- Aurelia Metals (AMI) says its December quarter saw modest throughput and production impacts, while suffering from reduced workforce availability of around 20 per cent
- The company says December gold, lead and zinc production were down from September, however copper production increased
- AMI says high grade gold and base metals intercepted at Federation have extended mineralisation, while the Hera camp was expanded and Dargues restarted drilling
- Cash balance of $95.2 million for the quarter was up from $66.1 million in September following a $10 million capital expenditure, $4 million debt reduction and $5.5 million backing for environmental guarantees
- Shares have been up 1.2 per cent at 41 cents
Aurelia Metals (AMI) has said its December quarter saw modest throughput and production impacts while suffering from reduced workforce availability of around 20 per cent.
The company said December gold, lead and zinc production was down from September, however copper production increased by 17 per cent.
The company also said gold production is expected to be at the lower end of FY22 group guidance of 112 – 123 koz. Copper remains unchanged and lead and zinc production at the upper end of guidance.
The company operates three gold mines in New South Wales at Federation, Hera and Dargues.
AMI said high-grade gold and base metals intercepted at Federation have extended mineralisation, while the Hera camp was expanded to accommodate additional workers and Dargues restarted underground and surface drilling.
Cash bash of $95.2 million for the quarter was up from $66.1 million in September following a $10 million capital expenditure, $4 million debt reduction and $5.5 million backing for environmental guarantees.
Mineralisation extended at Federation Deposit
The company said mineral resource conversion and extensional drilling has delivered the best set of results to date from the company’s extensive two-year drilling program at the Federation deposit in NSW.
Intercepts reportedly include 18.2 metres at 34.4 per cent lead and zinc and 13.1 g/t gold including 5 metres at 62.7 per cent lead and zinc and 47.2 g/t gold.
The company said gold potential is emerging at the southwestern boundary of Federation with multiple new high-grade intercepts and gold mineralisation open along strike.
Drilling to support a feasibility study will continue until late January, with further drilling to upgrade and extend the mineral resource will continue throughout the March Quarter.
Great Cobar pre-feasibility study and maiden ore reserve completed
The company said its Great Cobar deposit, part of its Peak Mine project in NSW, demonstrates the potential for low-risk brownfield development of copper and gold.
The company also said it has estimated the maiden resource estimate (MRE) to be 840 kt at 2 per cent copper,1 g/t gold and 4 g/t silver, increasing the total Peak ore reserve estimate by 19 per cent to 3.2 mt.
Following completion of a pre-feasibility study (PFS) and MRE the company estimates the deposit could deliver 400-500 ktpa over a five year mine life.
Shares were up 1.2 per cent trading at 41 cents at 10.22 am AEDT.