While a supply chain hiccup involving its reagents idled its progress, Steppe Gold confirmed 6 April that, in the month since it officially was able to return to production, it has completed the first gold pour at its ATO operation in Mongolia and is continuing its ramp-up effort.
ATO returned to production on 1 March. Before the end of the month, it completed the gold pour of 1,532 ounces and sold it with gross proceeds of US$2.93 million.
As it ramps up, Steppe officials said it is targeting gold pours and sales twice per month. That is now possible as its supply of key reagents is recovering with three additional shipments now on-site – delivered in the last month.
“The Steppe Gold executive team is committed to mitigating future supply chain risk potentials by continuing to build a stockpile of key reagents and chemicals,” it said of its planning. “The reagent storage centre was recently expanded to allow up to 220 t of supply, with the goal of retaining 4 to 6 months of supply on-site at all times.”
The gold miner has been advancing its crushing and stacking operations since mining operations returned to all active pits. Its plans include production of over 100,000 oz. from the oxide zones in 2022 and 2023.
“With an estimated 80,000 ounces of gold in inventory, ramp-up of production continues and we look forward to a very active year of production and strong cash flow, as well as expansion and exploration on both of our licenses,” said President and CEO Bataa Tumur-Ochir.
ATO, formally known as the Altan Tsagaan Ovoo operation, is in the territory of Tsagaan Ovoo soum of Dornod province in eastern Mongolia.
Source: Steppe Gold