📉 Nikkei is down nearly 5% -> here are 43 recession-proof Japanese stocks from our screenerUnlock Now

Horizon Minerals approves final investment decision for Boorara Gold Project development

Published 29/07/2024, 09:50 am
© Reuters.  Horizon Minerals approves final investment decision for Boorara Gold Project development
AVZ
-

Horizon Minerals Ltd (ASX:HRZ) has signed off on the final investment decision (FID) for the Boorara Gold Project in Western Australia, officially beginning development of the project and starting down the path to permanent gold producer status.

The company has already awarded contracts to Hampton Transport Services Pty Ltd for mining and ore haulage services, with no contractor payments to be awarded until the first gold pour is sold and funds received.

Horizon will provide managerial oversight and technical services as the development advances, having already filled most technical site roles and all management roles, including site senior executive and quarry manager.

Pre-production works will begin in the first half of August, with mining to follow and ramp-up over the following weeks.

Newest gold producer in Australia

“Mining at Boorara is a significant milestone for the company and will make Horizon the newest gold producer in Australia,” Horizon Minerals managing director and CEO Grant Haywood said.

“We take great pleasure in welcoming our new members of Horizon including our business partners Hampton Transport Services and the Norton Gold Fields team who will be processing Boorara ore at Paddington.

“We are focused on making Boorara a safe and efficient mining operation to create value through generating cash and the first step in sustainable gold production for Horizon.

“We are seeking to unlock the significant latent potential within our extensive portfolio of development assets which hosts a 1.8-million-ounce mineral resource.

“Following the resumption of production at Boorara, we aim to develop other projects in parallel to establish Horizon as a long-term, sustainable gold producer in a favourable gold price environment.”

The project is fully permitted with all approvals in place to begin development.

HRZ has also secured a binding ore sale agreement with Paddington Gold Pty Ltd, a subsidiary of Norton Gold Fields Ltd, with all conditions met.

Read: Horizon Minerals set to resume Boorara gold production after executing ore sale agreement

Boorara holds an independent ore reserve estimate of 1.24 million tonnes at 1.24 g/t gold, offering 45,800 ounces of gold at a 92.5% recovery rate. With a A$3,600 per ounce gold price, HRZ anticipates A$30 million in cash flow.

Horizon expects mining to take about 14 months and ore processing a further 19 months – the company is targeting first gold pour for October this year.

Read more on Proactive Investors AU

Disclaimer

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.