PERTH (miningweekly.com) – The Gruyere gold project, in Western Australia, produced 55 919 oz of gold for its joint venture partners Gold Road Resources and Gold Fields during the quarter ended September.
Gold production for the September quarter was down from the 71 865 oz produced in the June quarter, but in line with the updated quarterly guidance of between 53 000 oz and 57 000 oz, Gold Road said on Friday.
The miner told shareholders that the rate of waste stripping at Gruyere increased during the quarter, with the waste to ore ratio lifting from 1.8:1 to 3.1:1 as the second mining fleet became operational and stripping continued at the Stage 2 pit.
Gold Road noted that while mining costs decreased by A$2.4-million quarter on quarter, as a result of the lower mining volumes, capitalized mining costs increased by A$5.6-million as a result of the greater volumes of pre-stripping in the Stage 2 and 3 cutbacks.
Gold Road’s portion of gold sales for the September quarter reached 31 480 oz, up from the 28 700 oz sold in the June quarter, with the average realised sales price declining slightly from A$2 498/oz to A$2 420/oz.
For the full year, the Gruyere project is expected to produce between 250 000 oz and 270 000 oz of gold, of which Gold Road’s share will amount to between 125 000 oz and 135 000 oz. The company’s all-in sustaining cost for the year is expected to be between A$1 250/oz and A$1 350/oz.