VISION, OBJECTIVES & STRATEGY
Vision
Our vision is to be the leading mid-tier South American gold producer.
Objectives
Our objectives for the next three years are to:
- Advance exploration to extend the mine life at San Gregorio and develop new resources for a second operation in Uruguay.
- Complete evaluation of the development options for the San Gregorio operations and optimize the five-year mine plan.
- Commence scoping studies for new projects as resources are developed.
- Train the workforce and focus on productivity improvements to reduce costs.
- Advance the divestment program for non-gold assets.
Strategy
UME's overall strategy is to build the resources and reserves in order to maintain and then increase gold production.
- Short-term Exploration and Development: maximise production from San Gregorio with a target to produce 100,000 ounces per annum. For this, we aim to define and develop high grade resources to blend with existing resources to maintain production levels over a three year time frame.
- Medium-term Exploration and Development: discover and define 2.5 million ounces of new resources over a five year period. Targets to achieve this include
- Near mine exploration in the San Gregorio District in an effort to develop a 10-year mine plan which would require reserves of 700,000 ounces
- Discover and define resources of at least 500,000 ounces to justify the initial capital investment of a stand alone operation away from the existing mine.
- Discover and define high grade resources throughout Uruguay that could be transported to the San Gregorio operation or any new processing facility developed.
To support the accelerated development from defining new resources UME is currently analyzing the viability of the following alternatives:
- Expand production at San Gregorio by 50% to 1.9 million tonnes per annum. The additional throughput would offset lower grades and allow production to be maintained.
- Build a heap leach operation with the capacity to process 750,000 tonnes per annum of lower grade ore.
- Establish an underground mining operation to a depth of 400 metres.
- Acquisition As part of the company's objective of increasing its production profile, UME is evaluating gold development projects in other South American countries. The focus will be on acquiring projects with measured and indicated resources that have the potential to be put into production within three years.
- Partnership UME plans to enhance the value of its non-gold assets and then divest or seek joint venture partners for its diamonds and other metals, including copper, nickel, lead and zinc.
|
