PERTH (miningweekly.com) – The Tomingley gold project, in New South Wales, has met its production guidance for 2020, with owner Alkane Resources on Tuesday reporting that the project had produced 33 507 oz of gold during the full year ended June.
This was in line with the target of between 30 000 oz and 35 000 oz.
“The team at Tomingley gold operations continues to perform very well, consistently meeting or exceeding guidance. With an updated mine plan soon to be released and the great potential being shown very close to the mine, through our exploration at Roswell and San Antonio, we remain buoyant about the longer-term prospects at Tomingley,” said MD Nic Earner.
Earner noted that the strong 12 months performance at Tomingley coincided with a 25% appreciation in the Australian gold price and the company’s progress towards a demerger of its subsidiary Australian Strategic Materials (ASM) into a separately listed entity.
If the demerger is approved, eligible shareholders will receive one ASM share for every five Alkane shares held on the record date, with shareholders outside of Australia and New Zealand having their ASM allocations transferred to a sale agent, who will sell the shares once listed on the ASX and remit the net proceeds of the sale to the relevant shareholders in cash.
Alkane’s unaudited cash, bullion and listed investments were worth some A$98.4-million at the end of June, comprising A$66.9-million cash, A$5.8-million in bullion in hand, and A$25.7-million of listed investments.