Sunday, January 10, 2010

50,952 OUNCE Q2 PRODUCTION FROM TRIDENT HERALDS THIRD SUCCESSIVE +50,000 oz QUARTER

 

 

Highlights

 

o        Strong December quarter production of 50,952 ounces recovered from the Trident underground gold mine.

 

o        Site cash operating costs at Higginsville of A$458 per ounce1.

 

o        The December quarter production result is the third successive +50,000 ounce quarter from Trident.

 

o        Trident has produced 101,536 ounces in the first half of FY2010.

 

o        Avoca remains on target for 190,000+ ounce production in FY2010 at estimated cash operating costs of A$452 per ounce1.

 

 

 

ASX 200 mid-tier gold producer, Avoca Resources Ltd (ASX:AVO), is pleased to announce that it produced 50,952 ounces from its Trident underground gold mine during the December quarter. Trident lies within Avoca’s 100% owned Higginsville Gold Project located 130km south of Kalgoorlie in Western Australia’s Eastern Gold fields.

 

Cash operating costs for the Trident production during the December quarter amounted to A$458 per ounce1. Revenue for the 52,615 ounces sold during the quarter was A$1,208 per ounce.

 

Total production for the first half of FY2010 is 101,536 ounces, and well in line with Avoca’s 190,000+ production estimate for FY2010.

 

Total plant throughput for the December quarter was 300,030t @ 5.3 g/t gold for 50,952 recovered ounces. Plant recovery remained high at 97.0%. High grade mined production from Trident during the quarter was 235,438 tonnes at 6.2 g/t gold. The difference between total plant throughput and mined production from Trident was due to treating 52,193 tonnes of stockpiled low grade material.

 

Avoca’s Managing Director, Mr Rohan Williams, said “we are very satisfied with the grade performance and production results from Trident delivering its third successive plus 50,000 ounce quarter. Trident is now firmly established as one of Australia’s premier new underground gold mines.”

 

“Both the Trident mine and the Higginsville treatment plant continue to operate at above the 1 million tonne per annum design rates with the plant’s current rate set to approximately 1.2 million tonnes per annum. We remain confident that Avoca will achieve its production guidance of 190,000+ ounces at a cash operating cost of A$452 per ounce.”

 

Avoca will release its December quarterly report detailing all activities and results later in January.

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