Galantas Gold Corporation announced a feed of higher gold grade from the Kearney vein than existing feed at Cavanacaw mine in Omagh, County Tyrone.
INCREASE
The Canadian miner added it continued to work with third parties to finance an expansion of the mine.
The grade of the limited feed produced from underground, based on concentrate production, was estimated at 5.7 g/t gold.
Galantas said that the material had added to the low grade material processed during the last week of Q1 2021.
The grade attributable to low grade stock during January and February 2021 is estimated at 1.8 g/t and 1.1 g/t gold respectively.
In March, the company restarted underground blasting on a single shift basis at the mine which also produces by-product silver and lead.
A metals concentrate is produced by “safe, non-toxic” processing and sold under contract.
Estimates of the total tonnage processed during the first quarter of 2021 is 6,262.5 tonnes for a 258.5 troy ounces of gold within 87.3t of concentrate.
Shipments of 96.7t of concentrate were made during the first quarter containing an estimated 304.6 troy ounces of gold.
Cash received during the first quarter 2021, under the company’s concentrate off-take agreement, totalled US$574,599.90, which includes residual payments due from previous out-of-quarter shipments.
Proceeds continue to be credited against development costs until operations reach full production levels.
Galantas said that an initial review of the restart of underground mining had demonstrated favourable results based upon provisional estimates.
President and chief executive Roland Phelps said he was pleased with how the re-start of mining operations had gone so far.
“When underground feed is processed in the mill the expected increase in concentrate production is demonstrated.”
Galantas added that environmental monitoring of operations continued to demonstrate satisfactory results within regulatory constraints.