INVESTORS AND MEDIA In the news
PERTH (miningweekly.com) – Gold miner Gold Road Resources has seen a slight dip in gold production from the Gruyere mine, in Western Australia, during the three months to March.
Gold production from Gruyere reached 66 213 oz during the three months under review, down from the 70 794 oz produced in the December quarter, with Gold Road telling shareholders that the lower production in ounces quarter on quarter reflected a 3 127 oz increase in gold-in-circuit at the end of the quarter.
Gold Road told shareholders that the company sold 32 100 oz of gold during the quarter under review, at an average price of A$2 138/oz, generating sales revenue of A$68.6-million.
Gold sales for the quarter excluded 3 660 oz of gold dore and bullion held in inventory at the end of March.
The company’s share of attributable operating cash flow from the Gruyere joint venture (JV) reached A$43-million, with capital expenditure reaching A$15.3-million.
During the quarter under review, the Gruyere JV partners successfully completed scheduled plant shutdowns for relines of the semi-autogenous grinding (SAG) mill and the ball mill, as well as the upgrade to the pebble crushing circuit. As a result, plant use remained at around 83% during the quarter.
The maintenance work at the plant also resulted in a quarter-on-quarter increase in all-in sustaining capital, which reached A$1 386/oz during the quarter, compared with the A$1 265/oz reported in the December quarter.
Gold Road said on Tuesday that with future SAG mill relines scheduled at 5- to 6-month intervals, ball mill relines scheduled for 11- to 12-month intervals, and the successful commissioning of the Pebble crushing circuit now complete, Gruyere is well positioned to improve on plant utilisation and consequently increase throughput and production in line with 2021 guidance and the three-year outlook, which is aimed at reaching 350 000 oz/y by 2023.
Looking ahead at the full 2021, the Gruyere operation is expected to deliver between 260 000 oz and 300 000 oz of gold, at an all-in sustaining cost of between A$1 225/oz and A$1 350/oz.