Perth-based gold production company Navigator Resources (ASX:NAV) has reported September quarter gold production of 18,608oz at the Bronzewing Gold Project, 63% higher than the June 2010 commissioning quarter and 17% less than budgeted.
In addition, the company has finalised slip cleanup procedures following the Central Pit partial wall failure on September 22, expecting completion by the end of October.
Procedures were decided in consultation with its geotechnical consultant and personnel from the Department of Mines and Petroleum.
The Central Pit is located within the Bronzewing Gold Project, located 960km northeast of Perth, which recommenced production in April.
Routine ore mining activities will resume upon completion of the cleanup and short term ore supply is being maintained from the Central, Success and Challenger South pits.
Excavator and truck activities subsequently commenced on Tuesday, 5 October 2010 and double shift mining commenced on Wednesday, 6 October 2010.
David Hatch, managing director, said NAV is aiming to produce 7,000oz of gold during October whilst slip cleanup is undertaken, then continue its production ramp up through November and December.
NAV will commence drill testing two of its top ranked exploration targets in close proximity to Bronzewing during October 2010. Program of Work (POW) approvals have been received for drilling at the Eagle and Woorana prospects.
RC drill testing of the Woorana prospect is scheduled to commence in late October. The program will follow up on previously shallow, high grade RC (4m @ 56.9g/t Au from 24m) and aircore (9m @ 5.52g/t Au from 9m and 6m @ 7.2g/t Au from 12m) drill holes.
Aircore drill testing will commence at the 5km long Eagle soil anomaly in the week beginning 11 October 2010. In addition, RC drill holes are scheduled later in the month to test a previous RAB hole intercept of 9m @ 4.8g/t Au from 78m.
The company aims to receive initial drill assays by the end of October 2010 and will communicate these as they become available.
Navigator has also elected to roll over the existing debt facility with RMB Resources Limited for a further nine months, until 30 June 2011. The current outstanding amount of the facility is $15.187 million.