PERTH (miningweekly.com) – Gold miner Saracen Mineral Holdings has reported a 20% increase in its gold reserves, which are now estimated at 2.5-million ounces.
The company said on Wednesday that the new reserve estimate underpinned a mine life of at least seven years, based on the mid-point production guidance of 325 000 oz to 345 000 oz for the 2019 financial year.
A total mineral resource of 8.6-million ounces, as well as significant exploration upside, could see the potential to establish a mine life of more than ten years, the company said.
“We have posted record production of 316 453 oz for the past financial year, which exceeded our guidance. And we increased our guidance for this financial year to 325 000 oz to 345 000 oz,” said Saracen MD Raleigh Finlayson.
He said that the reserve increase showed that Saracen was on track to continue to grow its mine life and production from organic sources immediately adjacent to the mills, and was doing so at a cost of only A$25 a reserve ounce.
“With almost nine-million ounces in resource and drilling generating strong results across our assets, we are confident of achieving our objective of becoming a 400 000 oz/y gold producer with long mine life,” said Finlayson.