ASX: PGO - Pacgold
- Matt Birney
- 6 days ago
- 4 min read
Pacgold: New gold acquisition. This thing could be printing money in just months!
Pacgold Ltd Managing Director Matthew Boyes on 3AW, 2GB, 4BC & 6PR Bulls N' Bears Report
Listen to ASX-listed Pacgold Managing Director Matthew Boyes talk to Matt Birney on the Bulls N’ Bears Report about Pacgold’s big shift in gears to pick up an operational gold mine that can pay the bills to drill out the company’s big QLD intrusive gold play.
TO LISTEN TO THE PACGOLD AUDIO INTERVIEW - CLICK BELOW
Pacgold is an ASX-listed explorer with gold and critical minerals in its crosshairs. Its almost one-million-ounce Alice River gold exploration project sits in one of North Queensland’s richest provinces, while the company’s nearby St George project adds an antimony twist. And this week, the company shifted gears in a big way by snapping up the historic White Dam gold operation in South Australia… for what looks like an absolute song. The deal includes a fully permitted, production-ready site that’s already poured plenty of gold and still holds a tasty resource.
RADIO INTERVIEW - TRANSCRIPT
Matt Birney - Welcome to Bulls N' Bears, brought to you today by gold exploration company Pacgold Limited
Matt Birney - ASX code: PGO
Matt Birney - I'm Matt Birney, and I'm joined now by the Managing Director of Pacgold, Matt Boyes
Matt Birney - Hi, Matt
Matt Birney - Yeah, hi Matt. How are you?
Matt Birney - I'm good. Okay, so Pacgold has almost one-million-ounces of gold and counting at its Alice River project in North Queensland, that boasts a massive potential strike zone that the company is systematically exploring for intrusive style gold.
Matt Birney - This week, Pacgold shifted gears in a big way by snapping up the historic White Dam heap leach gold mine in South Australia that will likely give it a ready made funding source to drill out Alice River.
Matt Birney - Okay, Matt, this sounds interesting. Firstly, exactly where is White Dam? What mining plant have you acquired with its purchase? What do you have to do to get it operational again?
Matt Birney - Yeah, Matt, the White Dam assets. It's about 50 kilometres west of Broken Hill in South Australia. The plant itself we've acquired is a heat leach plant.
Matt Birney - It's a carbon-in-leach plant. It's got roughly $30 million of capital sunk into it. It's fully operational, bar about $800,000 of capital up front.
Matt Birney - What's the mining history at the project?
Matt Birney - The history, the asset was mined from 2010 to 2018 and a joint venture with Polymetals and Exco. It's produced 180,000 ounces to date of 225,000 ounces and it's gold that was loaded onto the pad.
Matt Birney - And how much gold's left at site that you know of and are there any regional exploration opportunities at the project?
Matt Birney - Gold left at site that we know of, there are JORC compliant resources for about 100,000 ounces at the moment. There are plenty, there's multiple exploration targets both near mine and regional that need to be followed up on by the company this year and we'll start drilling those as soon as we get onto the ground.
Matt Birney - And what'd you pay for the project?
Matt Birney - We got the project for a good price. I think we paid $1.2 million up front as a cash payment. And then we gave them also 15 million shares in Pacgold as part of the as part of the compensation.
Matt Birney - And then also if we do produce 5,000 ounces or more from the heap leach pad then we're required to pay in cash or shares at election the company another $2.2 million Australian.
Matt Birney - All right. So the big question, how quickly can you make some money out of this thing? What's the execution plan?
Matt Birney - Look quickly. The main reason we picked up the asset was one, because it was fully operational. We can actually start recrushing and turning over existing material on the pad pretty much straight away.
Matt Birney - So immediately putting ourselves probably in I'd say quarter one early quarter one next year we'll be producing our first gold bar from the White Dam project.
Matt Birney - Up in Queensland you've got your Alice River gold project that I really like, a massive looking strike distance at Alice River.
Matt Birney - Is the plan to make some money out of this thing in South Australia and pump it into exploration at Alice River? Is that the sort of grand plan?
Matt Birney - Absolutely. I think Alice River is a magnificent asset. We've always said it's a two to five million ounce potential up there. We will be putting money also into our St George antimony asset as well.
Matt Birney - So really the the White Dam project is sort of a three-phase asset. One, it gives us near-term production. Two, it gives us cash flow.
Matt Birney - And three, it gives us a possibility invest that money back into our existing assets and then bring those resources we've already delineated to a larger scale.
Matt Birney - Matt Boyes from Pagold.
Matt Birney - Thanks for joining me on Bulls N' Bears and remember we're only here to give you information, not advice, which you should of course seek independently.
Matt Birney - I'm Matt Birney and this is Bulls N' Bears.
Outro - For more public company interviews go to the money page on the 6PR, 2GB, 3AW and 4BC websites and click the public companies tab.
