Straits targets 5,000 ounces of gold per month

By Ruli Setiawan

ASX-listed firm gold miner Straits Resources Limited recently stated it has ramped up production of gold ore at the base of Serujan Pit at Mt Muro project.

Processing plant is now operating on a full time basis as opposed to the May campaign that targets early June initial operation.

Mt Muro currently has approximately two months of ore production exposed in the Serujan Pit and a run of mine ore stockpile of approximately 20,000 tonnes.

"As periodically happens, low rainfall in the catchment area above Mt Muro, has resulted in the water level in the river, our main supply route, falling to a level which prohibits the transportation of supplies including fuel to Mt Muro. As a result of low fuel inventory levels, a temporary fuel trucking solution is being sought but we are competing with other users in the area with the same problem, and as the mine is further up the river this makes obtaining truck support more difficult. In order to maintain fuel levels which are sufficient for sustainable mill production, we have suspended waste stripping operations temporarily," the company stated.

The company's production target for July and August is at 5,000 AuEq ounces of gold per month. The production target for the full financial year 2013 is still 100,000 AuEq, however extended fuel supply issues, said the company, have the potential to impact on this.

Editing By Audy Zandry