Resources & Energy Group Limited (ASX:REZ or the Company) are pleased to advise that the first Gold pours for the Granny Venn mine took place at the Lakewood Gold Mill on Tuesday 26th October. This represents production from the preceding 9 days of Milling operations. The initial pours have yielded 22.84kg of Dore (1). This represents a combination of gold recovery from Gravity and CIL circuits.

Discussion

The first toll treatment for the Granny Venn Cut Back (campaign 1) has reached the midway mark. This resulted in the first gold pours for the project, which occurred yesterday morning at the Lakewood Gold Room. A total of 22.84kg of gold dore was produced from the pour. This comprised 7.96kg from the Gravity Circuit and 14.88kg from the CIL circuit. Umpire samples of production have been taken, and the gold dore is now being dispatched to the Perth Gold Mint for determination of assay for outturn certification.

Since commencement of the toll campaign 1, approximately 17kt has been processed to date. The metallurgical performance of the ore is highly encouraging. The unreconciled weighted head grade of the mill feed is calculated to be 2.59gt. This exceeds the forecast campaign head grade of 2.14 g/t.

"This is such a great milestone for Resources and Energy Group as it is the company's first gold pour."

Alex Sutton, Senior Mining Analyst

Resources and Energy Group Director, Richard Poole, commented:

"The Company is delighted to report this outcome. It represents a pivotal moment in the Company’s growth as it transitions from exploration to production. Since acquiring ground in the East Menzies Goldfield, the Company has moved rapidly to identify and commercialise resources, whilst maintaining a vigorous exploration strategy which has delivered some outstanding results for gold at Gigante Grande, and for nickel at Springfield. I would like to thank our mining partners at BM Mining Pty Ltd who have done an amazing job at managing Mining Operations at Granny Venn and enabling this outcome to be achieved.

The gold milling campaign is being carried out at the Lakewood Gold Plant which is located at Kalgoorlie‐Boulder and operated by Golden Mile Milling."

Competent Persons Statement and Consent

The information in this release that relates to Exploration Results is based on and fairly represents information compiled by Mr. Michael Johnstone Principal Consultant for Minerva Geological Services (MGS). Mr Johnstone is a member of the Australasian Institute of Mining and Metallurgy and has sufficient experience that is relevant to the reporting of Exploration Results to qualify as a Competent Persons as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr. Johnstone consents to the inclusion in this release of the matters based on their information in the form and context in which it appears.

Read the full announcement here.

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