Shanta Gold (LON:SHG) has revealed the results of a scoping study for its West Kenya gold project in Kenya.
The study envisages an operation that will produce 949,000 ounces over the life of the mine at an all-in sustaining cost of US$850 per ounce, inclusive of pre-production costs.
Cash costs were set at US$582 per ounce.
The cost to construct the mine was pegged at US$161mln.
Overall, the project should generate, US$118mln in earnings annually, with the internal rate of return ringing in at a punchy 110%, helped along by the average head grade of 9.3 grams per tonne.