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Highlights

  • Mining begins at the Starter Pit of the Munda Gold Mine, with full infrastructure already in place.

  • 125,000 tonnes of ore expected to be mined over five months, targeting 6,100 ounces of gold.

  • First blasting of fresh rock anticipated within two weeks; full-scale Munda Main Pit planned for 2026.

Auric Mining Ltd (ASX:AWJ) has officially launched mining activities at the Starter Pit of its flagship Munda Gold Mine in Western Australia, marking a major step forward in the company’s strategy to transition into gold production.

With all necessary site infrastructure now operational—including a mine camp and site office—mining has begun in the weathered, upper zone of the Starter Pit, which allows for free-digging without blasting. The company estimates that blasting activities will commence in approximately two weeks, once operations reach the fresher rock layers below.

The Starter Pit phase is projected to last five months, during which Auric expects to extract 125,000 tonnes of ore at an average grade of 1.8 grams per tonne (g/t) gold, generating around 6,100 ounces of gold. The mine’s all-in sustaining cost is estimated at $2,635 per ounce, highlighting the financial realities of early-stage production.

Pathway to Production

Auric Managing Director Mark English noted the significance of this milestone in realising the company’s long-held ambitions.

“When we bought the tenements in September 2020, it was always our intention to get into production as quickly as possible,” English said. “It won’t be long before ore stockpiles start to build at Munda.”

With a market capitalisation of $33.51 million, Auric has staked much of its near-term production outlook on the success of the Munda Mine, which currently holds a gold resource estimate of 145,000 ounces.

The Starter Pit represents only the initial phase of a broader development strategy. Upon completion, Auric will shift focus to detailed planning for a larger Munda Main Pit, which is expected to commence in 2026, expanding the scope and scale of operations at the site.

Strategic Value of Munda

The Munda Gold Mine, located in a well-established mining jurisdiction, is a cornerstone asset in Auric’s portfolio. Its relatively high-grade ore and existing infrastructure make it an attractive near-term producer. The initial phase will serve as both a production pilot and a data-gathering exercise, helping refine plans for the larger pit development.

With this progress, Auric joins the ranks of small-cap Australian gold miners shifting from exploration to production.