RNC Minerals has unearthed more high-grade coarse gold at the Beta Hunt mine in Western Australia, its latest discovery in a year-long spree of bonanza finds.
The Canadian company revealed that an estimated 3200 ounces of coarse gold was recovered from the 15 Level A Zone, 30 metres north of the Father’s Day Vein that it discovered at the Kambalda site last year.
RNC’s latest find is worth more than $7 million at current Australian dollar gold prices (approximately $2188/ounce).
The company is undertaking work in the area in preparation for stope production, which is expected to take place later this year or early next year.
RNC chairman and chief executive Paul Andre Huet said the discovery was another example of Beta Hunt delivering rich pods of high-grade coarse gold.
“We anticipate mining stopes in this encouraging area towards the end of 2019 or early 2020,” Huet said.
“These high-grade gold occurrences provide additional cash generation beyond what is forecasted by our steady state mine model, which excludes these high-grade zones.
“As I have previously highlighted, RNC aims to monetise each coarse gold occurrence through our mill as quickly as possible in order to take advantage of the current high Australian dollar gold price.
“That said, our primary focus remains on aggressively pursuing cost reduction initiatives across all of our operations.”
RNC Minerals also announced the recovery of an estimated 1750 ounces of coarse gold from 274 kilograms of rock at Beta Hunt last month.
The high-grade coarse gold discoveries, exposed during normal mining practices, are not included in an updated Beta Hunt measured and indicated mineral resource estimate of 944,000 ounces (at 2.9 grams/tonne) and inferred mineral resource of 406,000 ounces (at 3.1 grams/tonne).
“These coarse gold occurrences are best described as periodic upside to mine production. The addition of the Higginsville mill in June this year provides RNC the ability to monetise these high-grade discoveries more efficiently compared to previous toll milling arrangements,” RNC added.
Earlier this week, RNC reported production guidance of between 42,000 and 49,000 ounces for the December 2019 half year after producing 24,216 during the September quarter.