Meeka Metals is set to increase gold processing capacity at its Murchison Gold Project by 200,000 tonnes per annum through a $6 million ore sorting upgrade, targeting commissioning in September 2026. This innovative approach promises higher-grade feed, increased production, and lower costs.
- Installation of ore sorting facility to raise throughput from 600ktpa to ~800ktpa
- Ore sorting doubles Andy Well underground ore head grade by separating high-grade material
- $6 million capital expenditure funded from existing cash reserves
- Commissioning targeted for September 2026 quarter with a six-month timeline
- Upgrade reduces processing costs, plant wear, and tailings volume per ounce
Processing Upgrade to Unlock Capacity
Meeka Metals Limited has announced a significant upgrade to its Murchison Gold Project processing plant, aiming to increase throughput by approximately 200,000 tonnes per annum. The $6 million investment will install a state-of-the-art ore sorting facility, boosting the plant’s capacity from 600ktpa to around 800ktpa. This upgrade is expected to accelerate gold production by effectively concentrating higher-grade ore for immediate processing.
Ore Sorting Technology and Benefits
The ore sorting system utilises a combination of X-ray transmission and optical sensors to differentiate gold-bearing quartz from lower-grade material on a particle-by-particle basis. Test work conducted at Steinert’s facility in Western Australia confirmed that approximately 85% of the contained gold can be sorted into just 50% of the rock mass. This effectively doubles the head grade of ore from the Andy Well underground mine, enhancing the quality of feed to the mill.
By separating high-grade ore from lower-grade material, which will be stockpiled for later processing, the upgrade not only increases throughput but also reduces processing costs per ounce. Additional benefits include lower wear and maintenance on the processing plant, reduced tailings deposition, and a smaller environmental footprint.
Strategic and Financial Implications
Compared to expanding the crushing and grinding circuit, which would cost upwards of $40 million and take 12 to 18 months, the ore sorting upgrade offers a faster, more cost-effective solution with commissioning expected within six months. The capital expenditure will be funded from Meeka’s existing cash reserves, reflecting a prudent approach to growth.
Managing Director Tim Davidson highlighted the strategic value of the upgrade, noting it unlocks additional milling capacity for ore from both open pits and the upcoming Turnberry underground mine. The move is expected to deliver a meaningful increase in annual gold production and improve overall project economics.
Looking Ahead
While the ore sorting upgrade addresses immediate processing constraints, Meeka Metals continues to evaluate further expansion options, including a larger standalone processing plant. Continued drilling success across multiple targets could strengthen the case for such a development in the future.
The commissioning of the ore sorting facility in the September 2026 quarter will be a key milestone to watch, potentially marking a new phase of operational efficiency and production growth at Murchison.
Bottom Line?
Meeka’s ore sorting upgrade is a smart, swift step to unlock capacity and boost gold output ahead of bigger expansion decisions.
Questions in the middle?
- How will the ore sorting upgrade impact Meeka’s overall production guidance and cost forecasts?
- What are the prospects and timelines for the larger-scale processing plant under consideration?
- Can ore sorting technology be successfully applied to other ore sources beyond Andy Well?