PERTH (miningweekly.com) – Gold miner Doray Minerals will spend A$10-million on exploration activity at its Deflector gold project, in Western Australia, during 2019.
The miner on Wednesday reported that the mineral resource at the Deflector project had increased by 34% after mining depletion, to 762 000 oz of gold, while ore reserves increased by 4% after mining depletion, to 250 000 oz of gold.
Both the resource and reserves were impacted by new discoveries near the underground operations, with Doray telling shareholders that the ore reserve was yet to be incorporated in any potential conversion of the Da Vinci inferred resource, which will be evaluated in the first half of 2019.
“Achieving such a meaningful increase in resource gold grade and ounce, at an average discovery cost of A$25 per ounce, is a great result for Deflector’s first full year mining underground,” said Doray MD Leigh Junk.
“Our unwavering focus is on achieving operational efficiencies and producing cash, with an effective exploration investment during 2018 now delivering real results.
“I believe this is just the beginning of our success at Deflector,” Junk said.
He said that recent delineation and conversion of the mineral endowment in the Link Lode underpinned a more economic and robust operation moving forward.
“In addition, the updated mineral resource and economic evaluation of Da Vinci expected during the first half of 2019 should provide a basis to extend our mine footprint and enhance our production profile. This is complemented by a significant exploration investment and growing confidence in our strategy.”