Red 5 Ltd (ASX:RED) chief corporate development officer Patrick Duffy outlined the strength of the company's King of the Hills (KOTH) gold project which is on track for first gold production in the June quarter of 2022.
Construction continues at the KOTH Gold Project in the Leonora region with the company on track to commission the 2.4-million-ounce project early next year.
Duffy spoke about KOTH's progress to date and upcoming development of one of Australia’s most well-endowed gold assets.
KOTH is one of the top 10 largest ore reserves in Australia with a mineral resource of 4.12 million ounces and ore reserve of 2.4 mill;ion ounces. It has a 16 year mine of life plan, an NPV of $726 million and capital cost of $226 million.
In September the company kicked off installation works on its SAG mill — a crucial piece of equipment that will transform KOTH ore into finer particles for further processing. The 36-foot mill shell is being placed, while the motors, each weighing 62 tonnes, have been lifted into position.
Aside from mill progress, Red 5 also advanced work on its crusher equipment, the carbon-in-leach tanks and power station foundations.
The KOTH project remains within budget and on schedule.