Name of the Project
Davyhurst gold project.

Location
The project is located within the Eastern Goldfields of Western Australia.

Project Owner/s
Ora Banda.

Project Description
Ora Banda plans to restart production at the Davyhurst project. The project comprises the deposits of Riverina, Waihi, Siberia (including Sand King and Missouri) Callion and Golden Eagle.

Underpinned by pre-existing infrastructure, including a conventional carbon-in-pulp process plant, a definitive feasibility study (DFS) has confirmed that Ora Banda can undertake a rapid and low-capital path to achieving sustainable gold production at Davyhurst.

The various ore deposits that will feed the Davyhurst processing plant have estimated ore reserves of 6.1-million tonnes of ore, grading 2.4 g/t of gold for 460 000 oz of contained gold, providing a mine life of more than five years.

Mining will be undertaken by conventional opencut and underground methods. The primary underground mining method will be sublevel open stoping using up-hole benching.

Ore will be trucked from the five mine sites to a central 1.2-million-tonne-a-year processing facility at Davyhurst.

A conventional three-stage gold crushing circuit, followed by a carbon-in-pulp processing plant, will produce gold doré bars.

Gold doré bars will be transported to the Perth mint for refining and sale.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at a 6% discount rate, of A$137.4-million and an internal rate of return of 109.3% in the base case, with a payback of 14 months.

Capital Expenditure
Preproduction capital expenditure is estimated at A$45.1-million, including contingencies.

Planned Start/End Date
Plant commissioning is expected to start in the fourth quarter of 2020, with first gold-pour targeted for the first quarter of 2021.

Latest Developments
Development activities will start immediately and will focus on the final piece of refurbishment of the Davyhurst plant, together with early works for mine development, at the Riverina openpit and Golden Eagle underground mines.

Meanwhile, contract miner GR Engineering has been awarded a A$10.8-million contract from Ora Banda to restart operations at the Davyhurst gold processing plant.

The scope of the contract will include the refurbishment, optimisation and recommisisoning of the existing 1.2-million-tonne-a-year processing plant, borefield and associated infrastructure.

Work will start immediately and will be completed by the first quarter of 2021.

Key Contracts, Suppliers and Consultants
Ora Banda Mining and GR Engineering Services (DFS).

Contact Details for Project Information
Ora Banda, tel +61 8 6365 4548 or email admin@orabandamining.com.au.