CANADIAN Mining Company Sacre Coeur Minerals, which commenced production of gold last year, but stopped due to equipment problems and a failed deal with Russian Mining Company Severstal, expects to resume production  of gold and sales to the Guyana Gold Board next month.
In a media release Monday, the company said it had found new areas of gold deposits near its Million Mountain property in the Mazaruni, which show attractive grades, good continuity and other favourable factors making it ideal for start-up production next month.

The company said that contained gold particles in the new area are significantly coarser than in other alluvial deposits identified to date, making gold recovery by simple gravity concentration more effective.

The deposit is also situated on ground higher than other areas, making it less susceptible to flooding.

Because of the beneficial conditions of the new zone, mining will begin on this deposit once the new dredge pumping system is operational, the release said.
Sacre Coeur had begun production of gold from its Million Mountain property in the Mazaruni in May of last year, but had stopped due to the inefficiency of the hydraulic pumps available and due to negotiations with Severstal which had made a bid to purchase the Canadian company late last year.

President and Chief Executive Officer of Sacre Coeur, Gregory B. Sparks, said yesterday that the company had  put a halt to operations, while negotiations with  Severstal, which were finally terminated in February last, were in progress.

With these negotiations behind them, and with the arrival of a  specialised gold mining dredge, the company is now well on its way to resume production, even while continuing exploration of recently discovered new areas of both alluvial and elluvial gold near its flagship Million Mountain project, Sparks said.

CEO Sparks said that based on test pits completed to date, the orientation of the new mineralized trend is well indicated and the trend is currently open in three directions, to be continuously expanded.

“We are hopeful that on-going exploration will continue to expand this deposit and identify others with similar attributes to support the addition of  multiple, similar production units, each designed to mine and process 25,000 cubic metres of alluvial material per month,” said  Sparks.
Sacre-Coeur Minerals, Ltd. has an interest in approximately 1,013 square kilometers of mineral properties in Guyana, including the flagship Million Mountain project in north-central Guyana consisting of 21 permits covering some 21,768 acres in the Mazaruni mining district.