Tomingley Gold Operations (TGO) produced 19,1365 ounces of gold in the June quarter generating revenue of $33.2 million.
An ounce of the precious metal sold for an average $1735.
TGO owner, Alkane Resources, reports of its “excellent operational performance” in the quarter.
In 2017/2018 the gold mine produced 78,533 ounces of gold.
“TGO continued to generate strong cash flow for the quarter at $16 million, taking full-year cash flow to $60.1 million,” a spokeswoman said.
“Planning for underground operations continues with the appointment of a project manager to confirm the development economics and prepare a detailed execution plan for an investment decision by December 2018.”
The spokeswoman said Alkane Resources’ Dubbo Project at Toongi remained construction-ready.
“Alkane continues to work towards securing financing for the project, with the key focus on securing offtake contracts for both its products and a resultant strategic investor in the project,” she said.
“Trade tensions between the US and China have heightened concerns over China’s monopoly on rare earths and zirconium chemicals.
“The need for alternative western supplies of these technology metals is playing a central role in Alkane’s discussions with companies regarding offtake and/or investment in the project.
“Rare earths magnet prices have continued to strengthen in the past quarter as Chinese authorities continue their efforts to stamp out illegal mining and processing of rare earths across the country.”
Alkane Resources has $72 million in cash and $8 million in bullion. The group is debt-free.
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