Oct 16, 2020

Gold mining resumes at Agate Creek

Gold mining resumes at Agate Creek

Blast hole drilling has commenced for the restart of high-grade gold mining at Agate Creek in North Queensland.

About 9000oz gold is to be mined in two stages from the Sherwood Pit
in the current campaign.

Project owner Laneway Resources said mining contractor Maas Group was mobilising heavy earthmoving machinery and blast hole drilling was underway in the pit area, with the initial blast planned for next week.

It plans to mine 43,000 tonnes grading at 6.5g/t from the Sherwood open pit, to be processed in two stages.

The initial 18,000 tonnes will be processed at the Lorena gold mine processing plant from about mid-November.

The remaining 25,000 tonnes is set to be stockpiled for transporting and processing post wet season.

Laneway is continuing to progress other processing plant options which may be utilised longer term for the processing of high grade ore from Agate Creek including for the second batch of ore from this mining campaign.

The potential for further high grade mining beyond this campaign has been identified with Whittle pit optimisation generating a much larger open pit shell containing 120,000 tonnes at 5.7 g/t gold for 22,000 ounces.

“With mining activities now underway at a time of continuing high gold prices, we are looking forward to the significant cash generation from this mining campaign to support the self-funded ongoing appraisal and exploitation of the Agate Creek project and the company’s broader project portfolio,” Laneway chairman Stephen Bizzell said.