Manuka Resources (ASX:MKR) - Executive Chair, Dennis Karp
Executive Chair, Dennis Karp
Source: Manuka Resources
The Market Online - At The Bell

Join our daily newsletter At The Bell to receive exclusive market insights

  • Manuka Resources (MKR) logs a record month of gold production and profits from its Mt Boppy operation in New South Wales’ Cobar Basin
  • The company reported its highest monthly sales revenue of $5.8 million in July, ending the month with a record profit of $1.75 million
  • MKR plans to switch to silver production at its Wonawinta mine at the end of the year with exploration slated to continue during the production phase
  • A geophysics program is planned to start at Mt Boppy this month, followed by drilling of identified targets in mid-September
  • Shares closed up 15.4 per cent to 30 cents each on August 12

Manuka Resources (MKR) has logged a record month of gold production and profits from its Mt Boppy operation in New South Wales’ Cobar Basin.

The company recorded its highest monthly sales revenue of $5.8 million in July through the sale of 2378 ounces of gold and 2061 ounces of silver.

Following costs for the period, including finance and corporate overheads, MKR ended the month with a record profit of $1.75 million.

In a statement today, the company said this had been a good start to the September quarter, with the momentum slated to continue to the end of the year.

At this point, MKR plans to switch to silver production from the run-of-mine stockpile, weighing in at 515,000 tonnes, at its Wonawinta silver mine.

The stockpile grades 70 grams of silver per tonne and is included in the company’s JORC resource statement. Importantly, there are no mining costs associated with such piles, only a processing cost estimated at $35 per tonne.

This activity will be followed by the processing of a further 200,000 tonnes of stockpiles close to the plant, with the end of work signalling the start of mining of the existing silver resource.

Manuka’s executive chairman Dennis Karp said the company was pleased with the start to the quarter.

“This is a very strong operational and financial performance, demonstrating the dual impact on gold production and profitability of steady-state production coupled with good grades,” he said.

“As outlined previously, we increased our trucking fleet during July, which has increased the size of the gold ore stockpile at our Wonawinta plant. This provides greater certainty around steady monthly production.”

Exploration is set to continue at Mt Boppy during production, with a geophysics program planned to start this month, followed by drilling of identified targets in mid-September.

Shares closed up 15.4 per cent to 30 cents each on August 12.

MKR by the numbers
More From The Market Online

Plagues precede widespread power shifts. We’re living in one – and minerals are at the fore

The one defining feature of our post-COVID 'new normal' is a USA swing towards domestic supply…

Talga to form joint venture with lithium producer SQM to develop Sweden’s Aero project

Talga Group Ltd has entered an agreement to form a joint venture with lithium producer SQM…

Jade’s strong gas exploration results in another step towards Mongolian development

Jade Gas Holdings Ltd has picked up strong drilling results from seven wells at its BNG…

Scoping study and Phase 2 drilling progress Prospect Ridge magnesium play for GWR

GWR Group Ltd is set to roll out a scoping study and second phase of drilling…