Red 5 lowers expectations at Darlot
PERTH (miningweekly.com) – Gold miner Red 5 has adjusted its production expectations for the Darlot gold mine, in Western Australia.
The ASX-listed miner is now expecting gold production to reach between 74 000 oz and 78 000 oz in 2021, down from the previous estimate of between 80 000 oz and 85 000 oz.
Meanwhile, all-in sustaining cost forecasts at the project have increased to between A$2 240/oz and A$2 290/oz, up from the previous estimate of between A$2 150/oz and A$2 280/oz.
The miner told shareholders that labour availability at both the Darlot underground mine and the Great Western openpit mine had continued to impact production.
During the March quarter, the company started mining at the Great Western mine, however, owing to a shortage of machine operators and truck drivers, the contractor has been unable to ramp up mining activities at the planned rate, meaning the delivery of higher-grade ore to the Darlot mill has been delayed into 2022.
“Red 5 continues to make excellent progress on the King of the Hills gold project, however, we continue to face challenges at our Darlot gold mine. The difficulty sourcing skilled labour for both Darlot and our new Great Western mine has impacted our ability to achieve our 2021 production guidance,” said MD Mark Williams.
He noted that the King of the Hills project remained on schedule and on budget, with gold production expected in the June quarter of 2022.
Comments
The
functionality
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation