Horizon Mines 1.24Mt Ore, Pours First Gold Bar at Boorara Project
Horizon Minerals has poured its first gold bar from the Boorara Gold Project, initiating production under a key ore sale agreement and setting the stage for a sustainable gold pipeline.
- First gold pour achieved at Boorara Gold Project on 14 January 2025
- Ore Sale Agreement with Norton Gold Fields’ Paddington Mill for 1.24Mt over 18 months
- Mining progressing despite schedule delays due to equipment repairs
- Project targets 49.5koz gold from 1.24Mt ore at 1.24g/t grade
- Cash flow from Boorara to support further projects and merger with Poseidon Nickel
A New Producer Emerges
On 14 January 2025, Horizon Minerals Ltd (ASX: HRZ) celebrated a significant milestone with the first gold pour from its Boorara Gold Project. This event marks Horizon’s transition from development to production, positioning the company as one of Australia’s newest gold producers in 2025. The pour was conducted under an Ore Sale Agreement with Norton Gold Fields’ Paddington Mill, which will process 1.24 million tonnes of ore over the next 18 months.
Ore Sale Agreement and Production Details
The agreement with Paddington Mill is central to Horizon’s strategy, allowing the company to leverage existing processing infrastructure rather than investing heavily in its own mill. The Boorara project comprises four open pits containing 1.24Mt of ore at an average grade of 1.24 grams per tonne, expected to yield approximately 49,500 ounces of gold. The first stockpile of around 56,654 wet metric tonnes was hauled to Paddington in December 2024, with ongoing deliveries continuing into January 2025.
Operational Challenges and Progress
While mining operations are progressing safely, Horizon has reported some delays primarily due to dust suppression equipment being temporarily out of service. Water trucks essential for dust control were under repair but have since been restored to operation. Despite these setbacks, the company has met 50% of its delivery schedule and has agreed on the first invoice estimate with Paddington, with payments expected imminently.
Strategic Outlook and Growth Pipeline
Managing Director and CEO Grant Haywood emphasized the broader vision beyond Boorara. With a mineral resource base of 1.8 million ounces across multiple projects, Horizon is building a sustainable production pipeline. Upcoming projects like Penny’s Find and Cannon are poised for final investment decisions, and the company plans to use cash flow from Boorara to support these developments. Notably, Horizon aims to feed a refurbished Black Swan mill following a proposed merger with Poseidon Nickel Limited, signaling ambitions to expand and diversify its operations.
Looking Ahead
The first gold pour is a tangible proof point for Horizon’s strategy and operational capabilities. However, the company will need to maintain momentum in mining and haulage to meet production targets and financial expectations. The success of the Boorara project will be critical in underpinning Horizon’s growth trajectory and its ability to execute on future projects and corporate initiatives.
Bottom Line?
Horizon’s first gold pour is just the opening act in its quest to become a sustainable mid-tier gold producer.
Questions in the middle?
- How will Horizon manage operational delays to maintain its production schedule?
- What are the financial implications of the ore sale agreement on Horizon’s cash flow?
- How will the proposed merger with Poseidon Nickel impact Horizon’s strategic direction?
