text: A Definitive Feasibility Study commenced on the 
  project at the end of May 2011 with the focus 
  on Arqueros, and open pit mining of that deposit 
  with processing by traditional mill and agiitation 
  leaching in cyanide. Subsequent acquisition of 
  the Teterita and Chimberos deposits resulted in 
  an expansion of the feasibility study to incorpo- 
  rate their resources. 
  The environmental permitting process for the 
  original Arqueros project has been completed, 
  with approval to commence construction and 
  mining granted by the Chilean authorities. 
  A modification of the environmental assessment 
  is being prepared to have the approvals modified 
  for heap leaching and on-site power generation. 
  
  Extensive community consultation has been 
  undertaken with positive outcomes, and rela- 
  tionships with indigenous rural and urban 
  communities remain a priority. 
  
  In late 2012, a decision was taken to examine 
  lower cost options for processing using heap 
  leaching. With major engineering already done, 
  technical studies focussed on metallurgical 
  testwork and heap leach design. It has been 
  established that the mineralisation from the 
  three deposits can be processed by HPGR (High 
  Pressure Grinding Rolls) crushing and heap 
  leaching with silver and gold recoveries of the 
  order of 70% to 75% for silver and 65% to 70% 
  for gold. The project development plan is now 
  focussed on a 3 million tonne per annum heap 
  leach operation with an initial mine life of over 6 
  years. Annualised production levels (post ramp- 
  up) are estimated at 6.0–8.0 million ounces of 
  silver and 18,000–22,000 ounces of gold, at an 
  indicative start-up capital cost between 
  US$130–150 million (inclusive of 25% 
  contingency). 