Palito Complex
High-grade, narrow vein underground hard rock mine owned since 2003.
- 100% ownership.
- Mining operations restarted in 2014, consistently producing 30-40koz pa Au, increasing production to >40koz 2025 and 50-60koz in 2026, with a ramp-up in progress.
- Daily plant throughput of 650tpd.
- Recoveries greater than 90%.
- Hydroelectric power is sourced from the Curua River near Novo Progresso.
- Back-up generators are capable of providing the power requirements for the site.
- The site includes accommodation for all employees, maintenance, and workshop facilities.
- Ore sorting minimises waste material entering the process plant to maximise efficiency. Ore sorter uses both colour and density.
- Mining and processing of ore at Sao Chico were put on pause to prioritize the processing of higher-grade ore from Coringa at the Palito Complex.
- Two rigs drilling IP targets and orebody extensions in 2025. 14,000 meters of diamond drilling program for 2025.
Technical reports for Palito Complex
- Series of northwest-southeast, steeply dipping, quartz-gold-copper veins form the basis of the Palito Main Zone deposit.
- Gold mineralisation hosted within the upper levels of a large adamellite granite intrusive associated with felsic volcanics (rhyolites and dactites) and felsic breccias.
- Mineralisation contained within vertical to sub-vertical, mesothermal quartz-chalcopyrite-pyrite veins filling brittle extensional fault systems.
- Vein widths average between 0.5m and 1.0m in width, with grades typically between 10g/t and 30g/t.
- Higher gold grades associated with semi-massive, chalcopyrite-pyrite ‘blowouts’ within the quartz veins.
- Mining by conventional open stoping, mainly by shrink stoping with level spacing 30-40m apart.
- Long hole stoping using intermediate sublevels, where widths and continuity of mineralisation permit.
- Ore and waste extraction is by trackless equipment.
- Ramp access permits use of conventional road trucks.
Plant has CIP capacity for approximately 600tpd
- Three ball mills allows separation of different ore types.
- The Company owns mills with plans to add up to an additional 750tpd of processing capacity, more than doubling current throughput.
- Ore with higher grade copper passes through flotation process, recovering copper and gold in a concentrate.
- Ore with lower grade copper passes through gravity circuit prior to conventional cyanidation recovery process
- Ore sorting uses both colour and x-ray scanning:
- X-ray scanning of sulphide ore from Palito (primarily chalcopyrite and pyrite) is extremely effective.
- Colour scanning of the disseminated sulphides of Coringa ore reduces mass of the mined material by 45-50%.
- Plant tailings detoxified prior to being pumped to one of two 200kt capacity tailing ponds.
- After settlement and recovery of process water, ponds are excavated for re-use.
- Dry inert tailings are stacked or used for site remediation activities.
Total Mineral Reserves Statement for the Palito Complex (Palito and Sao Chico Mines), Para, Brazil (effective 31 July 2023)
| Palito | Sao Chico | Combined | |||||||
| Tonnes (000’s) | Grade (g/t Au) | Contained ounces (000’s oz) | Tonnes (000’s) | Grade (g/t Au) | Contained ounces (000’s oz) | Tonnes (000’s) | Grade (g/t Au) | Contained ounces (000’s oz) | |
| Reserves | |||||||||
| Proven | 567.8 | 8.08 | 147.5 | 46.1 | 8.20 | 12.2 | 614.0 | 8.09 | 159.7 |
| Probable | 196.8 | 6.83 | 43.2 | 14.1 | 7.68 | 3.5 | 210.8 | 6.89 | 46.7 |
| Total Proven and Probable | 764.6 | 7.76 | 190.8 | 60.2 | 8.08 | 15.6 | 824.8 | 7.78 | 206.4 |
Notes to Table
(1) Mineral Reserves have been rounded to reflect the relative accuracy of the estimates. Proven Mineral Reserves are reported within the measured classification domain, and Probable Mineral Reserves are reported within the indicated classification domain.
(2)Proven and Probable Mineral Reserves are inclusive of external mining dilution and mining loss and are reported at a COG of 4.0 g/t gold assuming an underground shrinkage mining scenario, a gold price of US$1,800/oz, a 5.0:1 Brazilian Real to U.S. Dollar exchange rate, and metallurgical recoveries of 93.2% for Palito and 93.8% for São Chico.
(3) Serabi is the operator and owns 100% of the Palito Complex, such that gross and net attributable mineral reserves are the same.
(4) The mineral reserve estimate was prepared by the NCL in accordance with the standard of CIM and NI 43-101, with an effective date of July 31, 2023, and audited and approved by Mr. Carlos Guzmán of NCL, who is a Qualified Person under NI 43-101.
Total Mineral Resources Statement for the Palito Complex (Palito and Sao Chico Mines), Para, Brazil (effective 31 July 2023)
| Palito | Sao Chico | Combined | |||||||
| Tonnes (000’s) | Grade (g/t Au) | Contained ounces (000’s oz) | Tonnes (000’s) | Grade (g/t Au) | Contained ounces (000’s oz) | Tonnes (000’s) | Grade (g/t Au) | Contained ounce (000’s oz) | |
| Resources | |||||||||
| Measured Resources | 772.3 | 11.03 | 273.8 | 122.5 | 8.10 | 31.9 | 894.8 | 10.63 | 305.7 |
| Indicated Resources | 243.0 | 8.39 | 65.6 | 28.5 | 7.07 | 6.5 | 271.5 | 8.26 | 72.1 |
| Measured & Indicated Resources | 1,015.3 | 10.40 | 339.3 | 150.9 | 7.91 | 38.4 | 1,166.3 | 10.08 | 377.8 |
| Inferred Resources | 674.2 | 7.02 | 152.2 | 8.2 | 7.84 | 1.7 | 682.4 | 7.01 | 153.9 |
Notes to Table:
(1) Mineral Resources are not Mineral Reserves and have not demonstrated economic viability. Mineral Resources are reported inclusive of Mineral Reserves. All figures are rounded to reflect the relative accuracy of the estimates. Mineral Resources are reported within classification domains inclusive of in-situ dilution at a cut-off grade of 3.32/t gold assuming an underground extraction scenario, a gold price of US$1,950/troy oz, an operating cost of $198/t, and metallurgical recovery of 95%.
(2) Serabi is the operator and owns 100% of the Palito Complex such that gross and net attributable mineral resources are the same. The mineral resource estimate was prepared by NCL Consultoria en Ingenieria en Minas in accordance with the standard of CIM and Canadian National Instrument 43-101, with an effective date of 31 July 2023 by Mr Nicolas Fuster, who is a Qualified Person under the Canadian National Instrument 43-101.
(3) A three-dimensional block model was used for Resources estimates.