September special for Dacian

DACIAN Gold has put its poor June quarter behind it with a bumper result for September of 42,002 ounces, at an all-in-sustaining-cost of $1423 per ounce, from its Mt Morgans gold mine in Western Australia’s northern Goldfields.
September special for Dacian September special for Dacian September special for Dacian September special for Dacian September special for Dacian

Dacian's holdings

Total production of 655,000 tonnes grading at 2 grams per tonne gold for 41,429oz came primarily from the Jupiter open pit (49%) and Westralia underground (51%); with 453,000t grading 1.5gpt for 21,255oz from Jupiter and 202,000t grading at 3.1gpt for 20,175oz from Westralia.

At Mt Morgans' 2.5 million tonne per annum carbon-in-leach treatment plant a record 270,425t was processed during the quarter, at a rate of 3.3Mtpa, which is more than 30% above nameplate.

Dacian Gold executive chairman Rohan Williams said the focus was firmly on delivering the stated production guidance of 150,000-170,000oz, at an AISC of $1400-1500/oz in 2020.

Brought into production at the start of the year, Mt Morgans has ore reserves of 1.4 million ounces and resources of 3.5Moz.

In line with guidance, September quarterly production lifted Dacian's balance sheet by more than $20 million.

Williams said the operational cash flow injection saw the company's cash and equivalents balance rise to $54 million, after it paid back bank debts of $10.8 million.

He said the recently announced maiden resource estimate over the Phoenix Ridge deposit, of 125,000oz at 8.1gpt gives Dacian a real opportunity to bring on another production source with high grade in the near future.