Auric Mining (ASX:AWJ) is restarting stage two mining operations on the week of 4 March 2024 at its Jeffreys Find Gold Mine in Western Australia.
The $15 million market capitalisation company is starting with the intention of extracting a minimum of 300,000 tonnes of ore.
Auric’s joint venture partner, privately held BML Ventures, has executed a contract with FMR Investments to toll mill a minimum of 300,000 tonnes of ore at the Greenfields Mill, Coolgardie during 2024 with the project due to end in early 2025.
The first parcel of ore is expected at the Greenfields Mill in mid-April 2024.
Managing Director Mark English says last year the company extracted 175,000 tonnes of ore from Jeffreys Find and Auric achieved a ‘great’ result for the joint venture with almost $10 million total surplus cash generated.
“With a contract to process a minimum of 300,00 tonnes in 2024 at the Greenfields Mill, it should be a very lucrative year for Auric.
We are delighted that mining will recommence shortly. There will be multiple processing campaigns throughout the year for stage two of the project with BML Ventures contracted to put the first parcel through the mill in April 2024.
Stage one of the project produced 9,741 ounces of gold which averaged 1.86g/t. Jeffreys Find is straight forward mining and we know what to expect. Our level of confidence is high that stage two will produce substantially more ounces, compared to 2023.”
The company notes equipment will be mobilised to the site starting this week, prior to mining getting underway.
Auric has paid $1 million as a working capital contribution to BML in 2024.
Once this phase of work is completed, both partners will subtract all costs before splitting the surplus cash proceeds on a 50:50 basis.
The company expects first cash in the last quarter of this year, and further cash in the first quarter of 2025.
Auric Mining is a Western Australian-based gold explorer and developer focused on establishing a gold mining enterprise of ‘significant’ scale.
As of 31 December 2023, the company had $4.493 million cash and cash equivalents at hand, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: Auric Mining
