$69 postpage LB

Troy Resources (ASX:TRY) commences mining at higher grade Hicks 4 Phases 1 & 2

  • November 25, 2020 08:15 PM AEDT
  • Team Kalkine
Troy Resources (ASX:TRY) commences mining at higher grade Hicks 4 Phases 1 & 2

Summary

  • Troy has re-entered Hicks 4 Phases 1 & 2 and completed mining at Hicks 4 Phase 3. The mining at Hicks 4 Phases 1 & 2 is anticipated to mine high-grade gold ores against the phase 3 pit.
  • The insurance claims for the Karouni store fires have been accepted and are anticipated to be finalised in the due course
  • The coronavirus outbreak in Guyana and at the mine site drew efficient measures from the management despite the operational challenges.
Gold MTF non-AMP

Gold producer Troy Resources Limited (ASX:TRY) announced the commencement of mining operations at Hicks 4 Phases 1 & 2 which will contribute towards the majority of the gold production in the upcoming 9 months.

The Hicks 4 Phases 1 & 2 has historically produced more gold than the estimations by the grade control model. Ever since the beginning of mining at the Hicks 4 Phase 3 in July / August, the phase of the pit has produced almost half the gold than expected by the grade control model. The re-entering into the Hicks 4 Phases 1 & 2 may enhance the average ore grade in the upcoming months.

Must Read: Troy Resources (ASX:TRY) aims to deepen its golden footprint with Karouni project

Karouni Gold Mine – An Ace in TRY’s Arsenal

Along with the gold mining and processing operations, Troy has been galloping ahead on the back of exploration opportunities at Smarts Underground, Goldstar, Hicks Deeps, Ohio Creek East, Gem Creek and Upper Itaki within the Karouni gold project.

Despite the mobility restrictions and the outbreak of coronavirus, Troy Resources continued the operations at Karouni producing 6,334 ounces of gold in the September quarter. In an effort to extend the life of mine, the company has been exploring the highly prospective targets. Recently, Troy released the assay results from the recent diamond drilling at the Smarts Underground prospect.

Also Read: Troy Resources (ASX:TRY) strikes more gold at flagship Karouni project

However, the board at the gold miner has decided to withdraw the gold production guidance of 35-40,000 ounces at US$1,500 - $1,550/ ounce. The announcement was made in the light of various factors impacting the operational performance at the Karouni mining operations. 

The Karouni mining operations have registered over 23 confirmed positive cases of COVID-19 infections. Despite the effective measures by the company to minimise the impacts, the mining productivity has taken a hit due to the isolation of many of the employees. Due to the restrictions earlier, the expats were not able to return to Guyana and the mine site. Guyana continues to register a large number of cases of coronavirus infection and is further anticipated to impact the mining operations.

Must Read: Troy (ASX:TRY) strikes gold mineralisation with grade up to 1,176.99 g/t

Insurance Claims Accepted after September fire

The gold producer added that the Karouni mill was facing a shortage of chemical reagents because of a fire breakout at Karouni site in September. The processing plant remains operational, albeit at reduced levels due to the shortages. Troy had already applied for the insurance claims which have been accepted and are waiting to be finalised.

Important Read: Troy Resources(ASX:TRY) Aims Raising $15 Million Through Share Placement to Drive Karouni Operations

TRY closed at A$0.084 a share on 25 November 2020, with a market capitalisation of A$73.2 million.

 


Disclaimer
The website https://kalkinemedia.com/au is a service of Kalkine Media Pty. Ltd. (Kalkine Media) A.C.N. 629 651 672. The principal purpose of the content on this website is to provide factual information only and does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stock of the company (or companies) or engage in any investment activity under discussion. We are neither licensed nor qualified to provide investment advice through this platform. In providing you with the content on this website, we have not considered your objectives, financial situation or needs. You should make your own enquiries and obtain your own independent advice prior to making any financial decisions.
Some of the images that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed on this website unless stated otherwise. The images that may be used on this website are taken from various sources on the web and are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it below the image. The information provided on the website is in good faith, however Kalkine Media does not make any representation or warranty regarding the content, accuracy, or use of the content on the website.

 

   
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK