Manuka sets July records

MANUKA Resources has set new production and profit records at its Mt Boppy operations in New South Wales’s Cobar Basin in July.
Manuka sets July records Manuka sets July records Manuka sets July records Manuka sets July records Manuka sets July records

Mt Boppy has about five months of life left

Haydn Black

Reporter

Gold production rose to 2378 ounces, with 2061oz of associated silver, bringing A$5.8 million through the door. 
 
After costs of $3.9 million, it delivered a profit for the month of $1.75 million.
 
After a weather impacted June quarter, where production was 4965oz gold due to a wet month of June, Manuka said the September quarter was off to a strong start, with the company optimistic it can continue the momentum until the end of the year.
 
The company has been working to ensure mining activities at Mt Boppy are now about two months ahead of haulage.
 
There are three drill and blast programs remaining for the current pit-design, which should help recover an additional 10,000oz gold, for some 31,000oz from phase one.
 
Early next year, Manuka it expects to switch from the mine to silver production from existing ROM stockpiles at the Wonawinta mill, while the exploration focus at Mt Boppy will continue.
 
The main Wonawinta silver stockpile contains 515,000 tonnes grading 70 grams per tonne. There is a further 200,000t stockpiled near the plant. 
 
Once the processing is complete, mining will target the multi-million ounce silver deposit.
 
The Wonawinta processing plant has a nameplate capacity of 850,000tpa.
 
The company ended the June quarter with $1 million cash and debts of $16 million. 
 
Manuka shares, which have traded between 25-71c over the past year, were up 4% in early trade to 27c, valuing the company at $70 million.