Matsa Resources huge focus on Red Dog and Red October gold mine productions and advancing exploration at the Lake Carey Gold project

KEY TAKEAWAYS: 

• Mining at the Red Dog Gold Project commenced with 19,861 tonnes of ore at an average grade of
  2.65 g/t Au produced during September, above the forecasted 16,533 tonnes at 2.50 g/t Au.
• The Red October Gold Mine remains under care and maintenance as potential for near-mining is being advanced.
• Matsa holds a ground position of ~ 600km2 at Lake Carey which is highly prospective for new gold discoveries.

Mining commenced at the Red Dog gold mine, with production expected to be 13,400 oz. During the quarter 19,861t @ 2.65 g/tAu were mined, above the forecast of 16,533t @ 2.50g/t Au

Ore deliveries commenced in October with 49,202t @ 2.56 g/t Au delivered by 28 October.

At the end of the quarter, the mine performed in accordance with the mine budgets and plans and few interruptions to production.

The completed Red Dog mining study returned the following key parameters:  All in sustainable cash cost (AISC) of A$1,294 oz gold, cash surplus A$5.4M after all operating costs, total production 182,000t @ 2.5g/t Au (13,400 recovered oz gold).

The Red October Gold Mine remains under care and maintenance as potential for near-mining is being advanced.

Matsa anticipates that the mine studies will conclude in a mine plan to commence mining in the near
term on a small scale with plans to then ramp up mining operations as further exploration drilling
confirms anticipated minable resources.

The Red October mine is a structurally controlled gold deposit located in the Laverton Greenstone Belt(LGB) which hosts a number of world class gold mines with resources >25M oz of gold which include Sunrise Dam, Granny Smith and Wallaby.

Matsa holds a ground position of ~ 600km2 at Lake Carey which is highly prospective for new gold discoveries.

Matsa also sees substantial opportunities for further discoveries in favourable structural and
stratigraphic settings within the Lake Carey Project area which remain relatively under-explored.

About Matsa Resources Limited (ASX: MAT)

Matsa is an ASX listed explorer/developer who has become a gold producer following the acquisition and development of the Fortitude gold mine. Fortitude forms part of the Lake Carey gold project south of Laverton.

Matsa has a pipeline of quality projects within Australia and central Thailand. Matsa has recently acquired the Red October Gold mine near Lake Carey which boosts the mining potential within the area.

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