THE BOURSE WHISPERER: Life as a gold producer seems to be suiting Doray Minerals (ASX: DRM) with the company announcing record monthly gold production its 100 per cent-owned Andy Well gold project, in the northern Murchison region of Western Australia.
Doray achieved production of 10,591 ounces for the month of May at Andy Well based on processing 28,600 tonnes with a head grade of 11.96 grams per tonne gold.
Doray indicated that a substantial contribution towards the production ounces came from the high-grade Wilber Lode stage 2 open pit, which despite incurring a delayed start due to an increase in its size, mining had caught up to the original schedule and the pit is now delivering a mine grade of approximately 20g/t gold.
“The Stage 2 open pit, as predicted 12 months ago, is having a positive impact on production and costs and is currently delivering above expectations,” Doray Minerals managing director Allan Kelly said in the company’s announcement to the Australian Securities Exchange.
Doray went on to say that, following completion of mining of the stage 2 open pit, open pit production will continue from the recently announced high-grade Suzie Lode open pit.
Pre-stripping of the Suzie open-pit has commenced and Doray expects the additional high-grade open pit material to have an ongoing positive impact on production and costs in the 2016 financial year.