Hillgrove Resources (ASX: $HGO) Quarterly Report Highlights

Hillgrove Resources Limited (ASX: $HGO) has reported significant milestones in its quarterly report for the period ending 31 March 2024. The company achieved its first copper production and sales from the Kanmantoo underground, marking its transition to a cash-generating producer. Additionally, a successful capital raise of $10 million will facilitate accelerated exploration to increase mine life and annual copper production, as well as provide working capital support for the underground.

Managing Director's Statement

The Managing Director expressed satisfaction with the first copper production from the Kanmantoo underground, highlighting the company's ability to deliver on stated objectives within eight months of the Final Investment Decision. The focus for the next quarter will be on increasing the mining rate towards steady state, as the underground development matures and multiple stopes are mined concurrently. The improving operational control in the processing plant is expected to enhance copper production, especially with the commissioning of the onstream analyser. The successful capital raise will support downhole geophysical surveys at Kanmantoo Deeps to assist in drill targeting, presenting an exciting prospect for the company's future growth.

Quarterly Report Summary

Hillgrove Resources' quarterly report highlights the commencement of bulk mining activities and first copper production from the Kanmantoo underground. The company's successful capital raise of $10 million will support accelerated exploration aimed at increasing both mine life and annual copper production, as well as provide working capital support for the underground. With the focus on increasing the mining rate towards steady state and enhancing operational control in the processing plant, Hillgrove Resources is poised for continued growth. The company's exploration activities, including the Kanmantoo Deeps target, present significant opportunities for expanding the resource base and extending the mine life. Hillgrove Resources remains committed to its corporate strategy of sustainable growth and value creation.