More drilling planned at Gruyere

12th February 2020 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – Gold miner Gold Road Resources has set a production target of between 250 000 oz and 285 000 oz for the Gruyere joint venture (JV), in Western Australia, for 2020.

The gold miner on Wednesday noted that drilling at the Gruyere JV in 2019 resulted in a 1.23-million-ounce increase to the measured and indicated resource, which now stands at 6.1-million ounces, with the total mineral resource standing at 154-million tonnes, grading 1.34 g/t gold for 6.6-million ounces of contained gold, after mining depletion.

“The purpose of our 2019 drilling programme beneath the Gruyere pit shell was to convert inferred resource into indicated resources. The increase in measured and indicated resource by 1.2-million ounces is meaningful and very encouraging,” said Gold Road MD and CEO Duncan Gibbs.

“The Gruyere JV will now move to reviewing reserves with the goal of growing mine life while maintaining a low all-in sustaining cost. 2020 production and cost guidance affirms Gruyere’s position as a tier 1 operation with significant cash generation.

“Our exploration team is well supported as we look to make meaningful discoveries in a surprisingly underexplored part of Western Australia,’ Gibbs said.

An exploration budget of A$26-million has been set aside for the 2020 financial year.