St Barbara has uncovered a promising new oxide discovery at its Simberi gold project in PNG.
The discovery was made between the Pigibo North and Southwest Sorowar pits, showing “significant” drill intercepts up to 2.1 grams per tonne of gold at 25m.
Near-surface diamond drill intercepts from the sulphides sterilisation drilling in the area that forms part of the same new discovery include 24m at 1.4 grams per tonne of gold from 0m.
Further excavator trenching and limited shallow diamond drilling has been completed with assay results due in early 2026.
The new oxide discovery is being fast-tracked with grade control drilling commencing this month to test a total area of approximately 250x80m.
“The identification of this new oxide mineralisation between Pigibo North and Sorowar is a real boost for the current Simberi oxide operations,” St Barbara managing director and chief executive officer Andrew Strelein said.
“These significant results from trenching and the near surface drilling results are now being followed up with grade control drilling with the objective of commencing mining in Q3.”
St Barbara also released its December quarter production and sales results, which saw gold sales total 11,712 ounces (oz) at an average sale price of $4116/oz.
The lower production of 10,262 ounces means that production for the year is now projected to be at the bottom end of guidance, but St Barbara isn’t perturbed.
Improvement in the gold production performance at Simberi is expected to be underpinned by higher grade ore sources, including from Sorowar East where a significant proportion of planned mining was deferred last year until after an MMD Sizer crusher is installed, and the delivery of two new excavators arriving in January to boost fleet capacity.
The MMD Sizer crusher and the excavators have arrived in Lae ahead of schedule and are being barged to Simberi this month.
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