With the price of copper at its highest level in a year, Hillgrove Resources Ltd (ASX: HGO) has posted a production ramp-up from its Kanmantoo underground copper mine.
Copper yield at the mine, which is located close to Adelaide, has risen from 239 tonnes in February to 589 tonnes in March. Hillgrove is now moving on to a two-week milling campaign and will also focus on the sale of copper next week.
The results from this second phase of production was impeccably timed with copper prices riding high at US$4.2 per pound.
Hillgrove CEO and managing director Lachlan Wallace said production would continue to grow.
“The ramp up of copper production at Kanmantoo as the copper price increases positions the company well,” he said.
“Copper production is expected to increase further as we establish the second underground work area, enabling more copper to be delivered into the rising copper price
environment.”
In particular, the following work by Hillgrove will entail the establishment of new work areas which should allow for numerous stopes to be mined together.
Hillgrove was up almost 7% at almost 8c in early trade.