Kalgoorlie North gold project commences

Mining has commenced at Excelsior Gold’s Kalgoorlie North Project, opening a new phase for the junior miner.

The Castlereagh Open Pit is the first of several at the project that are expected to produce 1.36 million tonnes of ore at an average grade of 2.0g/t, for an estimated 97,000 ounces of gold.

Ore from the Castlereagh, Jackorite, Big Blow South and Zoroastrian Central open pits will be processed at the Paddington Mill over the next 18 months.

The initial base case mining plan also includes underground operations, and over the next seven years will supply a contracted throughput of 500,000 to 650,000 tonnes per annum to the Norton Gold Fields-owned Paddington Mill.

The Base Case Schedule only includes five out of 22 mineral resources defined to date, with ample opportunity to extend the life of the project.

The open pit mining contract was awarded to Hampton Transport Services on 9 November 2015, with an immediate start to initial clearing of the Castlereagh Open Pit area, as well as establishment of site infrastructure such as offices and workshop areas.

McAleese Resource has been contracted to construct the haul road, as well as haulage which will commence in December this year.

To keep up to date with Australian Mining, subscribe to our free email newsletters delivered straight to your inbox. Click here.