OzAurum Resources (ASX: OZM) has received environmental approval from the Western Australian government for Stage 1 open-pit mining and heap leach operations at its Mulgabbie North gold project.
As a critical requirement for the granting of final permits and licences prior to construction and operations, the approval represents a key regulatory milestone in the company’s accelerated development strategy.
It has been granted under the Western Australian Department of Mines, Petroleum, and Exploration’s (DMPE) small mining operation policy, which governs projects of 10 hectares or less in area, marking an important step toward transitioning Mulgabbie North from development planning into near-term execution.
OzAurum is now advancing the remaining regulatory requirements which include a DMPE project management plan, a site dangerous goods licence, and a WA Department of Health poisons permit.
Heap Leach Plant Refurbishment
OzAurum has confirmed that Kalgoorlie contractor Polaris Engineering Services is advancing refurbishment and modification works on key components of a $20,000 heap leach agglomeration process plant acquired in January to support development of Stage 1 operations.
The plant was originally designed by heap leach specialist Kappes Cassidy & Associates and has a strong operating history at Western Australian mines including Marvel Loch (gold), Nifty (copper) and Bullabulling (gold).
It has a capacity of 100 tonnes per hour and is suitable for use at Mulgabbie North’s Stage 1, 2, and 3 developments, supporting a scalable processing rate of as much as 350,000 tonnes per annum on day shift operations.
Ores treated with the agglomerator have achieved historic gold recoveries of up to 90% on comparable ore types, underpinning confidence in future recoveries at Mulgabbie North.
Agglomeration Circuit Upgrade
“Receiving Environmental Approval for stage 1 is a major milestone in advancing Mulgabbie North toward near-term production,” chief executive officer Andrew Pumphrey said.
"This approval clears an important regulatory hurdle and allows us to continue progressing the remaining permits required for construction and operations."
The process plant will be relocated to OzAurum’s industrial workshop for refurbishment by Polaris, with dry commissioning of the plant to take place beforehand.
This will include upgrading the fine ore bin, conveyors, and tanks from the Bullabulling site, as well as re-purposing a lime silo into a cement silo for the agglomeration circuit.
The work forms part of the company’s capital-light development strategy based on leveraging acquired infrastructure to materially-reduce upfront expenditure while maintaining schedule momentum.
