Bellevue Gold hits first ore

Aspiring producer Bellevue Gold has struck first ore at its namesake project in the Eastern Goldfields on the back of a strong performance from underground mining contractor Develop Global.

Shares in the company traded 3.7 per cent higher on the news, which broadly signalled that pre-development activities at the site were progressing as scheduled.

Bellevue said the Armand lode area, one of three in the mine’s northern production centre, was ready for ore development after contractor Develop Global ramped up a site development record of 325 metres in June.

The business engaged Bill Beament-led Develop for $400 million to oversee construction development and production activities at the project earlier this year.

Belleveue estimated underground development rates had increased by 60 per cent since Develop had started work at the site in May.

Once up and running, the namesake operation is tipped to deliver between 180,000 ounces and 200,000 ounces at an all-in sustaining cost range of $1,000 to $1,100 per ounce during its first year of commercial production.

That’s according to a recent quarterly update from Bellevue, which said 90 per cent of pre-production capital had been secured via contracts or were at tail end of the tender process.

Camp construction is set to be completed this quarter. 

First gold is expected in the first six months of Fy24.

Bellevue gold shares were up 4.35 per cent to trade at 84 cents.