MINERAL PROCESSING: Mill failure at Rice Lake

MANITOBA – San Gold Corp. of Winnipeg announced on June 4, 2012, that the mill at its Rice Lake mining complex in Bissett has been temporarily interrupted due to the failure of a ball mill pinion and related damage to the ball mill motor....

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MANITOBA – San Gold Corp. of Winnipeg announced on June 4, 2012, that the mill at its Rice Lake mining complex in Bissett has been temporarily interrupted due to the failure of a ball mill pinion and related damage to the ball mill motor. The company said repairs are underway and normal milling operations are expected to resume within three weeks. Meanwhile, mining continues and the ore is being stockpiled.

The Rice Lake mill capacity has improved substantially during the second quarter, achieving peak daily production of 2,500 t/d and consuming the remainder of the stockpile before this incident occurred. As a result of this increased capacity, the company does not expect this incident to affect the its 2012 guidance. San Gold says it is confident in its annual guidance of between 95,000 and 105,000 oz of gold will be produced this year.

More information is available at SanGold.ca.

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