Dacian Gold Ltd remains on track to achieve commercial production by the end of December at its 100 per cent owned Mt Morgans Gold Operation, near Laverton in Western Australia.
Dacian Gold Limited acquired the Mt Morgans Gold Operation in early 2012, after raising AU$20M in an initial public offering (IPO). The operation comprises the Westralia Mine Area (Beresford South, Beresford North and Allanson) with an Initial Ore Reserve of 492,000oz and the Jupiter Mine, which holds an Area Ore Reserve of 643,000oz.
The company recently commenced ore development at Allanson and is set to mark a second important milestone by initiating mining stopes at Beresford North next week.
As mining activities continue across all three production declines at Westralia and open pit mining at Jupiter is advancing well, the company remains on track to achieve its production milestone by the end of this month.
The three mine production areas now operational at Westralia and spread over 1.8 kilometres, making it one of Australia’s largest new underground gold mines.
Executive Chairman, Rohan Williams, said Dacian Gold remains on track to achieve its 180-210,000 ounces production guidance for the 2019 financial year, with production increasing progressively in each quarter through the year.
“The project is ramping up in line with our schedule across both the underground and open pit mining operations,” Mr Williams said.
“The start of ore development at our third underground production decline at Allanson marks another important step in the ramp-up with mining activities across all three underground mining centres. This, together with continued strong progress at the Jupiter open pit, means we are confident of achieving commercial production, as planned, by the end of 2018 as we progressively increase production in each of the successive quarters during the year,” he commented.
“The company remains in a strong position to complete the ramp-up of Mt Morgans and at the same time we continue our aggressive exploration programs with A$82.1 million in cash and bullion at the of the September quarter.”
More information on the Mt Morgans Gold Operation can be found here.