02 Oct Wiluna green lights sulphide expansion program
Republished from businessnews.com.au
Wiluna Mining Corporation has given the green light on the expansion of processing operations at its world-class gold mine and is poised to increase production to more than 100,000 ounces of gold per annum. The increase will flow from the construction of new sulphide concentrator at the operation to produce a second product stream for sale into the growing global gold-in-concentrate market.
Wiluna’s board have pushed the button on the Stage 1 sulphide development program and have wasted no time in awarding industry stalwarts GR Engineering the contract to oversee the engineering, procurement and construction, or “EPC” of the new concentrate circuit.
The decision marks a critical step forward as the company chases down its ultimate ambition of establishing a long-life mine in WA’s northern goldfields.
It has also laid out a development schedule of the new sulphide circuit, with the final construction agreement expected to be put in place at the beginning of December 2020 through to final commissioning in September 2021.
Wiluna’s estimated budget for the concentrator component of the Stage 1 program comes in at around $26 million and is fully funded following the recent hedging arrangements put in place by the company. Funding includes the establishment of a $21 million drawdown facility with international commodity trader Mercuria Energy Trading and hedging of over $90 million of the company’s future gold production – Wiluna is also sitting pretty on around $15 million in cash generated from ongoing production.
Read the full article on businessnews.com.au
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