Gold Road Resources Limited (ASX: GOR) has provided a preliminary production and financial update for the March 2022 quarter.
The Gruyere JV is a 50:50 joint venture with Gruyere Mining Company Pty Ltd, a member of the Gold Fields Ltd group which manages and operates the Gruyere gold mine. Further details will be available in the full March 2022 quarter report scheduled for release later this month.
March Quarter Production
- Gruyere produced 71,135 ounces of gold (100% basis) during the quarter (December quarter: 67,813 ounces), in line with expectations.
- Gruyere ore tonnes processed totalled 2.1 Mt at a head grade of 1.17 g/t Au and a gold recovery of 91.0%.
- Two scheduled plant shutdowns for relines of the SAG and ball mills were successfully completed during the quarter.
- Production rates will increase through 2022 in line with annual guidance of 300,000-340,000 ounces (150,000 – 170,000 ounces attributable). Both process plant throughput and head grades are anticipated to improve through the year as guided.
- During the quarter, Gold Road reported total attributable Mineral Resources of 102.2 million tonnes at 1.43 g/t Au for 4.71 million ounces and attributable Ore Reserves of 54.6 million tonnes at 1.27 g/t Au for 2.23 million ounces.
- Gold Road and Gruyere have to date had no material impact on operations from COVID-19.
Financial and Corporate
- Gold Road’s gold sales totalled 35,080 ounces at an average price of A$2,434 per ounce and included delivery of 8,700 ounces at an average price of A$1,911 per ounce into forward sales contracts.
- The company ended the quarter in a strong position with cash and equivalents2 of $139.9 million (December quarter: $135.5 million) and no debt, after payment of $6.4 million in tax payments attributable to the prior period as guided in the last quarterly report.
Discovery
- Gold Road currently has three drillrigs operating at Yamarna (100%) as the Company continues to actively explore for a meaningful discovery.
