With a tailings retreatment program complete, Kingston Resources (ASX:KSN) is set to resume hard rock open pit mining at its Mineral Hill copper-gold mine in New South Wales next month.
Since the company acquired the project in January 2022, more than 1.6 million tonnes of tailings have been processed, generating $25 million in cash. At the same time, Kingston completed a number of work programs designed to establish an open pit and underground mine life of at least five years.
Mining will initially begin from two open pits at Pearse North and South, producing both gold and silver. This will be followed by an initial underground operation at the Southern Ore Zone, a polymetallic orebody prospective for copper and gold.
Managing Director Andrew Corbett says the open pit production will increase cashflow to expand the business, as Kingston aims to establish a long-life precious and base metal mine with organic and inorganic expansion options.
“The low-cost refurbishment of the plant will provide Kingston with a versatile operating polymetallic processing facility, capable of processing all configurations of oxide and sulphide Cobar-style mineralisation, containing precious and base metal — copper, gold, zinc, lead, and silver,” he says.
“The existing carbon in leach onsite can maintain a throughput of 100 tonnes per hour, with the current grinding circuit capable of running at 50 tonnes per hour.
“Mineral Hill offers a unique opportunity within the Cobar region as it is a fully approved operating mine with a licence to operate for up to 700,000 tonnes per annum.”
While mining operations begin, the Mineral Hill site team are also finalising a $12.5 million refurbishment of the processing plant, delivering within a tight budget and timeline.
Crushing and grinding of initial open pit oxide is scheduled for July.
Kingston notes the flotation plant will be commissioned in August, providing Mineral Hill with full processing capability to produce numerous metal concentrates alongside precious metal dore.
Kingston Resources will be presenting at the upcoming Vertical Events 2024 Gold Coast Investment Showcase, held on 19 and 20 June at the JW Marriott Gold Coast Resort & Spa in Queensland.
Mining.com.au is a media partner of this year’s event. To register for free click here.
Write to Aaliyah Rogan at Mining.com.au
Images: Kingston Resources
