Processing Upgrade to 800ktpa Underway
| Stock | Meeka Metals Ltd (MEK.ASX) |
|---|---|
| Release Time | 17 Mar 2026, 8:19 a.m. |
| Price Sensitive | Yes |
Processing Upgrade to 800ktpa Underway
- Ore sorting to unlock ~200ktpa of additional mill capacity, increasing throughput to ~800ktpa
- Ore sorting to separate high-grade ore for immediate processing and low-grade ore for later processing
- Significantly lower capital cost ($6M) and shorter commissioning timeline (6 months) versus expanding crushing and grinding circuit
Meeka Metals Ltd is pleased to announce that expansion work on the Murchison processing plant has commenced, with the installation of an additional crushing circuit, wash plant, and Steinert multi-sensor ore sorter. This upgrade is expected to unlock significant additional processing capacity and increase annual gold production. The ore sorting facility will be installed ahead of the processing plant to sort Andy Well underground ore into a higher-grade ore stream that feeds into the mill for immediate processing, and a low-grade stockpile for processing at a later date. Test work at Steinert's facility confirmed that the ore sorting can separate ~85% of the contained gold into ~50% of the rock mass, effectively doubling the head grade of Andy Well ore. The $6 million capital investment has a significantly lower cost and shorter 6-month commissioning timeline compared to expanding the crushing and grinding circuit to achieve 800-1,000ktpa capacity. The increased throughput and head grade are expected to deliver a meaningful increase in annual gold production, with commissioning targeted for the September 2026 quarter. The company continues to assess options for further processing capacity expansion, including expanding the existing crushing and grinding circuit or constructing a new larger 2-3Mtpa standalone processing plant.
The upgrade is expected to unlock ~200ktpa of additional mill capacity, increasing throughput to ~800ktpa and annual gold production. The high-grade product from ore sorting is expected to contain ~85% of the contained gold ounces.
The ore sorting upgrade is expected to be operational in the September 2026 quarter, providing additional processing capacity for ore from the open pits and the upcoming Turnberry underground mine. The company continues to assess options for further processing capacity expansion to support its growing production profile.