Crater Gold Mining Limited (ASX: CGN) has sold its first gold of 17.4 ounces from the processing of ore at the High Grade Zone Project at Crater Mountain in Papua New Guinea.

The average grade recovered was 6.0g/t Au. The gold was recovered from a combination of mostly low and some high grade development drives and was processed through the bulk sampling gravity separation plant (Figure 1).

Figure 1. Hammer Mill and Centrifugal Gravity Concentrator

Mining capacity is currently at the implementation stage and the company anticipates that full capacity will be reached as the mining plant upgrade is completed in approximately three months. The company estimates to produce approximately 10,000 ounces of gold in the first full year of production at an all-in cash cost of below $400 per ounce average over the mining lease term.

Mining of the targeted high grade intersections of gold bearing vein sets will commence soon.

For further information, visit www.cratergold.com.au

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