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Silver Lake approves new underground mine

Silver Lake approves new underground mine

Photo by Bloomberg

25th October 2019

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

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PERTH (miningweekly.com) – The board of gold miner Silver Lake Resources has approved the A$4.1-million spend to develop the Santa underground mine at the Mount Belches mining center, in Western Australia.

Santa will increase the available shallow, high-grade ore sources at Mt Monger and will be the third shallow, high-grade underground mine at the Mt Belches mining center.

The project is estimated to host some 29 000 oz of reserves and a mineral resource of some 454 000 oz, with Silver Lake telling shareholders that continuing drilling had the potential to convert existing mineral resources into reserves.

Construction activities of the underground operation are expected to take two months to complete, and the underground mine development will start in the fourth quarter of 2020.

Santa is expected to deliver some 1 800 oz of gold in the 2020 financial year, and a further 26 000 oz in 2021.

Production from the greater Mt Belches mining center is expected to increase to between 70 000 oz and 75 000 oz a year with the three operating mines.

Edited by Creamer Media Reporter

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