In an important step forward in its strategy of building a multi-asset operating business focused on base and precious metals, Red River Resources Limited (ASX: RVR) announced that it has poured its first gold at the Hillgrove gold mine in New South Wales.
Red River said that the first bar poured weighed 0.97kg and graded 83% gold and 13% silver.
RVR reported that it has completed the commissioning of the Hillgrove gold plant which was acquired in 2019. The company said that plant production is ramping up and gold recovery to flotation gold concentrate and Knelson gravity gold concentrate is performing in line with expectations.
RVR said that Consep Acacia Leach Reactor was installed and is successfully treating gravity gold concentrates.
Red River said that it has processed ~18,000 tonnes of ore from Bakers Creek Stockpile to date. The company said that stockpile grades are meeting expectations, with an estimated 800 – 1,000 ounces of gold currently in circuit.
First gold poured at Hillgrove
Red River’s Hillgrove Gold Operation in New South Wales was acquired in 2019. The Hillgrove Operation is a key part of RVR’s strategy to build a multi-asset operating business focused on base and precious metals.
RVR reported that it has completed the commissioning of the Hillgrove gold plant and poured the first bar of gold in more than 20 years at Hillgrove.
Reactor at Hillgrove
Red River had installed a Consep Acacia Leach Reactor at Hillgrove to maximise recovery of gold from the Knelson gravity gold concentrate.
The company said that the plant consists of an up-flow fluidised reactor for the leaching process, which has been developed and optimised to produce the ideal solid-liquid interaction for maximised gold leaching reaction kinetics without mechanical agitation.
RVR said that the gold recovery to flotation gold concentrate and Knelson gravity gold concentrate is performing in line with expectations.
Plant production ramping up
The company reported that the plant production is ramping up, with increased mining and processing activities. RVR said that to date, approximately 18,000 tonnes of Bakers Creek Stockpile has been mined and processed through the Hillgrove Plant.
RVR said that after the initial low grade commissioning feed, stockpile grades are now meeting expectations. Currently, there are an estimated 800 – 1,000 ounces of gold in the circuit.
Management comments
Red River Resources Managing Director Mel Palancian said: “The start of gold production at Hillgrove represents a material step in our strategy to build a multi-asset operating business focused on base and precious metals.
Red River completed the Hillgrove Gold Mine acquisition in August 2019 for A$4 million in RVR shares, and we decided that the best way to bring this project back into production through treating material from the Bakers Creek stockpile before resuming underground operations, with methodical permitting, refurbishment and upgrade activities to execute our strategy.
I look forward to updating the market as we increase gold production from the Bakers Creek Stockpile in Stage 1 before we move to the full restart of UG production in Stage 2, producing gold, gold concentrate and gold-antimony concentrate.”
*Image source: Red River Resources Limited