Lunnon Metals has cleared the way for mining to begin at the Lady Herial deposit in Western Australia, with mining of the first gold ore scheduled for later in February as site works progress.
Lunnon signed key mining contracts with Hampton Mining & Civil Services for mining and with Goldfields Technical Services of Kalgoorlie for statutory positions, operational blast design and general site management.
Lady Herial will be the first new mine, gold or nickel, established on the Foster belt for over 30 years. It will also be the first open pit on land at St Ives since 2014.
Lunnon Metals Managing Director Edmund Ainscough said: “Today’s announcement marks the culmination of months of focused effort to de-risk Lady Herial on the technical, geological and regulatory fronts.
“It also represents nearly two years of hard but smart work by the exploration team.”
The start of mining at Lady Herial coincides with record gold prices. Based on the company’s recent feasibility study, the mining of approximately 268,000 tonnes at 1.89 grams per tonne of gold for 16,270 ounces could yield approximately AU$45 million in pre-tax cash flow at the current gold price of AU$7,000 per ounce of gold.
