Polo Resources celebrates success at investee company

12th Oct 2016 14:07

(ShareCast News) - Natural resources investment company Polo Resources announced on Wednesday that Blackham Resources has reported that gold production has commenced from its 5.1Moz Matilda Gold Project in Australia.The AIM-traded firm said the CIL tanks are operational and milling of ore has commenced, with commissioning also underway on the gravity circuit, elution circuit, and gold room.During the September quarter 1.57 million BCM's of material were mined, with mining focused on the removal of overburden to open up ore sources from both the Matilda M10 and M3 pits.Ore mined to date is lower grade ore as the board expected from the laterite and depletion zones at the top of the pits, with the M10 pit now approaching the main higher grade structure.Underground mining for the quarter focused on lateral development around the old Golden Age stopes, Polo said.There are currently three jumbos on site focused on development and rehabilitation activities, with development ore currently being mined from three development headings.Initial Golden Age development ore produced was 20% higher than expected, and visible gold has also been sighted on the 980 development level.Mining from the open pits, underground and existing stockpiles resulted in gold stockpiles of 172,000t @ 1.4g/t for 7,900oz available for milling.Polo said current stockpiles represent over a full month of production."With milling of ore having commenced, gold in circuit is accumulating and first gold pour is now expected within days," Polo Resources' board said in a statement."Blackham is focused on a safe, efficient and timely ramp up to commercial production."Polo Resources has a total interest of 8.11% in Blackham Resources.