Getting the shine back
DACIAN Gold chief executive Rohan Williams says the embattled miner is aiming to regain investor confidence after consecutive production downgrades tarnished its lustre earlier this year.
While confidence in the former rising star of the industry has bounced back a little, Mr Williams estimated it would take about six months to potentially lure lost shareholders back after three quarters of the company’s value was wiped out.
“A lot of investors that sold their shares that drove the share price down aren’t back,” he said.
“We’ve got to win their respect back, so we’ve got to demonstrate performance quarter on quarter.”
The presentation came as Dacian confirmed that a high-grade discovery was made below the historic Morgans North open pit, which lies near the operating Westralia underground gold mine in Laverton, WA.
The discovery is believed to be hosted by a previously unrecognised banded-iron-formation (BIF) unit that lies in the footwall.
Mr Williams hopes these results will allow for further production at Morgans North.
“We are currently completing several 80 metres spaced holes in the 250-metre gap between our new drilling and the base of the old Morgans North open pit,” he said.
“If these drill holes return similar wide-space, high-grade intersections to these seen in our recent drilling programs, then there is strong potential for this discovery to become a new, near-term production source at Mt Morgans.”