Kingston Resources (ASX: KSN) has confirmed amount of gold sold in April was the second highest month on record at 1681 ounces, at a time when the gold price in Australian dollars has been hovering at $3001 per ounce.
The processing plant produced 1886oz of gold with a recovery rate of 65.8% while the all-in-sustaining cost saw a significant reduction of 8% on the previous month to $1319 per ounce.
Direct and positive impact
Managing director Andrew Corbett said the results were having a direct and positive impact on the company’s cash balance and were a testament to the dedication and hard work of the Mineral Hill team.
“We are thrilled with the outstanding performance of Mineral Hill, especially given the strength of the global gold price,” he said.
“Our output has been very strong at a time when we are enjoying record Australian dollar gold prices and we have been able to drive down our AISC costs, which puts us in an excellent position for the next phase of mining at Mineral Hill, with the targeted implementation of open pit mining at Pearse followed by underground mining.”
Surface drilling
Earlier this month, Kingston announced that surface drilling had begun onsite at Mineral Hill.
The first phase of drilling aims to collect geotechnical data to enhance the structural model and refine pit slope parameters; and infill areas of the inferred mineral resource with a view to increasing the open pit mining inventory.
In phase two of the program, Kingston’s rig will move to target the upper portions of the Southern Ore Zone (SOZ) by drilling up to six diamond holes from surface.
The work will aim to define key geological structures and gather additional geotechnical and orebody knowledge in order to optimise the stope designs and mining strategy for underground mining of the zone.
Kingston is currently processing tailings at Mineral Hill as it builds resources and reserves across the project to transition to traditional mining.
