Gold Road Resources Ltd (ASX:GOR) and Gruyere Mining Company Pty Ltd have completed the final components of the process plant commissioning including the gravity circuit and ball mill at the Gruyere Gold Project in WA.
Commercial production is expected to begin midway through the six to seven-month ramp-up period with cost guidance to be reviewed when commercial productions begins.
The Gruyere project is about 200 kilometres east of Laverton in Western Australia’s Goldfields and is a global tier-1 gold mine, with a long operating life and forecast high margins.
Life-of-mine average annual production is forecast at around 300,000 ounces per annum at an average all-in sustaining costs over a 12-year life of about $1,025 per ounce.
Last month the company produced more than 1,100 ounces of gold worth more than $2 million in its first gold pour.
The three gold bars totalling an estimated 1,139 ounces were produced from the carbon-in-leach (CIL) and elution circuits.
Gold Road also reached another milestone in the same week by becoming the Australian Securities Exchange’s newest $1 billion company.
Shares needed to reach $1.14 for the company to reach a $1 billion market capitalisation and shares reached beyond that amount, trading up to $1.18 – a new high for the company.
At the time, Gold Road’s managing director Duncan Gibbs said: “This is a tremendous milestone given that the Gold Road team discovered the world-class ore body less than six years ago.”