By - admin

Quarterly Report April – June 2011

Quarterly Report April – June 2011

Key Points

  • Quarterly production increases by 75% to 15,935 oz gold
  • Robust head grade delivers cash cost reduction of 47% to $834/oz
  • Newton Resource continues at depth
  • Increased stake in GoldStone Resources to 33%
  • Cash at bank increased to $41.8 million


Rod Hanson, Managing Director & CEO comment “Gold production for the June quarter was a very strong 15,935 ounces at a cash cost $834/oz. Production was 75% above the March quarter result and was driven primarily by a sustained lift in ore grade at the Henty Gold Mine, which is producing gold at a rate of around 50,000 ounces per year, providing a solid cash margin.

At Henty, we have a number of promising near-mine and regional exploration targets on our highly prospective tenements, and we will continue to use our strong balance sheet and cash position to fund an aggressive exploration program and to grow the business.

In May, Unity increased its stake in West-African gold explorer GoldStone Resources to 33%, reflecting our desire for GoldStone to become a more meaningful part of Unity’s business. With drilling now underway at GoldStone’s core Homase project in Ghana, and results expected shortly for Homase and other exploration properties in Ghana and Senegal, the Company looks set for a transformational year” said Mr Hanson.


  • Total gold production was 15,935 oz at a cash operating cost of $834/oz (9086 oz gold at $1582/oz in March 2011 quarter).
  • Henty Gold Mine produced 12,859 oz at a cash cost of $855/oz which includes royalties of $133/oz, whilst Kangaroo Flat Mine production was 3076 oz at a cost of $744/oz.


  • Drilling continues to display depth extensions of the Newton Zone with a best intercept of 7.0 m at 7.0 g/t gold.
  • An updated resources and reserves statement will be provided next month, reflecting the enlarged Newton Zone.
  • Exploration on the Bendigo Exploration Licences under the Farm-In arrangement with Drummond Gold continued the search for large disseminated gold deposits.
  • GoldStone Resources (33% owned by Unity Mining) announced the commencement of its inaugural drill program at Homase, Ghana. Soil sampling programs have  concluded at Manso Amenfi in Ghana and at Sangola in Senegal, with results expected in the near future.


  • Gold sales were $25.3 million during the quarter from the sale of 17,784 oz gold at an average price of $1420/oz.
  • Cash in bank was at $41.8 million at 30 June 2011 ($38.9 million at 31 March 2011).