., is the qualified person who reviewed and approved the contents of this news release.
The Company is not basing its production decision on a feasibility study of mineral reserves with demonstrated economic and technical viability. Banks Island Gold Ltd. has decided to put the Property into production without first establishing mineral reserves supported by a NI 43-101 compliant technical report and feasibility study. The Company cautions readers that such production may not be economically feasible and historically such projects have a much higher risk of economic or technical failure.
The Company is a mining company focused on gold production, exploration, and development of economically viable mineral resources. The Company's mineral property is located in British Columbia. For more information, please refer to the Company's website at www.banksislandgold.com.
ON BEHALF OF THE BOARD OF DIRECTORS
Benjamin W. Mossman, P.Eng, President, Director, & Chief Executive Officer
Source: http://www.banksislandgold.com/