Novo reports record monthly gold production in Australia
(Kitco News) - Novo Resources (TSX: NVO) today reported a quarterly operational update from the first full quarter at the company's Nullagine gold project, located in the Pilbara region of Western Australia.
The company said that gold production at Nullagine continued to increase month-on-month with a record month of 5,898 ounces produced during June 2021, with Q2 2021 gold production totalled 14,890 ounces.
Mining and processing rates continued to increase, the company noted, with 232 kt gold-bearing conglomerate material mined in June (Q2 2021 – 477 kt gold-bearing conglomerate material mined) and 134 kt gold-bearing conglomerate material processed in June (Q2 – 366 kt gold-bearing conglomerate material processed).
Recovery rates reaching optimal levels, with June recovery of 96.4%, up from 94.4% in May.
Novo said that its June revenue of C$11.9 million (A$12.8 million) was 11.4% higher compared to May (Q2 2021 – C$31.7 million (A$33.1 million)), and that its cash position and working capital remains robust, with cash reserves of C$46.3 million as at June 30, 2021.
"We are very pleased with the operational trajectory of the Nullagine gold project," commented CEO and director Rob Humphryson. "All key project metrics are trending positively and the Novo team are working diligently on operational improvements that will further benefit the operation. Given the abundance of gold-bearing conglomerate mineralization across the Pilbara region, we are pleased to demonstrate that the Nullagine gold project is generating positive cash flow."
Novo is commissioning its flagship Beatons Creek gold project while exploring and developing its prospective land package covering approximately 14,000 square kilometres in the Pilbara region of Western Australia.