Akrokeri expands holdings

Aiming to boost output, Akrokeri-Ashanti Gold Mines (AAGM-C) has acquired an 85% interest in a Ghanaian company that holds the 55-sq.-km Goldenrae alluvial gold property.

The Toronto-based company paid US$550,000 for the interest, which includes the property, an alluvial processing plant capable of treating 150 cubic metres per hour, and support infrastructure. Since the acquisition, the property has doubled in size, and another nearby licence is being sought.

Gravels on the property were worked in the early 1990s and reportedly still host a resource of 130,000 oz. gold. Plans call for bulk sampling to be followed by a study into the feasibility of mining 25,000-28,000 oz. per year.

Akrokeri currently produces 5,000 oz. monthly from its Jeni alluvial property, also in Ghana. The company expects to produce 60,000 oz. by year-end, or 23% more than the 48,698 oz. reported for 1999. Cash costs at the mine average US$170 per oz.

Meanwhile, Akrokeri has extended its search for alluvial gold deposits to the Puno region of southeastern Peru. Subject to the positive outcome of ongoing due diligence, the company will acquire the 17-sq.-km Antonieta property in exchange for a gross production royalty on future production, varying from 4% to 9%. Antonieta is a small-scale sluicing operation.