Dacian delivers first gold at Mt Morgans

Mt Morgans. Image: Dacian.

Dacian Gold has poured its first gold bar at the $200 million Mt Morgans project in Western Australia.

The milestone was achieved last Thursday following an 11-month construction period that was completed on time and budget.

Dacian is continuing to progress commissioning activities at Mt Morgans, with construction of the 2.5 million tonne a year (Mt/y) treatment plant complete.

The company expects to reach practical completion and achieve associated performance testing requirements with engineering, procurement and construction contractor, GR Engineering, during the June 2018 quarter.

Dacian will ramp-up Mt Morgans into an operation capable of producing more than 200,000 ounces a year (oz/y).

Rohan Williams, Dacian chairman and chief executive, said the first gold pour was the culmination of an exploration and development strategy implemented at Mt Morgans over the past five years.

“The attributes which have enabled us to arrive at this very significant occasion are the same attributes that will drive our ramp-up and ongoing growth strategy,” Williams said.

“We started work at Mt Morgans a little over five years ago with several exploration concepts that we tested once we completed our initial public offering (IPO).

“What has been achieved in that time from discovery, including the drill out, feasibility studies, financing, permitting and now completion of a major $200 million project build on time and on budget is an amazing effort by a very talented and hard-working group of employees, consultants and contractors.”

Dacian is developing two mining centres at Mt Morgans — Westralia and Jupiter. The company is also continuing an aggressive exploration campaign at the property.

“We also firmly believe Mt Morgans is a highly-endowed goldfield that will continue to deliver new discoveries and additional mine life as we continue an aggressive exploration campaign, which has already yielded a highly-significant new discovery and Cameron Well,” Williams added.

Mt Morgans currently has an ore reserve of 1.2Moz and a mineral resource of 3.3Moz.