Tailings storage facility
Design of a conventional tailings disposal facility was
completed and construction of a one-year starter wall
has been completed at a site some six kilometres east
of the process plant.
Water supply
Construction of the pumping station at the Falémé River
within the basin of the Falémé weir has been completed.
The weir downstream of the intake station is to retain
water in the basin for use in the dry season when the
flow stops. The weir, along with the Garra storage dam
and the tailings storage facility, are key to Loulo’s water
management strategy. The Garra dam itself is still being
constructed.
Power supply
Although the mine owns its power generation facility,
Somilo has retained the services of Manutention Africaine,
(the Malian Caterpillar affiliate) to operate and maintain
it. The generation facility houses 15 Caterpillar 3512
units with a total rated capacity of 18 megawatts. It has
been designed to accommodate a further seven units
to allow for expansion to supply the underground
operations. Manutention Africaine is fully established
on site and the power plant is running smoothly.
Loulo underground project
During 2005, the Randgold Resources evaluation team
and SRK Consulting completed a development study
examining the feasibility of mining the down-dip
extensions of the Loulo 0 and Yalea open pit orebodies
from underground. The results, including estimated
reserves as of 30 June 2005, showed that the project
had the potential to add significant mine life. As a stand-
alone underground project and based on the results of
an initial drilling programme, it was estimated that
approximately 1.8 million ounces could be recovered
within the first ten years of production, with the remaining
defined ounces recoverable after that period. The study
envisaged that sub-level open stoping with or without
16 Annual
Report 2005 Randgold Resources
LOULO UNDERGROUND PROJECT
SRK feasibility study
Loulo 0
Yalea
Average total cash cost per ounce
US$262
per ounce US$203 per ounce
Capital expenditure 2006-2009
US$40 million
US$45 million
Average ongoing
capital expenditure
(development,
fleet and infrastructure) per year
US$2.9
million
US$5.2
million
<1 g/t
1-3 g/t
3-5 g/t
5-8 g/t
>8 g/t
Gold value
1 200m
South
YALEA OREBODY GRADE MODEL WITH PLANNED UNDERGROUND DEVELOPMENT
Pit
North
