Genesis Minerals ASX: GMD - Market cap: $17.2M – Shares on...

Genesis Minerals
ASX: GMD - Market cap: $17.2M – Shares on Issue: 637.2M
Presenter – Michael Fowler, Managing Director & CEO

Genesis last week pressed the button to get open pit mining operations underway at the Ulysses West open pit, part of the Company’s 100%-owned Ulysses Gold Project near Leonora in Western Australia.

The commencement of mining marks a significant milestone for Genesis, signalling the all-important transition to production and cash-flow, which will underpin the Company’s next phase of growth and development.

The project is forecast to generate total estimated free cash-flow of ~$6 million from the initial Ulysses West operation (at a gold price of A$1750 per ounce), based on the Feasibility Study completed in August.

The cash-flow generated at Ulysses will underpin the Company’s strategy to ramp-up exploration activities both at Ulysses and its highly prospective Viking exploration project, located near Norseman in the Albany-Fraser Province.

• The key objectives of the upcoming exploration programs are to:
• Grow the resource inventory at Ulysses and identify additional low-risk open pit mining opportunities which can be pursued in a similar manner to Ulysses West; and

Make a company-changing gold discovery at either Ulysses or Viking, with the Viking tenements in particular offering outstanding discovery potential in a highly prospective emerging gold province.
This two-pronged strategy should generate significant news-flow for Genesis over the coming months, both from the ongoing mining activities and from a multi-pronged exploration campaign across two highly prospective WA gold projects.