Perhaps the company you are enquiring about is the U.K based gold exploration company listed on the AIM of the London Stock Exchange. This Company has made the transition from exploration to production via its interest in approx 2,000km2 - tenement package in Meekatharra in W.A.
The Company originally raised £25 million (~A$62 million) on AIM to underpin its growth objectives in the gold sector and to fast track a gold production / development strategy.
The project area is extensively mineralised and this company has undertaken an aggressive exploration programme to define the project’s resource potential. The project was acquired for just A$18 million and has completed a major upgrade of the 3mtpa treatment facility and existing mine infrastructure. -----------------------------------------------------------
GOLD PRODUCTION TO COMMENCE AT MEEKATHARRA
INCREASE IN PROBABLE ORE RESERVES TO 504,000 OUNCES
HIGHLIGHTS • Newly commissioned Meekatharra plant currently processing ore at up to 150 tonnes per hour.
• First commercial gold pour within the next ten days with a target of 120,000oz of production in the first 12 months of operations.
• 17% increase in Probable Ore Reserves to 504,000oz (previously 432,000oz.)
• Encouraging results from recent drilling at the newly defined Euro Project with best results including 1m @ 94g/t, 3m @ 23.8g/t and 10m @ 5.0g/t. • Highly experienced international exploration geologist, Mark Csar, appointed as Exploration Manager.
Major road works to the nearby highway (safety precautions) had caused production to stop late last year. Approx 26,000 oz were produced from April - October 2008.
The Company’s reserves at the Surprise and Bluebird Pits at end June stood at – Surprise: 436,000 tonnes at 2.5 g/t for 35,700 contained ounces and
Bluebird: 1,778,000 tonnes at 2.4 g/t for 133,000 oz.
Following recent significant Industry and labour input pricing increases, the Company is undertaking a review and re-estimation of the remaining reserves in the Surprise, Bluebird and Batavia Pits to ensure optimal profitability.
The company is Mercator Gold PLC. www.mercatorgold.com
