A JUNIOR gold mining and exploration company based in Bendigo has begun production at its Inglewood site.
Greater Bendigo Gold Mines executive chairman Ian Smith surveyed the mine site yesterday.
"We are here, we are up and running, and we are in production," he said.
Operations at Inglewood began last month after an extensive refit for the mine infrastructure.
Mr Smith said all main systems were functioning and overall effectiveness had exceeded expectations.
"In addition to capturing the normal size free-range gold that was expected, gold down to and finer than 40 microns is being trapped by the enhanced gravity concentrators we have installed."
GBM managing director John Cahill said everyone was smiling, particularly about the effectiveness of the gravity concentrators.
"The concentrators are also extracting greater amounts of gold than expected, which the previous mine plant failed to capture before discharge into tailings."
Processing trials of about 20 tonnes of high-grade ore from underground had yielded sizeable quantities of coarse free gold in the plant's fluidised riffle box.
With gold being captured in coarse and free forms, and as concentrate, the plant's operations will now move from component effectiveness testing to overall performance measurement and reporting.
There will be a focus on processing the metal into gold bars for sale.
Gold sales are scheduled to begin this month.
Mr Smith paid tribute to the management team operating from the Bendigo office.
He said it had provided first-class geological services, planning, finance, general management and company administration.
"Having the Inglewood project on line took hours of dedicated work by great teams at the mine site and Bendigo."