PERTH (miningweekly.com) – Gold miner Resolute Mining on Friday reported that significant potential enhancements to the Ravenswood expansion project has already been identified, following the start of a strategic review into the expansion project.

The initial focus of the review is to enhance the project economics by pursuing reductions in capital and operating costs, and will also assess the potential for further growth through processing expansions, mine life extensions, and increased production capacity.

Resolute told shareholders that ongoing work at the Raveswood operation, in Queensland, has identified new exploration targets along with opportunities for plant expansions and improved environmental outcomes.

The company was hoping to capture these enhancements and incorporate them into an updated life-of-mine plan, which will be finalised during 2019.

The Ravenswood expansion project would deliver 1.5-million ounces of gold over a 13-year mine life, at all sustaining costs of A$1 097/oz and an average gold production of around 115 000 oz/y.

The Ravenswood expansion project would extend mining at the gold mine until at least 2032.

“We have a commitment to continual improvement of our assets through exploration, adopting available technologies and disciplined investment in operational expansions and improvements,” said Resolute MD and CEO John Welborn.

“In July 2018, when we published the updated Ravenswood expansion plan, we advised that we planned to intensify our efforts to identify further cost saving and revenue enhancements as our plans at Ravenswood develop. We are now ready to incorporate additional advantages and opportunities into our development plan.”

In the meantime, Resolute on Friday also announced an agreement with the Queensland Department of Education to fund the relocation and construction of a new state school at Ravenswood.

The cost of the school is slightly less than the capital budget allocated within the expansion project study.

Construction activities on the school will start in 2019, with a targeted opening for mid-2020.