Horizon Minerals Ltd (ASX:HRZ) is ahead of schedule with mining and haulage for the first stage of Boorara Gold Mine in the Goldfields of Western Australia and is on track for first gold production in July.
Mining began on May 6, 2020, and the first ore parcel of 25,000 tonnes has been hauled from Regal East to the Lakewood Mill.
Horizon managing director Jon Price said: “The site operations team and our contracting partners have done an excellent job with ore delivery ahead of schedule and grade meeting expectations.”
Both the Regal east and west pits will be mined concurrently to enable efficient cycling of mining production and drill and blast activities, with the mining of the Crown Jewel pit to begin in the September quarter to provide an alternative dig location as the Regal pits advance.
Ore mined to date
To date, a total movement of 232,000 bank cubic metres (BCM) has been mined with around 42,000 tonnes of oxide and transitional ore mined at a fully diluted grade of 1.4 g/t gold, in line with the reserve model estimates for the upper areas of the pits.
This is 22% above plan with the proportion of free dig material contained in both the Regal East and Regal West pits, exceeding the company’s expectations, and reducing drill and blast costs, minimising dilution and improving mine productivity.
Mining is progressing ahead of schedule in the Regal East open pit.
Haulage commences
Ore haulage from the run of mine pad at Boorara has commenced to the Lakewood Mill, 7 kilometres east of Boorara with the first ore treatment campaign scheduled for Monday, July 13, 2020.
The dedicated milling campaign will treat approximately 25,000 tonnes of ore over a two-week period from the Regal East pit enabling detailed mine to mill grade reconciliations.
Detailed pit mapping is also being completed to improve geological understanding ahead of a global resource review to be completed as part of the consolidated feasibility study.
First production and revenue
First gold production and revenue from the project just outside Kalgoorlie are expected in July 2020 with production continuing on a campaign basis through to January 2021.
Price said: “With first gold production and revenue expected in July, we look forward to completing this first stage of Boorara while progressing the feasibility study and re-commencing the large-scale resource growth and new discovery drilling programs.”
The first stage of Boorara comprises 159,000 tonnes grading 1.86 g/t gold for 8,700 ounces recovered at All in Costs of A$1,640-A$1,690 per ounce.