Sphinx to restart heap-leach project

Heap leaching at the 400,000-ton-per-year Duvay gold project near Amos, Que., is set to resume in mid-April, Societe Miniere Sphinx (VSE) reported. The company began production from the site last year using a 40,000-ton sample. Based on last year’s results, Sphinx is confident that mining and milling costs will approximate $200 per oz.

Current project reserves are estimated to be 6.7 million tons averaging 0.06 oz. gold per ton. Reserves have been calculated to 450 ft. The company said drilling has indicated mineralization at depths exceeding 1,000 ft.

Meanwhile, Sphinx has entered into a private placement worth $270,000 with Societe en commandite Sphinx 1991 involving the sale of 675,000 flow-through shares at 40 cents per share. The placement is subject to regulatory approval. The company will use the funds for exploration work at its Pershing property 36 miles east of Val d’Or, Que.