PERTH (miningweekly.com) – Gold miner Troy Resources has reported another solid quarter in the three months to March, producing 13 333 oz, compared with the 14 227 oz produced in the previous quarter.
Gold sales for the same period declined from 17 712 oz to 14 124 oz, with cash costs declining from $891/oz to $822/oz. All-in sustaining costs for the same period were up slightly from $1 141/oz to $1 239/oz.
“Operations for the March quarter, as measured by tonnes moved, ounces produced and operating costs, were in line with expectations,” said Troy CEO and MD Ken Nilsson.
He told shareholders on Monday that progress was made at the Smarts 3 cutback during the period, with access to the higher grade Smarts 3 ore expected to impact production and cost metrics from July.
For the June quarter, Troy has set a production target of between 12 000 oz and 13 000 oz, with full-year production expected to reach between 58 000 oz and 60 000 oz.
The production forecast does not include any contribution from the Ohio Creek prospect.
Nilsson noted that the gold mineralisation at Ohio Creek now extended for around 950 m, and was still open in all directions, with Troy banking on the project becoming a new mining operation in due course, given its high grades, significant width and various shallow occurrences.
“We anticipate that the diamond drilling campaign that commenced in April will significantly add to our understanding of the geology at Ohio Creek and the occurrence of gold,” said Nilsson.