Genesis Mining have announced the results of the drilling program at its Gwalia gold mine near Leonora in WA.
Multiple high-grade drill results confirm Gwalia’s status as a world class gold system with an endowment of 5600 ounces per vertical metre, according to Genesis.
“We are committed to transitioning Gwalia to higher grade, selective mining while we ramp-up the complementary new Admiral open pit mine and new Ulysses underground mine,” Genesis managing director Raleigh Finlayson said.
“This combination will deliver the long-term benefits of more production at lower cost.”
The infill drilling covers a vertical distance of around 200m below the current stopping front, which has a 360m down dip, underpinning the next seven years of mine production.
Genesis plans to focus mining on the higher-grade south-west branch of the mine and de-prioritise the lower grade northern extensions and peripheral mineralisation.
Continued drilling is aimed at “future-proofing” the short, medium and long term mine plan Genesis has set out.
The plan includes medium term growth with a long mine life. In the short term the Gwalia mine is currently producing around 120–130 thousand ounces per year on a stand-alone basis, preceding ore from the Admiral open pit.
Genesis aims to release a five-year outlook for the project in the 2024 March quarter.
The company’s Leonora project near Gwalia consists of the Ulysses, Admiral, Orient Well and Puzzle deposits.
The current mineral resource of the Leonora gold project stands at 39.3 mega tonnes at 1.6 grams per tonne of gold for two mega ounces. This provides a strong foundation for Genesis’ development as a future mid-tier Australian gold company.
Genesis is maintaining an aggressive drilling program across the Leonora gold project thanks to the company’s two-pronged strategy of exploration and regional acquisition over the past few years.