Almot Maqolo, Staff Writer 
PADENGA Holdings (Padenga) says it will stop open pit mining at its Chegutu subsidiary, Pickstone Peerless Mine in August this year following major capital investments into underground mining operations.
The first phase of underground mining was completed last year and commissioned in April of this year with further investments already channelled for phase two which is already underway.
Open-pit mining is a process of extracting low-grade ore and it is intensive in terms of capital requirements and the need to move large quantities of material to obtain the minerals sought.
“The open pit mine at Pickstone Peerless Mine finishes in August, and we have no further plans for an open pit mine there,” Padenga Holdings’ chief executive Michael Fowler responded to a question raised at the company’s annual general meeting recently over the ‘uneconomical’ nature of the current mining method.
Padenga acquired 100 percent ownership in the gold-focused mining company Dallaglio Holdings, which previously owned Pickstone Peerless Mine and Eureka Gold Mine.
“We have resources of 3,148 million ounces, and we have reserves of 601 000. If I can just add, there’s a drilling programme continuing that’s carrying on to prove up the resources, which we’re quite confident in,” added Fowler.
With record prices already set, the gold price forecast seems stable for the rest of the year.
Accordingly, in the first quarter ending March 31, 2024, the group’s gold sales rose 39 percent to 751,6 kilogrammes from 541,4 kilogrammes in the comparative period.
This was attributed to increases in milled tonnage and mill feed grade.
From 427 702 tonnes recorded during the same period last year to 457 440 tonnes this year, a seven percent rise in milled tonnes was achieved.
The addition of a new mill at Pickstone Peerless Mine and enhanced plant throughput at Eureka Mine were the causes of the increase.
Also, there was a two percent rise in mill feed grade.
The Pre-Leach Thickener and Solar Project at Eureka Mine are two further projects scheduled for completion in 2024. newsdesk@fingaz.co.zw
