G Mining sells first gold from Tocantinzinho project in Brazil

G Mining Ventures (TSX: GMIN) has completed its first sale of gold doré produced at its Tocantinzinho project. According to the company, the initial gold bars have already been sent to a refinery in Switzerland.

The project, located in the state of Pará, Brazil, remains on schedule and within budget for commercial production in the second half of 2024.

“This shipment represents the first export from a large-scale, modern gold mining operation in the state,” G Mining chief executive Louis-Pierre Gignac said in a statement.

The start of production coincides with record-high gold prices, with every ounce sold by G Mining fetching over $2,400 per ounce.

Since the start of hot commissioning on June 11, approximately 77,000 tonnes of ore have been processed through the plant at Tocantinzinho. The company also reported that approximately 2 million tonnes of ore have been stockpiled at the site.

Construction of Tocantinzinho was launched in September of 2022 following the completion of a definitive feasibility study in February of that year.

The property has direct access via 103 km of all-weather roads starting from the national highway, the BR-163, which links the industries in southern Brazil to the city of Belem in the north.

Over a mine life of 10.5 years, Tocantinzinho is expected to produce 1.83 million oz. of gold, averaging 175,000 oz. per year. Over the first five years, annual gold production is expected to reach 196,000 oz.