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- Ramelius Resources (RMS) has extended its life of mine plan for its asset portfolio across six years, representing a 34 per cent increase on previous estimates
- The company is now expected to produce more than 1.4 million ounces of gold over six years among its assets at an average all-in sustaining cost of between $1250 and $1350 per ounce
- In addition to these recent results, RMS has also included the Penny Gold Project pre-feasibility study, which has an indicated production rate of 230,000 ounces of gold
- Drilling at Penny is expected to recommence next month
- As it heads into a new financial year, Ramelius has created a $25 million to $30 million budget for exploration activities
- On market close, Ramelius is down 0.50 per cent and is trading at $1.99 per share
Ramelius Resources (RMS) has extended its life of mine plan for its asset portfolio across six years, representing a 34 per cent increase on previous estimates.
The company is now expected to produce more than 1.4 million ounces of gold over six years among its assets at an average all-in sustaining cost of between $1250 and $1350 per ounce.
Last week, Ramelius upgraded its production guidance range for the June 2020 quarter and the full 2020 financial year, as its production exceeded expectations and broke new records.
Additionally, the company has included the results from a pre-feasibility study (PFS) conducted at the newly purchased Penny Gold Project, which lies southeast of its Mt Magnet Gold Mine in Western Australia. The PFS has an indicated production rate of 230,000 ounces of gold at an AISC of $703 per ounce.
The company scored Penny Gold after purchasing Spectrum Metals in May. It expects to recommence drilling at the project in July 2020.
Source: Ramelius Resources
Managing Director Mark Zeptner is pleased with the result and the company overall.
“Building on last year’s landmark result of over one million ounces contained within a detailed mine plan, the forward outlook of almost 1.5 million ounces following a record production year in 2020 financial year, is a very pleasing result for Ramelius,” he said.
“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 confidence that this visibility around mine life can be extended going forward,” he added.
As it heads into a new financial year, Ramelius has created a $25 million to $30 million budget for exploration activities.
On market close, Ramelius is down 0.50 per cent and is trading at $1.99 per share.
