Steppe Gold’s eyes Phase 2 operations at ATO Gold Mine by 2025, Execs says
Steppe Gold, a precious metals mining company focused on Central Asia, plans to launch Phase 2 operations at its ATO gold mine by 2025, according to executives.
The company’s CEO, Jock Finlayson, said in an exclusive interview that the second phase of the project is slated for late 2021, with an expected production of 80,000 ounces of gold per year by mid-2025. “This will take our total yearly gold production capacity to 250,000 ounces at the ATO Mine,” he said, “and that will make us one of the largest primary gold producers in the country.”
Steppe Gold began operations at the ATO Mine near Ulaanbaatar, the capital city of Mongolia, in April 2020. After the introduction of modern mining methods, the company’s operations quickly ramped up and it is estimated that the mine produced approximately 62,000 ounces of gold in the first year of operation. The ore grade is estimated to be around 6 grams of gold per tonne.
According to Finlayson, the second phase of the project will involve a significant expansion of the exploration and mining operations at the ATO Mine. This will include expanding the mine workings to a depth of 300 meters, increasing the mining fleet and constructing new processing and surface infrastructure.
The estimated total cost of the second phase of the project is around $50 million, but Finlayson is confident that the project will be successful. “We believe the Grade, Location and Infrastructure that we possess at the ATO Mine are strong and will be fully realized in this phase of development,” he said.
In addition to Steppe Gold, there are other investors interested in the ATO Mine, including large mining companies and major financial institutions. This has provided a major boost to the project’s progress, as well as provided the necessary capital to carry out the necessary expansion work.
The development of the ATO Mine, and Steppe Gold’s ambitious aspirations, are being welcomed by the Mongolian government, which is looking to attract foreign investment in its natural resources. “Mongolia is home to some of the world’s most valuable gold and other precious minerals,” said Finlayson. “At Steppe Gold, we are committed to helping the nation to realize its full potential as a major player on the international stage for the extraction and export of gold.”
The ATO Mine’s ability to reach a production level of 80,000 ounces of gold per year by mid-2025 would make it one of the most productive mining operations in the region. While much work is still needed to ensure the mine’s long-term success, Steppe Gold’s plans for the ATO Mine are looking very promising and likely to attract further attention to the resource-rich Mongolian market.
