Rox Targets 2027 Gold Pour

Key Concepts

• Dewatering: The process of removing water from a mine pit or underground workings to allow for safe mining operations.
• Decline: A sloping underground tunnel used for access to ore bodies.
• ROM Pad (Run-of-Mine Pad): A storage area where extracted ore is stockpiled before being fed into the processing mill.
• APC Contractor: Engineering, Procurement, and Construction contractor responsible for building the processing facility.
• Rerate: A potential increase in the company’s market valuation as it transitions from a developer to a gold producer.

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Main Pit Dewatering and Water Management

The operation reached a significant milestone in June of the previous year by commencing the dewatering of the main pit. To date, approximately 2 million cubic meters of water have been removed. This water is managed through a combination of storage in northern pits and the use of evaporation ponds. This process is critical as it clears the way for the next phase of mining operations.

Underground Workings and Decline Strategy

With the main pit dewatered, the focus has shifted to the historical underground workings:

• Y Main Decline: This structure extends approximately 600 meters below the surface (roughly 500 meters beneath the pit floor). A borehole has been drilled into these workings to accelerate water removal. The strategy involves stripping out the existing decline, which is described as a "cheap and fast" alternative to excavating a new one. Mining production in this area is targeted for early next year.
• Polar Decline: Located at the south end of the pit, this area also contains historical workings. Unlike the Y Main, the company will cut a completely new decline here. Dewatering via borehole is currently underway, with construction scheduled to begin late this month.

Exploration and Resource Expansion

A primary objective for the southern area is the establishment of an exploration platform. The company intends to deploy drill rigs to investigate prospect areas characterized by "super high grades," supported by both historical mining data and recent drilling results.

Mill Construction and Production Timeline

The company is preparing for the processing phase with a clear logistical roadmap:

• Stockpiling: The goal is to accumulate 190,000 tons of ore on the ROM pad before the mill is commissioned.
• Mill Construction: Bulk earthworks are currently underway, with the first pad nearing completion.
• Contractor Mobilization: Interquip, the APC contractor, is scheduled to mobilize later this month, with civil works and concrete pouring set to begin in June.
• Production Target: The project remains on schedule with the "pathway to production" framework, aiming for the first gold pour by the middle of 2027.

Synthesis and Outlook

The operation is currently in a transition phase, moving from dewatering and site preparation to active underground development and mill construction. By leveraging existing historical infrastructure (the Y Main decline) and aggressively pursuing high-grade exploration targets, the company is positioning itself for a significant operational shift. The management emphasizes that the successful execution of these milestones—culminating in the first gold pour in 2027—serves as the primary catalyst for a potential company rerate in the market.