Canada-based Superior Gold has received approval from the Government of Western Australia (WA) to develop and operate the Hermes project.
The final environmental approval for the project was given by WA’s Department of Mines and Petroleum, and included the clearing permit.
The project is located 65km south-west of the company’s Plutonic gold mine, and 800km north-east of Perth in WA.
Work on the project is set to begin with construction of the haul road, which will connect Hermes orebodies to the mill at the Plutonic Mine, where ore will be processed.
Construction of the haul road is expected to be complete within three months and will be followed by pre-stripping activities prior to the start of mining.
Superior Gold president and CEO Chris Bradbrook said: “We are very pleased to have been granted approval to commence construction work on the Hermes project, on schedule, in July.
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“We expect that the Hermes project will commence production in 2018, when it will become an important contributor to our current production profile.
“Additionally, we aim to commence drilling and exploration around Hermes to expand the overall mineral reserve and mineral resource and extend the mine-life.”
The company was assisted by Significant Environmental Services with all environmental applications and submissions for the project.
It expects to reach its targeted annual production of 100,000oz of gold, aided by ore from Hermes project.