Evolution Mining ann...
A diversified Australian mining company has received regulatory approval for a project development at one of its flagship assets.
Evolution Mining announced in a statement this week that its Cowal Gold Operation has been granted regulatory approval from the NSW Department of Planning and Environment to commence construction of an exploration decline project.
The project will see the company conduct further resource definition and discovery drilling and comes soon after the company announced a maiden underground Mineral Resource of 5.90Mt for 603,000 ounces of gold.
Development is expected to commence early in the March 2019 quarter and will involve capital expenditure of approximately A$20 – A$22 million over FY19 and FY20. A further investment in underground drilling of A$6 – A$7 million is expected to be spent on an initial 36,000m drill program.
Evolution’s VP Discovery and Chief Geologist, Glen Masterman, said:
“This is another important step towards achieving our objective of increasing Cowal’s production rate to over 300,000 ounces per annum on a sustainable basis. As indicated by recent drilling results, we are excited about the potential to add significant underground resources of high-grade material over a long strike length.”
Located 350km west of Sydney, Australia, the Cowal operation is a conventional load and haul, drill and blast open-pit operation. The project was previously owned by Rio Tinto and Barrick Gold, before Evolution acquired 100% interest in 2015. Since 2006, around 2.7 million ounces of gold have been produced at Cowal.