A pit wall collapse at Ramelius Resources’ Western Queen South gold mine has forced the company into its second trading halt in less than a month.
The company called for the halt yesterday as it prepares an announcement about the wall failure.
Last month a ball mill motor failure at its Mt Magnet operation saw the company’s shares halted, West Australian reported.
It warned the disruption would affect its production guidance for the December quarter because of reduced capacity.
Earlier this year the miner recorded a loss before income tax of $67.7 million for the year to June 30, largely because of impairment costs of $61.8 million against the carrying value of its assets.
The Western Queen South gold project in WA has an expected mine life 12 months producing about 23,000 ounces of gold at a head grade of 3.9 grams per tonne.
The project signals the first of a number of smaller high grade deposits to be mined at Mt Magnet that will increase overall grade. Ramelius said it could not comment further on the potential causes of the pit wall collapse