Laneway Resources Limited (ASX:LNY) has achieved further gold pours, including the first pour from carbon stripped off-site recovered from the processing of high-grade ore mined at the Sherwood deposit within Laneway’s 100% owned Agate Creek Gold Mine in North Queensland.
Highlights
* Further gold pours have occurred this week totalling 11.58 kg of gold doré including an 8.78 kg gold doré bar (pictured above) poured yesterday from gold recovered from carbon stripped offsite. A further 2.8 kg gold doré bar from gold recovered from the gravity circuit was also poured at the Georgetown Gold Processing Plant (GGPP) from high-grade ore sourced from Laneway’s 100% owned Agate Creek Gold Mine. The bars have been sent to the Perth Mint for refining.
* The bullion now poured to date since production commenced earlier this month of 26.24kg of gold doré has been predominantly recovered from the gravity circuit of the GGPP still at this stage with the gold poured yesterday recovered from carbon that was pulled from the CIL circuit on 16 September after only the first 2 weeks of ore processing.
* With completion of the carbon strip pour, gold recoveries can now be calculated for the period from commencement of treating ore on 31 August to when the carbon was pulled from circuit on 16 September. 2,162 dry tonnes have been processed in this period at an overall feed grade of 8.15 g/t with 95.2% recoveries (subject to final reconciliations).
* Since ore commenced being fed into the plant on 30 August a total of 4,050 tonnes of Agate Creek ore has been processed to date with throughput and production rates continuing to increase and night shift operations commenced yesterday now allowing for 24 hour processing operations.
* Approximately 27,500 tonnes of ore grading 8 g/t gold has been mined from the current pit at Sherwood since mining recommenced at the end of June, with the final drill and blast programme for this pit being undertaken this week.
* Laneway entered into an agreement earlier this year to acquire the Georgetown Project and is now in control of all of its own mining and processing operations from which it anticipates generating material positive cashflow.
The company is successfully continuing its gold production ramp up with a further gold pours this week including the first pour of gold recovered from the stripping of carbon pulled from the CIL circuit yesterday.
Laneway have brought the Agate Creek project into production quickly following the entering into of the agreement to acquire the Georgetown Project earlier this year. With the refurbishment of the GGPP completed in line with expected timeframes, Laneway will continue to pour gold doré on a weekly basis.
The gold pours this week comprised doré bars weighing approximately 11.58 kg of gold and silver bullion. These bullion bars have been despatched to the Perth Mint for refining. 26.24 kg of bullion has now been poured to date since production commenced earlier this month. The gold doré poured has been predominantly recovered from the gravity circuit of the GGPP still at this stage with the gold poured yesterday recovered from carbon that was pulled from the CIL circuit on September 16 after only the first two weeks of ore processing.
Work is continuing on the refurbishment of the on-site carbon stripping circuit to allow stripping on site of the carbon loaded with gold from the CIL circuit. Contract stripping of the loaded carbon will continue through a third party for the next six weeks. It is expected that a similar amount of gold will be recovered from the CIL circuit as is being recovered from the gravity circuit.
Mining operations are progressing well with a total of approximately 27,500 tonnes at 8 g/t gold already mined from the current pit at Sherwood with the final drill and blast program for this pit being undertaken this week. Further pits to be mined after the current Sherwood pit are in the final stages of planning and approvals.
The ore is being transported to and then processed through the Georgetown Gold Processing Plant. Utilising an existing processing plant has significantly reduced the capital expenditure and time to first gold production for Laneway and establishes a robust platform for enduring cash flow and subsequent growth.
Laneway anticipates material positive cash flow this year from the high-grade gold mining activities at Agate Creek aided by continuing high prices for AUD denominated gold. The expected cash flows will establish a sound financial platform for the company to progress its project portfolio.
For further information please visit: https://www.lanewayresources.com.au
