Queenstake Resources shipped the first 254 ounces of gold from the Magistral joint venture in Mexico earlier this month. The company reported that this gold was sold at US$316.10/oz and that production is not hedged.
The four deposits that comprise the Magistral project are located in Mexico's Sinaloa state. Together they have proven and probable reserves of 6.98 million tonnes grading 2.07 g/t Au. The project consists of open pit mining, agglomeration and heap leaching at a rate of 1 million tonnes per year. Annual gold production is estimated to be 40,000 oz at a cost of about US$180/oz.
Queenstake has an informative photo library of the Magistral project on its web site at www.queenstake.com