PERTH (miningweekly.com) – Gold miner Silver Lake Resources has reported a 23% increase in gold sales for the quarter ended December, compared with the previous quarter, as gold production surged.
During the three months under review, Silver Lake produced 38 171 oz of gold, compared with the 29 267 oz delivered in the previous quarter, taking the year-to-date production to 67 438 oz.
The 30% production increase was driven by higher quarter-on-quarter average milled grade at the Mount Monger operation, in Western Australia, which resulted from run-of-mine material from the Lucky Bay and Santa Area openpits replacing low-grade stockpiled ore in the mill feed.
The Daisy Complex underground mine delivered 18 969 oz during the quarter, while the Cock-eyed Bob underground mine delivered 3 371 oz of gold. Mining at the Lucky Bay and Santa Area openpits reached full production levels in the quarter, with the mines delivering a combined 17 485 oz, a 242% increase on the previous quarter.
The higher average mill feed grade also resulted in a 5% decrease in all-in sustaining costs (AISC), Silver Lake said, with the miner reporting AISC of A$1 250/oz during the quarter.
Silver Lake told shareholders that 37 191 oz of gold was sold during the quarter ended December, at an average price of A$1 560/oz, to generate revenue of A$58-million.