Black Cat Syndicate (ASX:BC8) has received approval for underground mining at the Myhree deposit, marking a milestone in its "More Gold Sooner" strategy at the Kal East Gold Project.
Mining operations are set to begin following the completion of open pit mining in October, based on operational needs.
The company is also advancing several initiatives, including the reoptimisation of Kal East's open pits and underground mines in light of current gold prices, tendering for underground and open pit contracts, dewatering the Majestic open pit, and conducting drilling for grade control and resource extensions.
Additional mine approvals are anticipated soon.
Gareth Solly, Managing Director of Black Cat, stated, "The Myhree underground mining approval provides optionality for Kal East and mining approvals for other deposits are also expected soon."
The Myhree deposit, located 24km from the 1.2Mtpa Lakewood processing facility, currently holds a resource of 815kt at 4.0g/t Au and remains open at depth.
While the underground mine is separate from the turn-key funding and development for the open pit, all ore from Myhree will be processed at the Lakewood facility.
The timing of mining operations will be determined by operational requirements.
In the coming months, the company will continue with key activities, including ongoing underground drilling at Paulsens, surface drilling at Kal East, and the commencement of mining at the Myhree and Boundary open pits.
At the time of reporting, Black Cat Syndicate's share price was $1.05.