Colossus Minerals (CSI.TSX) provided an update on the development activities at its 75% owned Serra Pelada Gold-Platinum-Palladium Project. The Serra Pelada Project is a Colossus-COOMIGASP Joint Venture located in Para, Brazil. The Company reported that approximately 675 meters of decline development has been completed, the first underground drill bay has been commissioned and underground drilling is underway.
* Surface infrastructure construction is continuing ahead of schedule, with a number of auxiliary buildings now complete
* An agreement to build a dedicated electrical transmission line has been reached
* Metallurgical test-work confirms Gravity Recoverable Gold (GRG) values of between 76% and 88%
* A PGM flotation program is ongoing to optimize the efficiency of the flow-sheet to extract platinum and palladium.
Claudio Mancuso, President & CEO of Colossus Minerals:
“The pace of decline development has progressively and methodically increased over the past six months and we are now approaching our target of five metres of development per day. The next twelve months will be very exciting as we continue de-risking the project and work towards our goal of producing gold in 2013.”
Ron Stewart, Dundee Securities:
“We already knew that CSI’s 75% owned, high grade Serra Pelada deposit is geologically special but now, following the release of the results of the first pass geochemical sampling program, we have solid evidence that there could be a number of additional mineralized zones on the property.”