Galantas contractor completes due diligence at Omagh project

14th Jun 2023 13:53

(Sharecast News) - Galantas Gold announced the completion of the due diligence process by mining contractor QME Mining Services at the Omagh Gold Project in Northern Ireland on Wednesday.

The AIM-traded firm said the milestone marked a significant step forward, adding that the purpose of the due diligence was to assess the feasibility of mining the ore zones down to the existing lower levels of the Omagh Mine.

It said the mine plan, which was expected to be completed in July, aimed to optimise production from the dilation zones.

Those zones had the potential to yield higher grades and thicker widths of mineralisation, thus enhancing overall production efficiency.

The company said the forthcoming mine plan would be designed in stages, allowing for an initial level of production followed by incremental expansions.

That approach was expectedto reduce capital costs and minimise the risk associated with production growth.

Meanwhile, Galantas said it would continue to concentrate on exploration activities and the expansion of its mineral resources at the Omagh site.

The plan would include the extraction of minerals from both the Joshua and Kearney veins, harnessing QME's skilled workforce and state-of-the-art original equipment manufacturer (OEM) mining equipment.

Leveraging QME's expertise and advanced mining technology was expected to contribute to the overall success of the project.

By extending mining operations to lower levels and focusing on the potential of the dilation zones, Galantas said it was aiming to unlock the full resource potential of the Omagh Mine.

It said the strategic move aligned with the company's commitment to sustainable mining practices and its objective of maximizing shareholder value.

"We are thrilled that QME is progressing our mine plan - QME's extensive mining experience across Europe, including its notable involvement in the development and bulk sampling of Dalradian's nearby gold project located just 20 kilometres away from Omagh, positions them as an ideal partner for this endeavour," said chief executive officer Mario Stifano.

"Furthermore, QME's commitment to the success of the Omagh Project is exemplified by its significant shareholding - 3,194,444 shares - in Galantas.

"We look forward to providing further information on our mine strategy next month."

At 1126 BST, shares in Galantas Gold Corporation were down 0.31% at 17.44p.

Reporting by Josh White for Sharecast.com.