Dacian Gold Ltd. said Jan. 9 that it achieved commercial production at the Mount Morgans gold mine in Western Australia on Jan. 1, after the combined mining rates across the operation reached feasibility study design levels in the December 2018 quarter.
Gold output from the mine in the quarter totaled 37,930 ounces, in line with its guidance of progressively increasing output throughout its fiscal 2019 and up 30% from the September 2018 quarter. During the period, gold poured totaled 38,479 ounces.
Underground mining has started at the Beresford South, Beresford North and Allanson declines at Westralia. In addition, higher grade ore in the Cornwall Shear zone of the Jupiter open pit is projected to be mined later in the March quarter.
In December 2018, the company said the ore reserve for Mount Morgans increased 16% to 1.4 million ounces contained in 26.7 million tonnes grading 1.6 g/t gold.