Havilah Resources has successfully closed out its gold hedging facility with the production and sale of its first 20,000 ounces of gold from the Portia Gold Mine (10,000 ounces attributable to Havilah).
Havilah said it has now delivered all ounces hedged through spot deferred gold sales under the Investec Risk Management Facility (an average gold price of A$1,618), allowing for all future gold sales to be “exposed to gold price movements”.
“We have sold our first 10,000 ounces of gold from Portia and have successfully fulfilled our contractual hedging obligations,” said Havilah Managing Director, Dr Chris Giles.
“It is another significant milestone in the history of Havilah and the Portia Gold Mine, as it represents the first 16 million in revenue for the company. This means that ongoing future gold production from Portia is unhedged and provides us with full exposure to movements in the gold price.”
The Portia Gold Mine is located 120km north-west of Broken Hill in South Australia. Havilah recently expanded the Portia open pit a further 120 metres to the south of its present position to enable continuing gold production for at least another twelve months.