Aguia Resources has initiated gold sales from its Santa Barbara Project in Colombia, marking a significant step as the company ramps up production and advances operational capacity.
- First gold sales generate approximately A$193,000
- Government certification completed, enabling streamlined future sales
- Underground mining and processing capacity ramping up to 50 tonnes per day
- Flotation test work underway to enhance gold concentrate production
- Recent drilling activities support growth and development plans
Gold Sales Commence at Santa Barbara
Aguia Resources Limited (ASX: AGR) has taken a pivotal step in its transition from exploration to production with the commencement of gold sales from its 100% owned Santa Barbara Project in Colombia. The company reported receiving approximately A$193,000 from initial gold production, following a rigorous government certification and auditing process that took several weeks to complete. This certification now paves the way for a more streamlined sales process for future gold production.
Operational Ramp-Up and Capacity Expansion
Since recommissioning in December, the Santa Barbara Project has been steadily increasing its underground mining activities and processing throughput. The current processing plant capacity stands at 30 tonnes per day, with recent installations of additional agitation tanks aimed at boosting this to 50 tonnes per day. The company anticipates that it will take a few more weeks to fully ramp up underground operations to match this increased processing capacity.
Operational focus remains on enhancing productivity through improved mining scheduling, extraction methods, and the introduction of mechanised equipment to complement manual labour. The expansion includes the construction of new underground workings, such as the Mariana adit, which will support and complement existing mining activities.
Innovations in Processing and Product Strategy
Aguia is also advancing flotation test work on the Santa Barbara material, aiming to produce a rich gold concentrate. The fine-grained nature of the gold, closely associated with sulphide minerals like sphalerite, galena, and pyrite, suggests that flotation could be a feasible method to enhance recovery. Depending on test outcomes, flotation could be integrated into the processing plant, potentially increasing capacity beyond the current 50 tonnes per day.
In parallel, the company is engaging with local and international refineries to establish a robust sales and export framework. An export license application is underway, providing an alternative to domestic sales and broadening market access for the gold produced.
Leadership Perspective and Future Outlook
Executive Chairman Warwick Grigor expressed optimism about the company’s progress, highlighting the achievement of first gold sales despite the initial compliance hurdles. He emphasized the low capital costs and rapid development timeline, positioning Aguia to exceed initial design production levels as development accelerates. The recent commencement of drilling activities further underscores the company’s commitment to growth and resource expansion.
As Aguia moves from a 'can-do' exploration mindset to delivering tangible production results, the Santa Barbara Project stands as a promising asset in the company’s portfolio, with potential to contribute steadily to revenue streams and shareholder value.
Bottom Line?
Aguia’s successful gold sales and operational ramp-up signal a promising shift towards sustained production and growth at Santa Barbara.
Questions in the middle?
- How quickly can Aguia scale production beyond 50 tonnes per day?
- What will be the impact of flotation processing on gold recovery and costs?
- How will export licensing influence sales volumes and pricing strategies?