SPR 0.68% 74.5¢ spartan resources limited

Ann: Creditors Vote to Approve Gascoyne DOCA proposal, page-16

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    Record run at Dalgaranga continues

    GASCOYNE Resources is on track to exceed 70,000 ounces of gold from its Dalgaranga operation for the 2019-20 year after smashing multiple production records for May, its sixth month in a row above 6000oz.
    Record run at Dalgaranga continues

    Dalgaranga.


    Haydn Black

    Reporter

    While that is still well below the 100,000ozpa target the miner set itself at the time the first bar was poured in 2018, the turnaround under administrators FTI Consulting appears to be in full swing.
    Gold poured for April was 6500oz, and output for May rose to 7189oz at a record grade of 1.09 grams per tonne, up from 0.98gpt.
    With two months of the June quarter producing 13,700oz, the company is on track to hit the upper end of its quarterly guidance of 18,000-21,000oz.
    Production for the March quarter was 18,840oz.
    Some 226,431t was processed in May with a 90.8% gold recovery.
    The reason for the turnaround has been the focus on the Gilbey's Main Zone, which is now the majority of the ore feed, with some high-grade support from the Golden Wings deposit.
    Gascoyne noted the monthly reconciliation of the GMZ was "excellent" against the new mine plan and reserve model, with 111% of expected tonnes mined, grade at 105% of plan and production at 117% of plan.
    CEO Richard Hay said he was confident the trend of production meeting the revised forecast would continue.
    Gascoyne fell into administration in June 2019 after a problematic start-up at Dalgaranga, Western Australia, including unexpected depletion in key areas of the resource model.
    The miner's shares have not traded since May 2019.
 
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