A potential geothermal power plant is still part of plans by Canadian mining company Bluestone Resource to power a gold mining project in Cerro Blanco, Guatemala.
Report on the progress of the Company’s Cerro Blanco gold mining project in Guatemala, Bluestone Resources Inc. announced plans for the development of an open pit gold mine. By carrying out a feasibility study, obtaining permits and building the capacity of communities in the area of ââinfluence, the element of âresponsible developmentâ is highlighted by Bluestone.
In accordance with Bluestone’s commitment to responsible development and the reduction of its carbon footprint with the development of the mine, the Bluestone company has therefore undertaken additional work on the Mita geothermal project, which we have already discussed. The Company performed a scoping study which included a review of historical data and tests performed on the project. An updated reservoir calculation was performed which estimated a reserve capacity of over 20 MW. The scoping study focused on several different sizing scenarios ranging from 5 MW to 20 MW, and the results highlighted an economic project with an after-tax IRR of over 15%. Next steps include geological and geophysical studies to further refine injection well locations alongside proven production wells, followed by a feasibility study.
Peter Hemstead, Chief Financial Officer, commented: âThe geothermal project represents a unique opportunity that supports our goal of reducing our carbon footprint in parallel with the development of the mine. We believe this separates us from our peers and adds value to a great gold project. Over the next six months, we will continue to reduce the risks of the geothermal project in anticipation of a possible call for electricity in Guatemala.
Source: company press release