New Murchison Gold Ltd. has reported a strong start for its Crown Prince gold mine with production levels better than its feasibility study estimates.
The Western Australia mine recorded its third month of mining and crushing with 67,199 dry tonnes of ore at an agreed grade of 3.69 grams per tonne of gold.
The ore was sold to Westgold Resources’ subsidiary, Big Bell Gold Operations, for processing at the Bluebird facility.
Alex Passmore NMG’s CEO said: “We are pleased to advise the market of the strong start of the Crown Prince Gold Mine and that the operation has stabilised at production levels in line or better than the company’s feasibility study estimates.
“Notably, this is the second month Westgold has provided us with the opportunity to exceed the OPA monthly cap of 50,000t per month.”
Under the terms of the ore purchase agreement (OPA) with Westgold, New Murchison Gold delivered 7,630 recoverable ounces of gold in November, with the related payment scheduled for the end of December.
The company also reported unreconciled production inventory of approximately 16,200 wet tonnes of Crown Prince crushed ore at the end of November.
The company received the latest monthly payment from Westgold in late November for October’s ore sales, totalling AU$41.6 million.