Galena Mining Ltd (ASX:G1A) reached a major milestone last month, with the Abra Base Metals Mine in Western Australia becoming cash flow positive as the ramp-up toward steady state production continues.
“Abra has always had a target of reaching positive cash flows in the second half of 2023 following commissioning and ramp-up in the first six months of the year,” Galena Mining managing director Tony James said.
“Looking forward at our mining and processing plans for the remainder of 2023 we have over 90% of the ore planned to be mined drilled out to a 12-metre x 12-metre spacing.”
Production progress in July
Last month Galena shipped 9,254 tonnes of concentrate from Abra, generating some $17 million in revenue even as the site’s processing plant milled over 105,000 tonnes of ore.
Abra hit new monthly mining records with total ore and waste mined of 144,000 tonnes, with 100,000 tonnes of that being high grade ore and 70,000 tonnes originating from stope production.
Galena has therefore reaffirmed mining and processing plans for the remainder of the year, forecasting September quarter production of 25,000-30,000 tonnes of concentrate for an estimated revenue of $50-60 million which would put the company into positive operating cash flows.
In other news, the company expanded work areas within the mine with the installation of the second primary ventilation fans and completed necessary infrastructure to allow expansion of ore production.
Installation of the second primary ventilation fan at Abra during July.
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