Tan Range options Nigel gold mine

Alberta-listed Tan Range Exploration (ASE) has an option to buy the Nigel gold mine in South Africa’s Witwatersrand district.

Up to its closure in 1991, the mine produced more than 3.3 million oz. gold. In 1986, South African consultants Van Eck and Lorie calculated proven reserves of 5.8 million tons grading 0.11 oz. per ton, with additional reserves estimated at 10.3 million tons grading 0.11 oz.

The Van Eck report said developed reserves could sustain daily production of 1,000 tons for 20 years.

Underground workings are fully developed to the 1,080-ft. level. Tan Range can acquire the mine for a price equivalent to US$1 per oz. of proven recoverable reserves. Exercise of the option is subject to confirmation of reserve data, completion of due diligence reviews, financing arrangements and regulatory approval.