PERTH (miningweekly.com) – Gold miner Troy Resources has set a production target of between 65 000 oz and 75 000 oz for the 2019 financial year, after beating its production expectations in 2018.

The miner earlier reported that gold production at its Karouni operation, in Guyana, had reached a record 70 207 oz during the full year, exceeding the initial forecast production range of between 60 000 oz and 70 000 oz, and the upgraded forecast of between 65 000 oz and 70 000 oz.

Gold production in the three months to June was reported at 19 510 oz.

Troy CEO and MD Ken Nilsson said on Wednesday that the June quarterly operational performance was achieved due to stable mining and processing conditions, despite the quarter covering the most challenging period in the wet season, which started earlier than normal this year.

“Troy is likely to proceed with the expansion of the Smarts 3 openpit which will add to the mine reserve base,” Nilsson said.

“Drilling of the Spearpoint prospect has been completed and drilling at Larken prospect will be completed by the end of July. Design and optimisation work has started on Spearpoint with work on Larken to follow once all assay results have been received.”

Nilsson said that a reserve statement for both prospects will likely be available in the coming months, with mill feed from the prospects likely available in the current year’s mine plan.

With both the Mines Department and the Environmental Protection Authority both providing ‘no objection’ letters for both the prospects, the permitting process is expected to conclude shortly.

“The Karouni operation has also re-focused on exploration with resource to reserve conversion a key initiative. In addition, the company intends following up on previous encouraging drill results in other areas as well as commencing work in areas of tenements not previously tested. To this end, Troy’s exploration team has recently been strengthened.”

Nilsson said that the company is also looking at opportunities to acquire additional nearby tenements that are relevant to the Karouni operation, as well as evaluating other potential sources of mill feed.