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Altamira Gold secures power supply for Cajueiro gold project

Mining
TSXV:ALTA
02 July 2020 15:35 (EDT)

Altamira Gold (TSXV:ALTA) has secured electrical power supply for its Cajueiro gold project in the Mato Grosso and Para states of Brazil.

The Vancouver-based company received approval from Centrais Eletricas do Para (CELPA), the electrical power supplier in the state of Para and a division of Grupo Equatorial Energia, for the installation of a 1.5-megawatt substation at the Cajueiro project. 

The substation will draw from an existing 34.5 kV transmission line originating from the nearby Teles Pires hydro-electric scheme.

With the supply of 1.5 megawatts, Altamira will be able to run its 1,000 tonnes per day processing plant, along with all necessary mine site facilities, using a reliable source of power. The substation also eliminates the need to use diesel-fuelled generators, lowering costs and reducing carbon emissions.

Altamira has now hired Lider Construcoes Eletricas LTDA to prepare in-depth design plans for the substation, which will then be submitted to CELPA for approval within the next 50 days.

Michael Bennett, President and CEO of Altamira Gold, said the company’s success in securing reliable power for the Cajuiero project is a significant milestone in moving towards production.

“This prompt approval from CELPA secures grid power for the Cajuiero gold project and marks a major step forward in our overall objective of transforming Altamira Gold from an exploration company to a near-term gold producer and will help the company to fast track the plant construction and begin production in 2021 using an environmentally friendly power supply,” he said.

Altamira Gold (ALTA) is currently up 5.56 per cent and is trading at C$0.095 per share at 2:03pm EDT.

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