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- Blackham Resources (BLK) is continuing to benefit from a period of improved production following developments made in the first half of 2019
- Operations at Golden Age have continued and expanded with the past two months have seen 1500 ounces of gold mined per month
- Production activities at the Williamson open pit have advanced well with first ore production seen in November 2019
- Blackham’s share price is currently up 4.55 per cent with shares trading for 1.2 cents apiece
Blackham Resources (BLK) is continuing to benefit from a period of improved production following developments made in the first half of 2019.
The company maintains its production guidance for FY20 of 70,000-80,000 ounces at an AISC (all-in sustaining cost) of $1150-$1750 per ounce.
Operations at the Golden Age underground mine have continued and expanded with the past two months seeing approximately 1500 ounces per month being mined.
Exploration drilling and resource conversion drilling have recently recommenced to establish further reserves to be mined within Golden Age and adjacent ore shoots during 2020.
Production activities at the Williamson open pit have advanced well with first ore production seen in November 2019.
The pre-production spending of $15 million is being balanced out by a $10 million contribution from Salt Lake Potash.
Construction of the new tailings storage facility, TSF K, is also well underway.
This construction program is the first stage of construction of a ten-year capacity tailings storage facility. This stage is designed to hold approximately 2.5 years of tailings produced form the Wiluna processing plant.
Blackham has also completed its stage 1 expansion project study with preliminary underground mine planning and scheduling completed.
Free milling ore will continue to be processed in campaigns throughout the project lifetime as free milling ore exists in several areas and will be mined concurrently with the sulphide ore.
Stage 1 sulphide ore processing will enable Blackham to process both material types as required.
“The operations continue to perform well in this quarter following on from the September ’19 quarter which is very encouraging,” Executive Chairman Milan Jerkovic commented.
“This will allow us to achieve ongoing cost reductions to improve operating cash flow and affect our transition to stage 1 of its sulphide expansion project and unlock the considerable value of the large sulphide reserves and resources at Wiluna,” he added.
Blackham’s share price is currently up 4.55 per cent with shares trading for 1.2 cents apiece at 2:48 pm AEDT.
