Tietto Minerals Ltd (ASX:TIE) produced 11,643 ounces of gold in July, its highest monthly output, as the company continues to ramp up production at the 3.83-million-ounce Abujar Gold Project in Côte d’Ivoire.
West Africa’s newest gold producer also produced 15,592 ounces of gold in the June quarter, up from 9,500 ounces in the previous three-month period.
To further bolster production, the company has appointed Clinton Bennett, a 25-year mining veteran with deep knowledge of West Africa, to the leadership team as chief operating officer.
Production highlights
Mill throughput during July surpassed expectations, reaching a rate of more than 4.4 million tonnes per annum (mtpa) and comfortably surpassing the previously projected rate of 4.0 mtpa in the definitive feasibility study (DFS).
Tietto's efforts to optimise mill throughput resulted in peak daily rates of more than 16,000 tonnes during June and July, instilling confidence that the mill will consistently exceed nameplate capacity in the latter half of 2023.
Further, the company anticipates generating robust cash flows throughout the second half based on the production guidance of 105,000 to 120,000 ounces at all-in-sustaining costs of US$875 to US$975 per ounce.
While delays in pre-stripping in the first half have resulted in the mill accepting run-of-mine ore, Tietto will step up mining in the second half to create sufficient stockpiles of higher-grade ore.
The company added cash and bullion by A$6 million to A$42.6 million in July.
Tietto team members with the last pour of July.
Solid start
“We are pleased to report a strong increase in monthly production to 11,643 ounces of gold and stabilised milling rates of more than 370,000 tonnes per month,” Tietto managing director and chief executive officer Matt Wilcox.
“Mill feed is mainly comprised of fresh rock, and grade has increased by more than 50% from the June quarter average of 0.68 g/t gold to 1.0 g/t gold in July, as we have largely moved through oxide and transitional ore depleted by artisanal miners.
“We anticipate delivering strong net cash flow over the second half of 2023 as we optimise mining and milling after a solid start in July."
Tietto shares are trading 10% higher on the ASX this morning to $0.55.
Adding expertise
“I am excited to welcome Clinton Bennett as chief operating officer," Wilcox added.
“Clinton brings world-class West African gold mining experience including recent experience in Cote d’Ivoire."
Bennett, who joins in October, has vast operational and development experience at mines in Burkina Faso, Mali, Cote D’voire, Saudi Arabia, Indonesia and Australia.
He was most recently general manager of Endeavour Mining Corporation’s 300,000-ounce Ity Gold Mine and vice-president of Metallurgy.
He holds a Master of Science in Energy and Mineral Economics, a Master of Law in Energy and Resource Law, a Bachelor of Science and a Post Graduate Diploma in Extractive Metallurgy.
He is also a member of the Australia Institute of Company Directors and a fellow of the Australasian Institute of Mining and Metallurgy.