Barton Gold strengthens Tunkillia development team with strategic appointment
Barton Gold (ASX: BGD) (OTCQB: BGDFF) has added further momentum to its South Australian project development plans with the appointment of highly-regarded Kim Russell as general manager of development.
Mr Russell brings more than 30 years of experience as a mining engineer, with a strong background in the development and operation of large-scale open-pit gold, iron ore, base and specialty metals projects, as well as in project finance, mergers and acquisitions.
Mr Russell was most recently Head of Mining Operations for Rex Minerals’ (ASX: RXM) South Australian greenfields copper-gold Hillside project, after periods spent at Pilbara Minerals (ASX: PLS), NYSE-listed Harmony Gold, and PCF Capital (Argonaut).
‘Exciting new phase’
Barton Gold managing director Alex Scanlon said Mr Russell would head up the Tunkillia gold project through optimised scoping studies in advance of prospective feasibility studies, planning and execution of key asset monetisation initiatives and the implementation of existing brownfields and new greenfields mining projects.
“Our recently published preliminary scoping study for Tunkillia outlined a project that, in operation today, would rank favourably by all-in sustaining cost among Australian gold producers,” Mr Scanlon said.
“This is a significant step forward for Barton, and a strong baseline from which to pursue multiple opportunities for cost optimisation and mine plan growth.”
“We are therefore pleased to welcome Kim into our leadership ranks as we enter an exciting new phase.”
“Ranging from studies through to project finance, development and operations, his skills will be of substantial value in the coming years.”
Tunkillia scoping study
The initial Tunkillia scoping study validated Barton’s strategy to target economies of scale, with an average 130,000 ounces per annum gold production and 311kozpa silver production, yielding an average $1,626/oz operating cash margin at today’s gold prices.
The project also benefits strongly from a higher-grade ‘starter’ pit, which generates around 181,000oz gold at an operating cash flow of $2,265/oz during the first 18 months of processing.
The results from the study are part of Barton’s dual-focused gold development strategy alongside progressing the historic Tarcoola gold project, also in SA.
Multiple upgrades
Barton acquired Tunkillia in December 2019 with the belief that the project had significant growth potential due to limited historical exploration during periods of lower gold prices.
Its decision to pour funding into exploration of the project has paid off with multiple resource upgrades.
In three years, the company has grown Tunkillia to a 1.5Moz gold resource and demonstrated a viable, large-scale standalone operation.
Following the most recent upgrade in March 2024, Barton commissioned GR Engineering Services and Mining Associates to lead the scoping study for Tunkillia’s development on a 5 million tonne per annum model.
Webinar details
Small Caps will be hosting a webinar on Tuesday 23 July that will commence at 6pm Sydney time, 4pm Perth time and 9am London time.
The webinar will include a live Q&A session for investors following Mr Scanlon’s presentation.