Focus Minerals Ltd (ASX:FML): Crescent Gold (ASX:CRE) Produces 21,915Oz for the September Quarter; Hits Market Guidance
Perth, Oct 17, 2011 AEST (ABN Newswire) - Focus Minerals Limited (
ASX:FML) says today that Australian gold producer, Crescent Gold Limited (ASX:CRE) (TSE:CRA) has hit its market guidance for the September Quarter, producing 21,915 ounces of gold from its operations at the Laverton Gold Project.
With production commencing at its Mary Mac Hill deposit, and accelerating its newly developed Fish operation, Crescent processed 504,288 tonnes of ore at an average grade of 1.5g/t over its 39 day campaign at Barrick Granny Smith (BGS) under its Ore Purchasing Agreement. It achieved an average gold price of $1,660 to deliver net revenue of $36.6 million.
"This is an outstanding result reflecting the great work done by the operating team in the effective development of our new open pit operations at both Mary Mac Hill and Fish," said Crescent Gold Managing Director Mark Tory.
"Both Mary Mac and the newly developed Fish operations are now in full production mode to the extent that we already have 300,000 tonnes of ore stockpiled at Barrick Granny Smith in preparation for the December quarter processing campaign (Campaign 9)".
Campaign 9 is planned to run for 32 days and it is forecast that between 17,000 and 19,000 ounces will be produced.
Focus Minerals Limited successfully completed its off-market takeover of Crescent Gold earlier this month. The offer was strongly supported with 82.5% shareholder acceptance.
Campbell Baird, Focus' Chief Executive Officer, said the team at Crescent had delivered an outstanding Quarter, and laid the foundation for strong production in the December and March Quarters.
"This has been an excellent achievement and the planning is well advanced for subsequent campaigns," said Mr Baird.
Later this month the Crescent team will mobilise a fourth digging fleet to commence mining at the Apollo deposit providing three separate ore sources in the lead up to the commencement of campaign 10 starting in early January 2012.
"Apollo is a really exciting area for future production growth with a number of targets running to the north and south through the Chatterbox shear which we expect to become a major future source of production for the group," Mr Baird said.
Crescent announced a maiden 54,000oz proved and probable reserve at Apollo earlier in the year. The Apollo pit, which is currently planned to be up to 1.5km long, is situated on the Chatterbox shear zone some 7km to the west of the Laverton. Crescent also holds tenements along some 30km of the Chatterbox shear zone.
Production commenced in the September Quarter from the Mary Mac Hill deposit which has a probable reserve of 306,000t @ 1.8g/t for 18,000oz and continued at the recently developed Fish pit with a probable reserve of 292,000t @ 3.5g/t for 33,000oz.
This was Crescent's eighth quarterly campaign under the OPA with Barrick Granny Smith.
About Crescent Gold
Crescent Gold Limited is an Australian gold producer operating the Laverton Gold Project, located 250km northeast of Kalgoorlie in Western Australia. The Company maintains a dominant land position of more than 1,200km2 of highly prospective tenements in a world recognised and well-endowed mineralised geological domain. The Company has 26.5Mt of Measured, Indicated and Inferred Mineral Resources that contain more than 2.1Moz of gold, and a Proved and Probable Ore Reserve position of 381,000 ounces (both as at 30 June 2011).
About Focus Minerals Ltd
With over 3.8Moz of Mineral Resource, Focus Minerals Limited (ASX:FML) has a highly strategic portfolio of assets across Australia's two leading gold producing districts – the Kalgoorlie/Coolgardie belt and Laverton – and the financial muscle to continue to unlock further potential for growth.
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