Dacian Gold has just advised that they have officially met the first quarter of gold production at the new Mt Morgans Gold Operation (MMGO), located near Laverton, Western Australia. FY19 production guidance of 180,000‐210,000 ounces has also been confirmed by the company.
Currently, MMGO has produced 34,155 ounces in the June quarter, meeting and exceeding Dacian Gold’s key performance benchmarks set for the mine. The company is now set to ‘ramp up’ in respect of throughput, recoveries, grade and mining rates.
‘The mine is situated amongst numerous multi-million-ounce gold mines in a highly prospective tenement position,’ commented Dacian Gold, on the Mt Morgan’s Operation.
Some of the company’s June Quarter Operational Highlights include production of 34,155 ounces in line with their stated guidance of 30,000‐40,000 ounces, Dacian Gold’s mill throughput averaged 6,600 tonnes per day (tpd) versus the corresponding nameplate of 8,000 tpd as well as the company’s recoveries averaging 90.9% versus the Feasibility Study gold recovery of 91.4%.
“We have done precisely what we said we would do,” commented Executive Chairman and CEO Mr Rohan William.
“This should be of much comfort to investors because it reflects the professionalism of our employees and mining contractors (Mcmahon and RUC) as well as our EPC contractor, GR Engineering, which built the 2.5Mtpa treatment plant on time and on budget.”
For a little context, Dacian Gold acquired the project in 2012, from previous owners Plutonic Resources, another major mining and exploration company. A$150M Project Facility Agreement signed with Westpac, ANZ and BNP Paribas provided the necessary financial resources to construct the mine. Dacian Gold is now on track to achieve commercial production by the end of the year and set to achieve a guidance of 180,000‐210,000oz for FY2019.
A ‘Westralia Mineral Resource Update’ by the company is set for release later this month.