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Ora Banda Mining (ASX:OBM) concludes capital work program; prepares for further work

Summary

  • Ora Banda Mining has concluded the capital works program at the Davyhurst project on time and within the budget limits.
  • OBM encountered various events that unfavourably impacted the processing and processing plant throughput.
  • OBM has enhanced its focus on resource definition and testing of highly prospective regional exploration targets across deposits at Davyhurst.

The latest gold producer in Australia, Ora Banda Mining Limited (ASX:OBM) has been pursuing various infrastructural as well as exploration work across its Davyhurst Project. These include the completion of the capital works program at Davyhurst as well as the commencement of gold production at Davyhurst.

Beyond this, the Company is also enhanced its focus on defining the resource and testing of highly prospective regional exploration targets.

Here, we shall look at various infrastructural developments on the ground level at the Davyhurst Gold Project.

MARCH QUARTER REPORT: Ora Banda Mining (ASX:OBM) progresses across projects in full swing throughout March quarter

Power station Commissioned

The Company commissioned a new power station subsequent to the beginning of processing operations in January 2021. However, the current demand for power remains lower than preliminary projections as a result of lower crushing and grinding requirements for the present largely oxide feed blend.

New power station with LNG facility in background load commissioned (Source: OBM Announcement 30/04/21)

Furthermore, access to around 1.5MW of power is retained by Davyhurst through a committed Western Power line associated with the Western Australian - South West Interconnected System (SWIS).

Further, a total of five exploration water bores were drilled at targeted locations close to the Riverina Open Pit mining operation intended to offer further potable water for the camp and process water for dust suppression purposes.

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Bore work and dry commissioning of processing plant

Lately, OBM refurbished four present bores at Siberia and was preparing to initiate mining operations.

Further, the Riverina camp comprising of 64 rooms was also completed, and the camp was occupied to full capacity. Presently, the camp is servicing the Riverina Mining Centre, and rooms are available for exploration crews working in the northern tenements as OBM ramps up its exploration programs.

The dry commissioning of the Davyhurst processing plant, bore fields and related infrastructure was completed by GR Engineering Services. Off late, OBM had initiated wet commissioning and optimisation of the process plant after dry commissioning was completed.

First commissioning feed into crushing and screening plant on 17 January Source: OBM Announcement 30/04/21

As per the previous update from OBM, the company has processed a total of 128,500 tonnes at an average grade of 1.55 g/t for 6,319 oz of contained gold.

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Coping the unfavourable events

Events like adverse weather, failure of the primary mill moto, and the primary crusher feeder eccentric driveshaft and gear adversely affected the processing and processing of plant throughput.  

On top of this, lower than forecast leach and adsorption tank slurry densities were observed due to slurry viscosity of the primarily oxide feed blend.

However, OBM fabricated and fitted a new driveshaft and gear, and the spare motor replaced the primary mill motor. Moreover, the availability of competent transitional and primary material along with increased quantities of Golden Eagle primary ore is anticipated to enhance the slurry viscosity.

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Overall, OBM continues exploration and resource definition, and most of the exploration and resource definition samples submitted have not yet assayed. Moreover, OBM is also assessing the viability of including possible mine extensions related to the Riverina South deposit into the present mine plan. OBM looks forward to concluding work related to resource and ore reserve estimation in the ongoing quarter.

The OBM stock closed at AUD 0.220 on 21 May 2021.

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