Image Sourced ShutterStock
Market Herald logo


Be the first with the news that moves the market
  • Matsa Resources’ first ore delivery from the Red October Gold mine to AngloGold’s Sunrise Dam treatment plant has begun
  • The Sunrise Dam treatment plant is a 3.8 million tonne per annum processing mill
  • It is now expected that regular ore deliveries will occur under the five year Ore Purchase Agreement with AngloGold

Matsa Resources has advised its first ore delivery from the Red October Gold mine to the Sunrise Dam gold treatment plant. On Thursday afternoon haulage trucks arrived on site and deposited the ore.

The Red October gold mine and project area covers 44 square kilometres and consists of six granted mining leases, an extensive underground mine and a JORC 2012 compliant mineral resource of 99,000 ounces of gold, including 85,000 ounces at 13.6 g/t gold.

Red October is a structurally controlled gold deposit and is located in the Laverton Greenstone Belt which hosts a number of world-class and emerging gold mines, all of which have produced more than 25Moz of gold.

Historically Red October has produced at total of 1.7Mt at 6.1 g/t gold for 342,000 ounces of gold. Open pit operations contributed to 113,000 ounces of it and underground operations contributed to the remaining 229,000 ounces.

Matsa also has two other major operations, Red Dog and Fortitude, that are located nearby.

As announced in May 2019 Masta executed a five year Ore Purchase Agreement with AngloGold Ashanti Australia (AGAA) which consisted of the purchase of gold ore from Red October to be used at AGAA’s Sunrise Dam mine.

AngloGold’s Sunrise Dam treatment plant, which is situated at the Sunrise Dam Gold mine, is a 3.8 million tonne per annum processing mill which is located approximately 10 kilometres north of Red October.

By being in such close proximity to Red October the plant has provided Matsa access to a substantial and modern nearby milling facility.

Matsa has also previously delivered ore from its Fortitude and Red Dog gold mines to Sunrise Dam.

Executive Chairman Paul Poli is pleased with the agreement and hopes it will continue long into the future.

“It is expected that this will be the start of regular, continuous ore deliveries to Sunrise Dam for the foreseeable future generating a regular income stream in the process,” he said.

“We remain committed and are confident that we can build a long term profitable mine at Red October.”

MAT by the numbers
More From The Market Herald
Venus Metals (ASX:VMC) - Managing Director, Matthew Hogan

" Venus Metals (ASX:VMC) intersects encouraging mineralisation at Vidure

Venus Metals (VMC) has intersected encouraging copper-nickel-platinum group element (PGE) mineralisation at the Vidure Prospect.

" Whitehaven Coal (ASX:WHC) uses record prices to pay down debt

Whitehaven Coal (WHC) will use the uplift

" Alderan Resources (ASX:AL8) commences drilling at Detroit

Alderan Resources (AL8) has commenced drilling at its Detroit copper gold project, located in the US state of Utah.
RareX (ASX:REE) - Managing Director, Jeremy Robinson

" RareX (ASX:REE) begins scoping study at Cummins

RareX (REE) has begun a scoping study at its flagship Cummins Range Critical Metals Project.