Star Minerals Ltd. has signed an ore purchase agreement (OPA) with Forrestania Resources Ltd. to haul and process up to 400,000 tonnes of mill feed from the Tumblegum South gold project in Western Australia.
Under the 24-month agreement, Forrestania Resources will manage and fund the transport of stockpiled run-of-mine (ROM) ore to its Edna May processing facility. Haulage is set to begin on 23 October, moving in minimum campaign batches of 50,000 tonnes.
Star Minerals currently has approximately 84,000 tonnes of material stockpiled on its ROM pad, providing more than enough ore to fulfill the initial delivery batch.
The contract contains no conditions precedent and establishes a pricing model based on seller ore grade, base processing costs, a benchmark grade of 1.45 grams per tonne of gold, a maximum metal recovery rate of 94 per cent, and standard treatment charges.
Star Minerals will also pay a one-off plant access fee of AU$50,000.
Managing Director Ashley Jones said the agreement secures a crucial commercial pathway to monetise the project’s stockpiles during the current quarter.
“We are delighted to be working with Forrestania Resources to achieve processing of our material this quarter and look forward to our first gold pour,” Jones said.
The partnership also delivers important benefits for Star Minerals’ broader regional growth.
The Edna May processing plant is situated roughly 30 kilometres from Star Minerals’ newly acquired Merredin gold exploration tenure, potentially providing long-term processing flexibility as exploration across the surrounding acreage progresses.
