Tolukuma Gold Mine
The engine of the business
The Tolukuma Gold Mine project (TGM) is located in the Goilala District of Central Province of Papua New Guinea, about 100 km north of the capital city Port Moresby.
The Project consists of a mining lease, six current exploration licences and an exploration licence application all in the immediate area surrounding Tolukuma for a total land holding across the Tolukuma epithermal structure of approximately 1,800km2.
History
Tolukuma was discovered in 1986 by Newmont and the mine was developed as an operating mine in 1995 to exploit the high-grade epithermal gold/silver zones within a large structural zone. The mine operated until 2015 producing approximately 1 million ounces of gold at an average recovered grade of 14g/t gold, peaking at 21.3 g/t and averaging about 50 g/t silver in the form of a gold/silver doré.
Production ceased because of high operating costs in the latter years of operation largely due to the operators failing to complete a 70km road to connect the mine to the main North South highway, increasing reliance on diesel generated power because of poor maintenance of the 3MW hydroelectric facility and high pumping costs due to the failure to complete a bottom access to the mine.
The operator was put into liquidation in 2018 despite having a large historical resource and huge exploration potential on the mining lease and the broader Tolukuma structure.
Tolu Minerals completed the 100% unencumbered acquisition of Tolukuma and the associated land holdings and secured the transfer of all the existing operating and environmental permits in September 2022.
Tolukuma Mining Lease
Historical Mining
Brecciated Quartz Vein, Zine
Zine vein sample grading at 50 g/t gold. Note the visible gold in the top of the sample
Tolukuma Mineral Resource
In August 2022, AMC reported a JORC (2012) Mineral Resource Estimate of 1,610,000 tonnes @10 g/t Au and 38 g/t Ag for 503,000 oz Au and 1,950,000 oz Ag.
Mineral Resource Estimate
Fully Self-Contained Administration and Accommodation Blocks
Underground Loader
Exploration Strategy
Tolu’s exploration strategy will leverage the current infrastructure on Tolukuma to increase and improve the Resources on Tolukuma and the Tolukuma structure:
Upgrading existing resources by an intensive ore development and face sampling programme;
A major resource drilling programme within the existing mining lease;
Exploration on the adjacent exploration licenses to determine the potential for a major expansion and long Life of Mine strategy based on existing and targeted mineralised structures.
Immediate Next Steps
Complete the outstanding 23km of the 70 km access road (23 km outstanding) to connect the mine to the Hiritano highway to Port Moresby;
Dewater the mine allowing access to existing resources and provide an important exploration platform;
Environmental Baseline Assessment to supplement the existing environmental permits;
Refurbish the hydroelectric power plant; and
Commence refurbishment of certain key site infrastructure in support of resource upgrading and exploration.
Tolukuma Access Road: 23km remains to be completed of the 70km route
Tolukuma 3 MW Hydro-Electric Power Station
Tolukuma on Mine Potential
Tolukuma Near Mine Potential
