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Lone Star Gold Makes Processing Arrangements for Washed Concentrate from Tailings Project

Lone Star Gold, a gold exploration and development company, has made arrangements with a local processing facility to get about 200 tpd of washed concentrate from its Tailings Project. This project represents 1.2 Mt of mine tailings close to the Hidalgo Del Parral city in Chihuahua, Mexico. Lone Star holds a 65% interest in the Tailings Project.

Earlier, Lone Star Gold had set up a revenue stream by making tailing deliveries to another processing facility that is located close by. However, this facility was recently sold and new arrangements were made with another processing facility that is located in the same region. However, the move to a new processing plant has delayed the company’s revenues temporarily but at the same time the shift offered a number of advantages to the company.

Lone Star’s two dump trucks are shipping concentrate by making continuous trips to the new plant. The company washes tailings right at the Tailings Project and has stocked up about 1000 t of concentrate that are ready for shipment. Since both on-site wash plant jigs are being used, Lone Star will become fully operational within the next 4 to 6 weeks. It will then be able to deliver 200 tpd of concentrate to the processing plant per day.

Daniel Ferris, Lone Star Gold's President, stated that the company was fortunate in making arrangements with a local processing plant for its tailings concentrate. This also indicates that the industry is quite established in this region. Ferris added that the company is now shipping again which offers significantly greater revenue per month.

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