Pinecrest releases economic assessment of Enchi Gold Project in Ghana

Pinecrest Resources Ltd. released the results late last week from a preliminary economic assessment of its Enchi Gold Project in Ghana.

The assessment analyzed the project's owner-operated and contract mining and open pit, heap-leach operation processing systems.

"The contract-mining alternative presents an attractive initial capital cost of $61.6 million compared to $84 million under an owner-operated scenario," Pinecrest President and Director Ryan King said. "In an era where mining investors are seeking lower capital-cost entry solutions into future gold production and cash flow, we believe this presents an attractive scenario which fulfills this objective."

The Enchi project includes eight licenses and covers 31 miles that contain several gold mines and deposits, including the Kinross Gold Corp.'s Chirano Mine and the Bibiani Gold Deposit.

The testing showed extraction of gold from the mine might best be achieved using cyanide leaching. A technical report on the project testing will be filed and will be available online within 45 days of testing at www.sedar.com.