Ulaanbaatar, Mongolia (Newsfile Corp. July 6, 2020) Steppe Gold Limited (TSX: STGO) (Steppe Gold or the Company) is extremely pleased to provide an update on its production ramp up at its 100% owned ATO Gold Mine in Mongolia.
The Company made its first gold sales starting on April 23 and gold and silver is being produced and sold every 14 days.
To date, the Company has now sold a total of 15,389 oz of gold and 4,978 oz of silver, in six separate deliveries. This has generated net cash flow, after royalty payments, of US$25.3 million. Average achieved gold price for the sales to date is $1725. The Company achieved commercial production in the second quarter just completed with all operations and facilities running to plan and all relevant metrics met. As at June 30 the Company has mined, crushed and stacked approximately 715,000t of ore onto Cell 1 where leaching continues. A further 160,000t of ore has been delivered to the ROM pad and is being crushed and stacked. Stacking of ore at Cell 2 has already commenced and leaching will begin in July. Regular grade reconciliations continue to show strong outperformance to the published resource estimate with average grades of 2g/t and some evidence of higher grade zones Daily mining of ore continues from the ATO1 open cut with the ATO4 open cut being brought on-line in the coming months. Both the mining and stacking rates are being scaled up. |