PERTH (miningweekly.com) – A feasibility study into the expansion of the Ravenswood gold mine, in Queensland, has extended the mine life by another 13 years, to 2029.

Gold miner Resolute Mining said on Wednesday that the expansion project feasibility study estimated that average yearly gold production of 120 000 oz could be achieved, with the capital investment tipped at A$134-million for prestripping, and staged processing plant expansion to five-million tonnes a year from the 2.8-million-tonne-a-year capacity at the end of October this year.

However, since the development will be staged, no immediate capital expenditure will be required during the 2017 financial year.

The expansion study defined Resolute’s plans to complete mining at the Mt Wright underground mine, and extend mining operations at Ravenswood by restarting openpit mining at the Nolans East, Sarsfield and Buck Reef West pits.

Resolute MD and CEO John Welborn described the completion of the study as a "tremendous achievement".

“A year ago we were facing the prospect of closing our operations at Ravenswood when the Mt Wright underground reserves were exhausted. We now look forward with confidence to a highly profitable 13-year mine life at Ravenswood as we return to openpit mining at Sarsfield and Buck Reef West.”

Welborn noted that the expansion project would also secure the future employment of the 280 permanent employees and contractors at Ravenswood, and could lead to a number of new jobs in the region.

“Combined with the 12-year mine life at Syama, Resolute’s gold business now possesses a combination of longevity and scale unrivalled amongst our peer group.”

Resolute is now working with the Queensland government to achieve an amended environmental authority for the Sarsfield openpit by late 2016. This is the final approval required to allow mining activities to restart at the pit.

The miner has also started the formal approvals process for the Buck Reef West project, all of which are likely be obtained by mid-2018.