13 May Hochschild Mining commits to $200 million Posse gold project in Brazil
Hochschild Mining CEO Ignacio Bustamante yesterday confirmed that the mid-tier precious metals producer will shortly commence the build the US$200 million Posse gold mine in Brazil.
The project, which is part of the Mara Rosa property in central Brazil, came into Hochschild’s portfolio last year via the acquisition of TSXV-listed Amarillo Gold. Speaking at a mining conference in Peru, Bustamante called it ‘the most important project we have to date’.
The asset hosts proven and probable reserves of 23.8 million tonnes (Mt) at 1.18 g/t for 902,000 ounces. The combined measured and indicated resource stands at 32 Mt at 1.1 g/t for 1.2 million ounces of contained gold.
Posse is expected to produce 102,000 ounces of gold per year during the first four years, before dropping to 84,000 ounces in the remaining six years of its mine life. Hochschild expects to pour first gold in H1 2024.
The London-listed company said it has also identified near mine and regional exploration opportunities, including multiple potential satellite deposits.