Meeka Metals Kicks Off Processing Plant Commissioning at Murchison
Meeka Metals has begun commissioning its processing plant at the Murchison Gold Project, with ore now feeding into the plant and the first gold pour expected in June 2025.
- Processing plant commissioning underway at Murchison
- Ore feeding into plant and dry commissioning completed
- First gold pour from gravity gold planned for June 2025
- First gold sales and cash flow expected by early July 2025
- Development progressing at Andy Well underground mine for September quarter
Commissioning Milestone Achieved
Meeka Metals Limited has reached a significant operational milestone at its flagship Murchison Gold Project in Western Australia. The company announced that commissioning of its processing plant is now underway, with ore actively being fed into the facility. This marks a critical transition from development to production, as the project moves closer to generating revenue.
Dry commissioning and system testing have been successfully completed, paving the way for wet commissioning; the full operational phase. The first gold pour, derived from gravity gold recovery, is scheduled for June 2025, with initial gold sales and cash flow anticipated in early July. This timeline aligns with Meeka’s strategic plan to ramp up production swiftly following construction.
Strategic Context and Outlook
Managing Director Tim Davidson highlighted the importance of this milestone, noting that it reflects consistent delivery against the company’s development timeline. With the processing plant commissioning underway, Meeka is now focused on maximising the expanded open pit mining opportunities, supported by encouraging drilling results.
Looking ahead, the company is also advancing development at its Andy Well underground mine, with ore expected to be delivered in the September 2025 quarter. This underground operation complements the open pit activities and is integral to Meeka’s 10-year production plan.
Robust Project Fundamentals
The Murchison Gold Project hosts a substantial high-grade mineral resource estimated at 1.2 million ounces at 3 grams per tonne gold. The Definitive Feasibility Study released in December 2024 outlines a production profile averaging 65,000 ounces per annum over the first seven years, with peak annual production reaching 76,000 ounces. Financially, the project forecasts an undiscounted pre-tax free cash flow of approximately $1 billion, an NPV of $616 million at an 8% discount rate, and an internal rate of return of 180%.
These metrics underscore the project’s potential to deliver strong cash flow and shareholder value, contingent on successful commissioning and sustained operational performance.
Next Steps and Market Implications
As Meeka Metals transitions into production, market participants will be watching closely for updates on the first gold pour and subsequent sales. The company’s ability to maintain its development schedule and operational targets will be critical in validating the optimistic projections laid out in its feasibility study.
With commissioning underway and ore now flowing through the plant, Meeka Metals is poised to shift from a junior explorer to a gold producer, a transformation that could significantly alter its market profile and investor sentiment.
Bottom Line?
Meeka Metals’ commissioning progress sets the stage for imminent gold production and a pivotal shift in its growth trajectory.
Questions in the middle?
- Will Meeka Metals meet its targeted gold production volumes in the initial months?
- How will operational costs and recovery rates compare to feasibility study assumptions?
- What impact will the Andy Well underground mine have on overall production and cash flow?