Mt Malcolm Mines NL reports a successful quarter with 122.4 ounces of gold doré produced from its Golden Crown Prospect, generating AUD$449,194 in revenue and confirming high-grade mineralisation.
- Produced 122.4 ounces of gold doré from 612 WMT of mineralised material
- Generated AUD$449,194 in revenue from gold sales to The Perth Mint
- Rock chip assays confirm ultra-high-grade gold up to 458.39 g/t Au
- Bulk sampling program ongoing to optimise metallurgy and mining parameters
- Plans to complete bulk sampling and evaluate stockpile monetisation in next quarter
Strong Gold Recovery at Golden Crown
Mt Malcolm Mines NL (ASX:M2M) has delivered a robust update for the December 2024 quarter, highlighting significant progress in its bulk sampling program at the Golden Crown Prospect within the Malcolm Project in Western Australia's Eastern Goldfields. The company successfully produced its first gold doré bars, recovering a total of 122.4 ounces (3,809 grams) of gold from 612 Wet Metric Tonnes (WMT) of high-grade mineralised material. This milestone not only validates the effectiveness of their wet gravity recovery methods but also generated AUD$449,194 in revenue through sales to The Perth Mint.
Confirming High-Grade Mineralisation
Geological sampling and assay results underpin the economic potential of the Golden Crown Prospect. Rock chip samples revealed exceptional grades, with assays reaching as high as 458.39 g/t Au, confirming the presence of ultra-high-grade gold zones. Visible gold was identified within quartz veins and sheared intermediate volcanic rocks, supporting the coarse nature of the mineralisation. These findings align well with prior drilling results and enhance confidence in the resource model.
Efficient Processing and Metallurgical Insights
The bulk sampling program utilises a gravity gold recovery process involving crushing, sluicing, hydro-cycloning, and Knelson concentration to effectively liberate and recover gold particles. The process flow sheet demonstrates a well-engineered approach to maximise recovery from coarse and fine gold fractions. The gold doré bars produced exhibited purity ranging from 85.6% to 93.2% Au, reflecting the quality of the recovered product.
Ongoing Exploration and Future Plans
Mt Malcolm Mines is continuing its bulk sampling to further assess and optimise extraction from shallow, high-grade zones. The company plans to complete the current program in the coming quarter, alongside evaluating options to monetise stockpiled low- and medium-grade material. Additional drilling is also planned to expand known mineralisation and support forthcoming resource estimations. These steps are critical to de-risking future mining operations and advancing the project towards development.
Financial Position and Operational Outlook
While exploration and evaluation expenditures remain significant, the revenue generated from gold sales provides a positive cash inflow. The company reported a net cash position of AUD$290,000 at quarter-end, with ongoing financing arrangements in place. Management expresses confidence in sustaining operations and securing additional funding if required, balancing exploration ambitions with prudent financial management.
Bottom Line?
Mt Malcolm’s Golden Crown progress signals a promising path toward resource definition and commercialisation, but sustaining momentum will require careful capital management.
Questions in the middle?
- How will Mt Malcolm prioritise resource expansion versus stockpile monetisation in the next phase?
- What are the anticipated costs and timelines for scaling from bulk sampling to full mining operations?
- How might fluctuating gold prices impact the company’s revenue projections and funding strategies?