Auric Mining (ASX:AWJ) has produced 4,300 ounces of gold so far from its second campaign conducted at the Jeffreys Find Gold Mine in Western Australia.
This means that as of 6 October 2023, total stage one production from the mine has now topped more than 6,000 ounces of gold.
Auric says around 150,000 tonnes of ore has been delivered to the Greenfields Mill in Coolgardie, Western Australia, where processing is continuing.
Over the next 2 weeks, Auric expects to haul another 36,000 tonnes of ore to the mill.
The company says its processing target of 180,000 tonnes of ore for stage one is on budget and within time, yield, and budget parameters.
The second processing campaign began on 10 September and it is expected to wrap up early next month. This follows from the first processing campaign under which 1,721 ounces of gold was produced from a 36,180-tonne ore parcel.
Commenting on the gold production, Auric Mining Managing Director Mark English says: “The first surplus cash is now spinning out the end. Very soon, the current parcel of between 145,000 and 150,000 tonnes will be completely processed and gold despatched to the Perth Mint for sale.
In total, we estimate over 180,000 tonnes will be processed from the stage one mining. A first parcel of 36,000 tonnes averaged 1.58g/t Au, and early indications are this parcel will do better.
We acquired this tenement from Mincor Resources in September 2020, only months before our listing on the ASX. In around 3 years we have it producing cash. It is a terrific result and will allow us to inject millions into our ongoing development, principally at Munda Gold deposit near Widgiemooltha.
“It is a terrific result and will allow us to inject millions into our ongoing development, principally at Munda Gold deposit near Widgiemooltha”
Based on what we already know, we expect gross revenue generated from this first stage to be in excess of $28 million which means the partners in this project are going to split millions in surplus cash.”
Auric’s JV partners are incurring and paying all mining costs and expenses. Upon completing the first stage of mining, BML will subtract all costs, including a cash retention for the second stage pit, before splitting the surplus cash proceeds on a 50:50 basis.
This will provide Auric with a ‘substantial’ cash boost, anticipated throughout October and November this year.
The entire Jeffreys Find life of mine (LOM) is short, and final mining is expected to be completed later next year or early 2025.
Auric Mining is a gold exploration and development company focused on the Western Australian Widgiemooltha district. As of 30 June 2023, the company had $738,000 cash and cash equivalents at hand, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: Auric Mining