What's Happening?
Pacgold has successfully completed the second pour of a gold doré bar at its White Dam Gold Project located in the Olary Province of South Australia. The newly produced bar weighs approximately 97 ounces and was derived from material leached from the aerated
zones on the pad's eastern and western edges. The company is continuing its re-crushing activities, having processed 120,000 tons of material, with an additional 50,000 tons expected to be added to irrigation by the end of the month. High-grade leachate has been identified at the base of the re-crush material, although freshly leached gold has not yet returned to the pad base. Drilling activities at White Dam North are underway, with 700 meters completed and the remainder of the program expected to finish by mid-July.
Why It's Important?
The successful second pour of gold doré at the White Dam Project signifies a positive development for Pacgold, as it enhances cash flow and confirms the effectiveness of their re-crushing and leaching processes. This progress is crucial for the company as it ramps up production and aims to optimize its operations. The ongoing drilling and resource expansion efforts at the Vertigo prospect are part of Pacgold's strategy to accelerate the resumption of mining operations, potentially bringing forward the restart of the Vertigo pit to late 2026. This could provide the company with earlier access to fresh oxide ore, thereby improving its production capabilities and financial performance.
What's Next?
Pacgold is planning to expand its heap leach pad, with design work nearing completion and construction expected to begin in the fourth quarter of 2026, pending necessary approvals. The current heap leach pad can accommodate an additional 800,000 tons of ore without further permitting or capital expenditure. The company is also working with Entech to update the mineral resource estimate for the Vertigo prospect, which includes pit optimizations, new mine designs, and cash flow calculations. These efforts are aimed at supporting Pacgold's plans to resume mining operations earlier than initially planned, potentially enhancing its production timeline and financial outcomes.
