NORTHERN STAR RESOURCES LIMITED An Australian gold miner - for global investors
Pogo Q2 Operational Update - January 2020
Forward Looking Statements
Northern Star Resources Limited has prepared this announcement based on information available to it. No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions contained in this announcement. To the maximum extent permitted by law, none of Northern Star Resources Limited, its directors, employees or agents, advisers, nor any other person accepts any liability, including, without limitation, any liability arising from fault or negligence on the part of any of them or any other person, for any loss arising from the use of this announcement or its contents or otherwise arising in connection with it.
This announcement is not an offer, invitation, solicitation or other recommendation with respect to the subscription for, purchase or sale of any security, and neither this announcement nor anything in it shall form the basis of any contract or commitment whatsoever. This announcement may contain forward looking statements that are subject to risk factors associated with gold exploration, mining and production businesses. It is believed that the expectations reflected in these statements are reasonable but they may be affected by a variety of variables and changes in underlying assumptions which could cause actual results or trends to differ materially, including but not limited to price fluctuations, actual demand, currency fluctuations, drilling and production results, Resource or Reserve estimations, loss of market, industry competition, environmental risks, physical risks, legislative, fiscal and regulatory changes, economic and financial market conditions in various countries and regions, political risks, project delay or advancement, approvals and cost estimates.
2
Pogo - Inflection point reached; December month demonstrating Pogo potential
FY20 Gold Produced to End of December
25,000
120% increase in | 21,570 | ||||||||||||||||||
production ounces over | |||||||||||||||||||
20,000 | two months with new | ||||||||||||||||||
areas on line and | |||||||||||||||||||
increased stope ore | |||||||||||||||||||
15,000 | 14,776 | ||||||||||||||||||
produced | 11,665 | ||||||||||||||||||
Oz | 9,920 | 9,800 | |||||||||||||||||
10,000 | |||||||||||||||||||
7,883 | |||||||||||||||||||
5,000 | |||||||||||||||||||
0 | |||||||||||||||||||
July | August | September | October | November December | |||||||||||||||
- As per previous announcements, Pogo's
18 month transition plan is on track with December quarter a significant inflection point - December quarter gold production was 46,146oz produced, a 56% improvement on the September quarter
- Mining rates have increased and all low-grade (LG) material has been removed from mill feed
- Stope production has commenced from new mining areas including Liese 1, Fun Zone and South Pogo in November
- In the month of December, monthly stoping tonnes contribution was 80% of ore tonnes at an average grade of 10.1gpt
- Jul-19to Oct-19 averaged 9.8koz produced; November and December demonstrated a 50% and 120% improvement on this
3
Pogo - Grade improvement in line with expectations
FY20 Pogo tonnes mined by category | ▪ | Average grade in the December quarter | ||
120,000 | 12 | increased 30% to 7.4gpt from the previous | ||
quarter, driven by | ||||
100,000 | 10 | ▪ Increased mining rates allowed removal of | ||
Mined(t) | 60,000 | 6 | Grade(g/t) | low-grade material from the blend |
legacy mining areas | ||||
80,000 | 8 | |||
▪ Reduced contribution from lower grade & | ||||
Tonnes | 40,000 | 4 | Average | ▪ Access into the new, higher grade zones of |
Liese, Fun Zone and South Pogo | ||||
20,000 | 2 | ▪ | Grade in the month of December averaged | |
9.8gpt demonstrating the capability of Pogo | ||||
0 | 0 | as these new, higher grade areas are brought | ||
online | ||||
Stoping tonnes | Development tonnes | LG (t) (1.7 - 4.3g/t) | ||
Stoping Grade | Av Grade if LG removed | 4 | ||
Pogo - mining metrics trending towards success
- In December quarter, stoping tonnes contributed 60% of ore tonnes, showing month-on-month improvement towards the target of 65kt per month
- In the month of December, stoping alone contributed 62,550t at 10.1gpt for 20,277oz mined
- Development performance on track to deliver the target of 1,500m per month; with ounce production to improve as development ore tonnes increase from accessing new high-grade mining areas
FY20 Stoping tonnes mined per month | Average monthly Development metres (by Qtr) |
Tonnes (metric)
70,000
60,000
50,000
40,000
30,000
20,000
10,000
0
Stoping tonnes continue to improve, contributing 60% of ore tonnes for the December quarter
July | August | September October November December | Target |
Development advance (m)
1600
1400
1200
1000
800
600
400
200
0
Development performance on track to deliver target of 1,500 metres per month
FY19 Q1 FY19 Q2 FY19 Q3 FY19 Q4 FY20 Q1 FY20 Q2 | Target 5 |
Northern Star Resources Limited
ASX Code: NST
An Australian mid cap gold miner - for global investors
Investor Enquiries:
Luke Gleeson, Investor Relations
Level 1, 388 Hay Street, Subiaco 6008 Western Australia
- +61 8 6188 2100
- info@nsrltd.com
- www.nsrltd.com
Inventum 3D Page Links click here
6
Attachments
- Original document
- Permalink
Disclaimer
Northern Star Resources Ltd. published this content on 29 January 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 January 2020 22:19:04 UTC
