Currently viewing Global edition

Theta buys Rustenberg mill from Glencore

Potential gold developer Theta Gold Mines has bought a mill from Glencore for US$360,000 for its namesake project in South Africa.
Theta buys Rustenberg mill from Glencore Theta buys Rustenberg mill from Glencore Theta buys Rustenberg mill from Glencore Theta buys Rustenberg mill from Glencore Theta buys Rustenberg mill from Glencore

Glencore mill will be married to Theta Gold Mines' CIL plant

Michael Quinn

The ball mill, which previously operated at the Rustenberg chromite mine, has rated capacity of 820,000 tonnes per annum.

Theta's previous feasibility work envisaged a 500,000tpa operation producing about 40,000 ounces per annum at all-in sustaining costs of $764/oz and involving peak capex of $29 million.

The latter anticipated a new mill, with Theta suggesting today a brand new mill equivalent to the one it has now bought would cost about A$5.5 million.

Theta owns a 240,000tpa CIL plant outside the town of Pilgrim's Rest in Mpumalanga province, 300km northeast of Johannesburg.

The ASX-listed company's total headline resources in the region number 6 million ounces, with a first stage development seen as being the foundation for a much longer, much larger production play.

Theta, which recently promoted at the Denver Gold Forum, completed an $8 million raising last week, with new shares priced at 15c each.

Shares in the company closed yesterday at that price, capitalising Theta at $52 million.