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Alluvial deposits

License


The Staroverinskaya license area (referred to by Auriant Mining as Solcocon) is located in Zabaikalsky Krai region of Russia – a historically prolific gold producing region with numerous world class gold deposits. The license block is situated at the confluence of the small Srednyaya and Nizhnyaya Borzya rivers in the Zabaikalsky region, 35 km from the regional center Kalga and 640 km from Chita, the capital of Zabaiklasky region. The area is well known for gold and polymetallic deposits with the Bystrinskoye (Norilsk Nickel), Novoshirokinskoye , Taseevskoye (Highland Gold), and Savkino (White Tiger) mines.



Key License Terms:

Issued: 19 May 2004
Valid: 15 May 2029
Area: 220 km2

Geology


Placers are confined to valleys. Valley morphology is determined by tectonic factors and are situated along branches of the Kutomar fault zone. Valley shapes are linear, with a trough-like, bowl shaped cross section. Lobe lengths vary between 0.8 – 14 km. Total thickness of alluvial sediments in the valleys varies from 2 m to 18.5 m.


The size distribution of gold within the placers is very irregular. Fine gold makes up 74%, medium gold 12% and coarse gold 7% with fine dispersed gold a further 7%. Gold grains are poorly rounded and are usually flat.

License Deposits C1 C2 C1+C2
Ore Au Au Au Ore Au Au Au Au Au
000 t g/t kg 000 oz 000 t g/t kg 000 oz kg 000 oz
Solcocon Alluvial deposits 396 0.8 333 11 505 1.5 757 24 1,090 35

Production

In 2012 Auriant Mining outsourced all of its alluvial mining operation to an experienced alluvial operator Urumkan. Under this arrangement Auriant receives a net sales royalty of 18.6% with Uryumkan responsible for all operations.


2013 saw a significant increase in alluvial gold produced. Gold production tripled compared to 2012 and reached 377 kg (12,121 oz), primarily reflecting the fact that, unlike in 2012, Urumkan was able to work a full mining season. In 2013 the mining season was June to October.

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