Horizon Minerals (ASX:HRZ) is hauling the first ore from the Boorara Gold Project to be processed at the Paddington mill in Western Australia, after approving the development of Boorara earlier this year.
The company says 54,380 tonnes of ore is to be processed at 0.8 grams per tonne gold and a recovery of 94%. This is expected to produce 1,400 ounces at a gold spot price of $4,130 per ounce.
Horizon Minerals, which has a market capitalisation of $55.75 million, says this is estimated to generate $5.78 million in revenue minus processing costs and royalties.
The company adds that the first stockpile grade is in line with expectations and grades are planned to improve as the pit progresses.
Ore was mined from the second and fourth pit to build this stockpile.
As mining continues to progress, additional ore will be mined as the pits develop with grades expected to improve.
CEO Grant Haywood says the milestone has been achieved despite the tight labour market during the company’s ramp-up phase and some inclement weather.
“We are now fully manned-up and the team has been making good progress,” Haywood says.
“We look forward to ongoing gold production from Boorara. In addition to Boorara, our Phillips Find Project is progressing well and is on track for first ore delivery to the Greenfields mill in February 2025.”
Horizon Minerals is focused on becoming Western Australia’s next gold producer. The company hosts over 1 million ounces of gold in resources.
Write to Aaliyah Rogan at Mining.com.au
Images: Horizon Minerals
