Northern Star Resources has continued its stellar run at the Paulsens Gold Mine beating its production target at the mine by nearly 30 per cent in October.
Northern Star Resources has continued its stellar run at the Paulsens Gold Mine beating its production target at the mine by nearly 30 per cent in October.
In a statement to the Australian Securities Exchange, Northern Star said it had poured 9,906 ounces of gold last month.
"The bumper October results mean Paulsens has again exceeded all budgets set by Northern Star, including the key benchmarks relating to gold mined, poured and sold," the statement said.
The company generated $13.2 million in revenue in October.
Northern Star acquired Paulsens from Intrepid Mines for a $40 million consideration earlier this year.
The company now owes a total of $9.8 million thanks to the mine exceeding production and financial targets.
See company statement below:
Northern Star Resources (ASX:NST) is pleased to advise that its stellar run at the Paulsens Gold Mine in WA has continued, with gold poured of 9,906 ounces in October.
The result continues the pattern set throughout the September quarter, when Paulsens posted record production of 30,602oz.
The bumper October results mean Paulsens has again exceeded all budgets set by Northern Star, including the key benchmarks relating to gold mined, poured and sold.
The performance at Paulsens has translated to an outstanding financial result for Northern Star, with revenue of $13.2 million generated in the month.
Northern Star acquired Paulsens gold mine from Intrepid Mines for a $40 million consideration and now owes a total of just $9.8 million thanks to the mine exceeding production and financial targets at every turn.
Gold recovered at Paulsens in October totalled 8,681oz compared with the budgeted level of 7,834oz. Gold poured was 9,906oz and gold sold totalled 9,889oz.
Mining at Paulsens in October produced 7,509oz from 19,322 tonnes at 12.1g/t. At the end of the month there were 1,727oz of gold in transit, 1,609oz of gold in circuit and the surface stockpiles contained 5,614oz of gold ready for processing.
Paulsens also returned excellent exploration results in October, with the Voyager 2 lode discovery hole of 2m at 40.5g/t (see ASX announcements dated October 14, 2010). This result is highly significant because it shows the potential for mining to continue well beyond the current Stage One plan.
Northern Star Managing Director Bill Beament said the results for October were again outstanding and last week's power outage would have a limited impact on Paulsens' performance in achieving the Stage 1 mine plan.
"Underground mining resumed at normal rates over the weekend, two diamond drills are drilling Voyager 1 and Voyager 2 lodes in the recently completed drill drive and processing will resume later in the month," Mr Beament said. "This has created an opportunity for the mining team to add ore to the surface stockpiles, which will set the mine up for a strong December performance."
