- Ora Banda Mining's (OBM) spent much of the December quarter gearing up for the resumption of gold production at the Davyhurst Project in WA
- The company has released its latest quarterly activities and financial update, highlighting the works carried out ahead of production resuming in January
- These works include commencing dry commissioning at the process plant, building ore stocks from the Riverina open-pit and installing an LNG power station
- Ora Banda ended December with $32.59 million in the bank, having spent $3.69 million on operating expenses and $15.96 million on investment activities
- Meanwhile, since the end of the December quarter, OBM has begun feeding processing ore into the crusher, with wet processing also commencing
- Shares in OBM are trading steady at 32.5 cents each
Ora Banda Mining (OBM) has released its latest quarterly report, showing it spent much of the period gearing up for the resumption of gold production at Davyhurst.
The Davyhurst Gold Project is located in the Eastern Goldfields region of WA and OBM was planning to resume gold production there in the first quarter of 2021.
In anticipation of this, the company carried out a number of work programs, including commencing dry commissioning at the 1.2 million tonnes per annum Davyhurst Gold Processing Plant in December.
It also begun open-pit mining at Riverina in October, in a bid to build up its ore stocks ahead of plant re-commissioning, with a total of 418,166 bank cubic metres mined from stage one.
Along with the open-pit mining, Ora Banda re-established access to the Golden Eagle underground mine via the open-pit mine, with the de-watering process now completed.
Finally, the December quarter also saw OBM complete the pre-commission and installation of its LNG Power Station for the project.
The Davyhurst village upgrade was also completed, while construction continued on the Riverina village as well as at regional roads in and out of the site.
Financially, the company spent $3.69 million on operating expenses and $15.96 million on investment activities over the December quarter. The biggest expense was plant, property and equipment — where over $10 million was spent.
Ora Banda ended December with $32.59 million in the bank, enough cash to keep it going for another 4.66 quarters if its burn rate remains the same.
Meanwhile, since the end of the December quarter, Ora Banda reports road haulage of ore to the Davyhurst plant has begun, with 40,000 tonnes moved to date.
Pleasingly, the company said the first parcel of low grade commissioning ore was fed into the primary crusher on January 17 while wet processing commenced midway through the month.
Since the December quarter came to a close, OBM has had to launch an investigation after an electrician was hurt in a "serious" incident at one if its mines.
Following Monday's quarterly update, shares in Ora Banda Mining have ended the day trading steady at 32.5 cents each.