PERTH (miningweekly.com) – ASX- and JSE-listed Gold One believes that its Ventersburg project, in the Free State province of South Africa, would become the company’s next flagship operation, CEO Neal Froneman said on Thursday.

The gold miner has been granted further prospecting rights at the exploration project, which now brought the Ventersburg prospecting area to around 135 km².

“With the drilling campaign continuing, the Ventersburg resource continues to meet and exceed expectations, and we firmly believe that Ventersburg will be our next flagship project,” Froneman commented.

The company was currently undertaking a drilling campaign aimed at delineating the Ventersburg payshoot extensions, which remain open to the north and south. Gold One was also hoping to more confidently define localised high-grade payshoots through infill drilling.

The campaign would be used to update the existing Joint Ore Reserve Committee-compliant resource, which currently comprises an indicated resource of 8,73-million tons, at an average grade of 5,12 g/t gold, for 1,44-million ounces of gold, plus an additional 13,48-million tons, for around 1,84-million ounces in the inferred category.

The updated resources would be incorporated into a prefeasibility study, which followed the positive scoping study that was completed earlier this year.

“In the interim, our focus continues to be the production ramp-up at the Modder East mine, while finalising the components of our new debt facility, which is progressing well,” Froneman said.

Earlier this month, Gold One poured its first ton of gold, some 32 100 oz, at the Modder East mine, east of Johannesburg.

The mine would produce between 85 000 oz and 100 000 oz of gold in 2010, at an average cash cost below $400/oz. The operation recently lost up to 6 000 oz of gold owing to a five-week wage strike.

To subscribe to Mining Weekly's print magazine email subscriptions@creamermedia.co.za or buy now.