Kingsrose: Production in Way Linggo gold mine jumps 72%

By Romel S. Gurky

ASX-listed Kingsrose Mining Limited said that the restructure of its operations at the Way Linggo Gold Project in South Sumatra Province, is progressing, with March quarter production increasing 72 percent to 3,361 ounces of gold.

The company said in a statement last week that the increase in production is largely due to the commencement of open cut activities at the Way Linggo Mine.

The Way Linggo Mine, characterized by its high grade and low costs, operated as an underground mine from July 2010 until June 2013 and produced approximately 75,000 ounces of gold at an average of 12g/t during that period, the company said.

Following a review of the remaining resource at the Way Linggo Mine, a plan to recover part of this resource through an open cut mine was developed. The plan is to extract the remaining resources left as pillars and resources too wide to mine with previously used methods.

Following approvals from the Indonesian Ministry of Energy and Mineral Resources, work commenced in mid-February on the first stage of the open cut mine plan including clearing and establishing access, haul road construction and the establishment of other necessary infrastructure prior to the commencement of mining from the Trench 1 pit, Kingsrose said.

To date, 4,728 ore tons has been extracted from the Way Linggo Open Pit at an average mine grade of 9.2 g/t Au. Processing of the ore commenced in March 2017.

In order to obtain the full approval for the open cut mine plan at the Way Linggo Mine, the ministry requires an updated feasibility study for the mine. ?It is anticipated that the updated feasibility study will be completed and submitted for approval by mid-May,? Kingsrose said.

Elsewhere, Kingsrose said operations at the Talang Santo Mine are ongoing, with total production for the quarter of 8,085 ore tons at 8.6 g/t Au. ?This is a significant uplift in grade over the 5.9g/t Au reported for the December 16 Quarter,? it said. A key focus has been on developing a long term solution to the water ingress into the mine, which when finalized, will be incorporated into the mine plan.

Editing by Reiner Simanjuntak