THE Ballarat Gold Project last year produced $43.4 million worth of gold revenue in its first full year of operation by Castlemaine Goldfields, now fully owned by Singapore-based LionGold Corp Ltd.
The mine produced 27,512 ounces of gold, with 146,000 tonnes of gold bearing ore processed at an average grade of 7.4 grams per tonne, with gold recovery at 86 per cent. It is also expected to produce between 40,000 and 50,000 ounces of gold this year.
LionGold Corp Ltd chief executive officer Nicholas Ng said the Ballarat mine had made the transition from explorer to producer.
“With the successful ramp-up complete, LionGold has demonstrated its ability to identify and acquire gold projects which build value for our shareholders,” Mr Ng said.
“We look forward to providing updates on the group’s other projects as these are progressed.”
Under Castlemaine Goldfields, the Ballarat Gold Project poured its first gold bar in September, 2011.
The mine then embarked on a six- to nine-month production ramp-up.
It followed a turbulent time in the mine’s history after former owners Lihir Gold put it on the market in March, 2010 due to underperformance.
Castlemaine Goldfields bought the mine for $4.5 million, with 90 workers losing their jobs.
However, since a ramp-up of production early last year, the company began recruiting again.
In November 2007, a mineshaft collapse also trapped 27 miners below ground while Lihir Gold was forced to cut 400 jobs in 2009.
The Ballarat Gold Project is 18 kilometres long, with its main lode, the Mako Lode, located under Llanberris Reserve.firstname.lastname@example.org