Monument earns $15m gross revenues with Malaysia gold pour

Monument Mining made $15 million in gross revenues in the first three months of 2011, having sold 10,704 ounces of gold at an average price of $1404/oz.

The Vancouver-based gold explorer, which owns two gold properties in Malaysia, said it is on target to exceed 40,000 ounces of gold this year, the company’s first year of commercial production.

The news follows an NI 43-101 report last week that showed a 20% increase at Monument’s Buffalo Reef property. The report showed an indicated resource of 2.3 million tonnes grading 2.24 g/t of gold, or 165,000 ounces at a cutoff grade of 0.5 g/t Au.

Monument is anticipating cash costs of $317 per ounce with an initial five-year minelife. The gold treatment plant has a capacity of 400,000 tpa with a proposed expansion to 1 million tpa through the addition of an additional milling circuit.

3rd Quarter Highlights:

• Gross revenue of $15 million generated from gold sales of 10,704 ounces at an average price of $1,404 per ounce;
• Gold production of 11,904 ounces produced at average cash cost of $238 per ounce;
• A positive net working capital of $52.1 million resulted from gold sales and the close of the $13.4 million financing (CAD13 million);
• The Phase III plant extension preliminary design work was continued at the Selinsing Gold Project targeting  to double  production capacity from 40,000 ounces to 75,000 to 80,000 ounces; and
• Snowden Perth Pty was engaged to prepare NI43-101 technical report converting historical estimates to CIM compliant resources. The report was completed and filed under Sedar on May 27, 2011 with 20% increase in gold content.
• Exploration programs with a planned $4 million over the next 12 months commenced at the Selinsing and Buffalo Reef properties. Total of 517 meters of diamond drilling from four drill holes was completed bringing total drill meters to 1,606 from eight drill holes through the targeted zone at the Selinsing property.

Read the full press release here

Image by Monument Mining Limited