ASX-listed Horizon Minerals’ board has made a final investment decision to proceed with mining of the Boorara gold project, in Western Australia.

The company confirms it will imminently start with pre-production works, which will be followed by mining ramp-up in the Boorara openpit.

The pit was mined previously in 2016 for 30 239 t grading 1.73 g/t gold.

This ore was processed at the Greenfields mill, while an additional 13 095 t of gold grading 0.68 g/t was stockpiled.

Mining from three other pits, including the Crown Jewel and Regal deposits, in 2020 resulted in 267 000 t of ore being extracted at a grade of 1.23 g/t, which was treated at the Lakewood mill.

Horizon has applied knowledge gained from the prior mining to the current resource model, which, coupled with existing site infrastructure, significantly derisks the project from a mining perspective.

Boorara’s latest mineral resource estimate comprises 10.5-million tonnes of gold grading 1.27 g/t, for 428 000 contained ounces.

Horizon has already awarded mining services and ore haulage contracts to Hampton Transport Services on competitive terms – with no mining contractor payments due until first gold has been poured and sold with funds received.

Hampton, coupled with Norton Gold Fields, will be processing ore at the Paddington operation. The Paddington mill is located 35 km north of Kalgoorlie and remains the central hub for Norton’s gold processing operations in the Goldfields region.

Horizon will provide management oversight and technical services support, with the contractor undertaking the works. The company has already appointed a senior site executive and quarry managers, as well as technical positions.

Mining is envisioned to occur over 14 months, with processing over 19 months.

The first gold pour is expected in October, following which the mine can generate a cash flow of A$30-million at a A$3 600/oz gold price over its lifetime.

Horizon MD and CEO Grant Haywood says the restart of mining at Boorara will make the company the newest gold producer in Australia.

He confirms that the company plans to also develop other projects and establish itself as a long-term, sustainable gold producer.