Lion One has announced a record production achievement despite experiencing downtime in July. For the three-month period ending September 30, the Tuvatu gold manufacturer produced 3,639 ounces of gold, marking the third consecutive quarter of record production during the pilot plant phase of operations at Tuvatu, as stated by chairman and CEO Walter Berukoff.
The quarter’s mill production faced challenges due to a scheduled nine-day maintenance shutdown in July 2024, aimed at enhancing and upgrading the processing plant facilities. Berukoff emphasized that these upgrades are expected to significantly improve processing efficiency and lead to cost savings in the future.
However, Lion One has not based its current mining development plan on a feasibility study of mineral reserves that confirms economic and technical viability. This situation introduces some uncertainty regarding the recovery of minerals and associated costs, including potential risks in developing a commercially viable mining deposit.
Currently, Lion One operates five drills at Tuvatu, with three positioned underground for grade control and infill drilling, while the other two are focused on near-mine exploration and extension on the surface.
Recently, the mine reported a promising near-surface high-grade gold zone enriched with roscoelite, a rare vanadium-bearing mineral associated with higher-grade gold occurrences. An initial bulk sample from this zone revealed an impressive 11.6 grams per tonne of gold from 861 tonnes of mineralized material mined at full widths. This discovery is expected to enhance Lion One’s mine plan, with processing already underway at the pilot plant.
The presence of roscoelite serves as a strong indicator of high-grade gold mineralization, as evidenced by similar occurrences at notable mines like the Vatukoula gold mine in Fiji and Porgera gold mine in Papua New Guinea, both of which are known for their alkaline gold systems similar to Tuvatu.
In a strategic move to bolster production and prepare for future expansions, Lion One has recently drawn down $4 million for a mine enhancement plan. Over the past three years, the company has invested $300 million in Fiji, demonstrating its commitment to the region and its mining operations.
This news is promising for stakeholders, as the combination of record production, strategic upgrades, and valuable mineral discoveries positions Lion One for a favorable future in the gold mining sector.
In summary, Lion One’s continued efforts in production, maintenance upgrades, and exploration of high-grade zones highlight a pathway to increased operational efficiency and potentially significant gold recovery.
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