OMAI gets three more years to continue gold hunt in Region Seven

May 08, 2024 News

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Kaieteur News – Canadian mining company, Omai Gold Mines Corporation on Tuesday announced that the Guyana Geology & Mines Commission (GGMC) has granted a new Prospecting Licence providing the exclusive right of occupation and exploration for gold, base metals, precious metals and precious stones.

The licence has an initial three-year term until April 29, 2027 that can be extended to 2029. This licence gives Omai the exclusive rights to apply for a Mining License and the company has commenced meetings with government officials that have provided guidance on the process.

OMAI’s gold project is located in Region Seven (Cuyuni-Mazaruni) Guyana. The company holds a 100% interest in the gold project, which encompasses two gold deposits: the shear-hosted Wenot Deposit and the adjacent intrusive-hosted Gilt Creek Deposit.

The latest assessment incorporates expansions to the Wenot and incorporates the previously disclosed Gilt Creek deposit, solidifying the project’s potential for substantial gold production. The results from its first Preliminary Economic Assessment (PEA) for the Wenot Project revealed that the project is slated to yield over 142,000 ounces of gold annually over a 13-year mine life. At its peak, production is anticipated to soar to 184,000 ounces in a single year, with a total estimated production of 1,840,000 ounces of payable gold.

Moreover, the company also announce the appointment of Marcel Cameron P.Eng. as Country Manager, Guyana.  It was stated that Cameron is a Mining Engineer with 25 years experience in mine planning, engineering and project management for large-scale open pit and underground operations in North and South America, Africa, Southeast Asia, and Guyana. He will be responsible for managing and advancing operations at the Company’s 100% owned Omai gold project, overseeing permitting and community engagement, and leading the Company’s broader business activities in Guyana.  

Elaine Ellingham, President and Chief Executive Officer (CEO) said: “We are pleased to welcome Marcel to the team. His extensive hands-on experience with technical and mine planning for advanced stage projects will drive forward the next phases of work at our Omai project.  We announced positive results for a baseline PEA about a month ago that sets the stage for the next phases of project development. Our PEA provides a solid mine plan and economics, while incorporating less than 45% of Omai’s current Mineral Resource Estimate. This alone presents obvious opportunities.”

She continued, “We are confident that with some additional drilling along strike and even within the PEA pit at Wenot we can incorporate additional known Resources and some of the adjacent gold occurrences that could expand the mine plan and more importantly boost the overall economic return.  At the same time, engineering, environmental studies, and permitting initiatives will accelerate now that our PEA is complete. Mr. Cameron is a Guyanese citizen. His early career experience at the Omai mine, when it was a large-scale 300,000 ounces per year operation, is invaluable, giving him an excellent base of knowledge of the property and its potential to be redeveloped as a large scale mine.”

Looking ahead, Omai sees immense potential for expansion and enhanced economics. Identified gold zones along strike and at depth within the Wenot deposit are expected to bolster mineral resources, while incorporating the adjacent Gilt Creek Deposit could extend the mine life to over 20 years.

Additionally, plans to exploit high-grade near-surface zones promise to elevate processing plant feed quality and boost economic returns. The PEA marks a pivotal step for Omai as it progresses towards a Preliminary Feasibility Study (PFS), signaling a steadfast commitment to advancing the Omai Project in 2024 and beyond.

On February 8, 2024, the company had announced an updated MRE for the Omai Property. The combined estimates from the Wenot and Gilt Creek deposits stands at 2.0 million ounces of gold grading at 2.15 g/t gold in the indicated category and 2.3 million ounces of gold grading at 2.26 g/t in the inferred category. This represents a notable increase compared to the previous resource estimate conducted in October 2022, with indicated ounces seeing a 4% uptick and inferred ounces experiencing a substantial 28% surge. In 2020, Omai re-entered Guyana’s mining industry. The company had said that their work completed thus far, has put them on track to become the next large-scale gold mine to open in Guyana.

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• Canadian, gold, Guyana Geology & Mines Commission (GGMC), Omai, Region Seven

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