Laneway Resources has achieved its first gold pour at the Georgetown plant from processing high-grade Agate Creek ore.

The doré bar (pictured above) of about 3.9 kg of gold/silver bullion was poured yesterday evening (September 8).

“This first gold pour is another significant milestone for Laneway on its journey to becoming a substantial gold
producer,” managing director Brad Gordon said.

“Following entering into the agreement to acquire the Georgetown project including the Georgetown gold processing plant earlier this year, Laneway has successfully and rapidly executed on the refurbishment and
recommissioning of the plant and the recommencement of mining at Agate Creek.

“The strong cashflows that can now be generated will establish a solid base for unlocking the considerable value in our project portfolio.”

Related: Laneway cash injection as gold pour nears

The bullion bar will be sent to the Perth Mint for refining.

Laneway Resources – which plans to rebadge as Savannah Goldfields – said this bullion was recovered from gravity methods only from ore processed to date.

The carbon in circuit is still loading with gold and the on-site carbon stripping circuit is awaiting the installation of some further parts to allow stripping of the loaded carbon on site.

Contract stripping of the carbon will be undertaken through a third party for the next six to eight weeks. Laneway then expects to have the parts to finalise the refurbishment of the stripping circuit at Georgetown, including a newly designed ILR (Intensive Leach Reactor).

Laneway Resources acquired the gold processing plant – 100km north by road from Agate Creek – and a package of tenements in a takeover of Masterson Minerals.

Since commencement of ore processing last week, 740 tonnes of ore has been crushed, milled and is being processed. Head grade assays are still pending.

Laneway reports processing rates around 18 tonnes per hour day shift only. A second shift is scheduled to commence later this month, allowing 24-hour processing with throughput rates expected to average
around 20-22tph.

The company said mining operations were progressing well at Agate Creek, with the expectation that about 30,000 tonnes at 8 g/t gold will be mined from the current pit at Sherwood.

Further pits to be mined after the current Sherwood pit are in the final stages of planning and approvals.