PERTH (miningweekly.com) – Mining at the Stage 2 operation of the Teal gold mine, in Western Australia, has started, following a feasibility study.
ASX-listed Intermin Resources said on Wednesday that the feasibility study had found that the project would deliver some 31 000 t of ore, at a grade of 3.1 g/t gold for 3 100 oz of gold over a five-month period.
The Stage 2 operation will require a capital investment of A$0.9-million, with all-in costs estimated at A$1 069/oz.
The mining of the Teal Stage 2 operation will occur concurrently as the Stage 1 operation is completed, and will extend mining operations at the site until the March quarter of next year.
“The potential for further stages of the Teal gold mine have always been a part of our future mining project pipeline and the excellent performance of Teal Stage 1 to date has provided additional confidence to commence development of Stage 2,” said Intermin MD Jon Price.
“Stage 2 delivers incremental cash flow to the business and enables continuity of mining into the March quarter of 2018, when we expect to have the Goongarrie Lady and Teal Stage 3 feasibility studies complete for a development decision shortly thereafter.”