THE BOURSE WHISPERER: Blackham Resources (ASX: BLK) announced commencement of open pit mining and underground development work at the company’s Matilda gold project near Wiluna in Western Australia.
Blackham’s open pit contractor, MACA (ASX: MLD) has mobilised the initial mining fleet and commenced mining operations at the Matilda M10 open pit while Pybar Mining Services has commenced underground development at the high-grade Golden Age orebody.
“The commencement of mining represents another significant milestone in the company’s transition from gold explorer to producer at a time of record Australian gold prices,” Blackham Resources managing director Bryan Dixon said in the company’s announcement to the Australian Securities Exchange.
The 5.1 million ounce Matilda gold project has an initial mine life of eight years and growing.
The company said the commencement of wet commissioning of the Wiluna processing plant is on track to begin in August 2016.
The Matilda gold project has an updated Mineral Resource of 48 million tonnes at 3.3 grams per tonne gold 5.1 million ounces, all of which are within a 20 kilometre radius of the company’s 100 per cent-owned Wiluna gold plant that is capable of processing up to 1.7 million tonnes per annum for over 100,000 ounces of gold per annum gold production.
Measured and Indicated resources now total 22 million tonnes at 3.4g/t gold for 2.4 million ounces.