The Wiluna gold miner pointed out free-milling gold production is the pre-curser to the company's overall plan to unlock the value associated with the sulphide refractory mineralisation.
In total Blackham has 6.7Moz of resources at Wiluna.
Production in the current financial year is put at 77,000-89,000oz at all-in sustaining costs of A$1250-1450 per ounce.
The year got away to a slow start with 19,049oz produced in the September quarter at AISC of $1588/oz.
However, 7355oz of that total was produced in the month of September, including 2127oz in the final week.
Shares in Blackham were up 4% to 4.7c in morning trade, capitalising the company at $63 million.
Net debt at the end of last month stood at $11 million.