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Ramelius Resources (ASX:RMS) bumps up mine plan to 1.84Moz

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ASX:RMS      MCAP $2.245B
02 August 2021 12:20 (AEST)
Ramelius Resources (ASX:RMS) - Managing Director, Mark Zeptner

Source: Ramelius Resources

Ramelius Resources (RMS) has forecast a potential nine years in total gold production across its Western Australian assets in its ongoing mining plan.

The ASX-lister unveiled a new 1.84 million ounces gold mine plan across seven years to FY28, followed by a predicted lower grade production period spanning two years.

It represents a 27 per cent increase on the company’s previous mining plan and Average All-in Sustaining Costs (AISC) of A$1,390 to A$1,490 per ounce for the first seven years – the main “body” period of the plan.

Ramelius is undertaking a series of works across its WA projects which are at varying stages in the review process to further establish said plan.

The company said scoping study work at Mt Magnet had identified the opportunity to bring forward the Galaxy underground mine ahead of its Eridanus underground project, which requires the next stage of open-pit works to be completed first.

Works also include a pre-feasibility study at Edna May, which has been extended until December due to what RMS describes as a project “very sensitive to the gold price, grade and operating costs”.

Meanwhile, the Penny underground is said to be on track for ore production at the start of FY23 while surface and underground developments are completed over FY22.

Ramelius Managing Director Mark Zeptner said the upgrade was a pleasing result for the company.

“It is a further testament to the work done by all our team that we can articulate a longer term plan with production scale, strong margins and an achievable approach to reserve replacement that gives us added confidence going forward,” he said.

Ramelius Resources shares were up 3.23 per cent at 1:28 pm AEST to trade at $1.76.


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