Auric Mining (ASX:AWJ) has outlined a pathway towards becoming an integrated gold producer in Western Australia’s Goldfields region, following completion of its integrated Scoping Study.
The study evaluates open-pit mining at the Munda Gold Project and the re-establishment of the Burbanks processing facility, located approximately 87km apart.
Under the base case using a gold price of $5,750 per ounce, the project is estimated to generate $812 million in life-of-mine revenue and $437 million in undiscounted earnings before interest, taxes, depreciation, and amortisation. It has an estimated all-in sustaining cost of $2,843 per ounce over an initial 56-month operating period.
Peak funding is estimated at $145 million, with a payback period of 2.3 years.
The study outlines mining 2.77 million tonnes (Mt) of mineralised material at an average grade of 1.75 grams per tonne gold over 32 months, containing approximately 155,844 ounces. Including existing stockpiles, the operation is expected to recover approximately 141,254 ounces based on an 89.5% recovery rate.
Material would be transported to Burbanks, where Auric plans to replace the historical 180,000-tonne-per-annum (tpa) carbon-in-leach plant with a nominal 600,000tpa facility.
Interquip completed the plant design and capital estimate to Prefeasibility Study-level accuracy of within a 15% margin, placing the engineering, procurement, and construction management cost at $94.3 million. The design allows throughput to potentially expand to 1.2Mt per annum through additional milling and leach capacity.
“This study is another important step in Auric’s evolution. It shows a clear pathway to becoming a standalone gold producer, with Munda providing the initial feed and Burbanks giving us control of a strategically important processing facility in the Goldfields,” Managing Director Mark English says.
Auric says it is targeting construction from early 2027, subject to approvals, with first gold production planned for early 2028. The Scoping Study is preliminary, with its production target comprising approximately 93% indicated and 7% inferred mineral resources. The company notes there is no certainty that the study outcomes will be realised.
Auric Mining is an Australian exploration and development company focused on gold, nickel, lithium, and rare earth elements.
Write to France Pinzon at Mining.com.au
Images: Auric Mining
