Blackham Resources Ltd (ASX:BLK) is accessing high grade ore at the Matilda-Wiluna Gold Operation in Western Australia.
Ore at 1.6 g/t gold has been mined from the M4 and Galaxy pits since November 2017 and this is expected to continue for the next six months.
As a result the company achieved record weekly gold production of 1,685 ounces in the last week of December.
Production ramps up
Production for the month was 8,038 ounces, which was marginally less than production for the entire September 2017 quarter.
Blackham milled a record 443,000 tonnes during the December quarter and plant recovery increased to 92.3%, up from 91.5% in the previous quarter.
There was also a reduction in waste material mined which has reduced open pit mining costs.
The strip ratio for the remaining oxide reserves is expected to reduce to 7:1 from 16.5:1 in the next six months.
High grade stockpiles
Blackham has started building high grade stockpiles with 51,000 tonnes at 1.6 g/t accumulated as at 31 December.
Milan Jerkovic, chairman, said: “The recent mining and production levels support our belief that the delays in accessing high grade open pit ore are now behind us.
“The recently announced recapitalisation strategy is progressing very well with the support of Blackham’s secured lender (Orion) and key mining contractor (MACA).”