Millennium Minerals has announced that initial results from an ongoing strategic operational review of its 100%-owned Nullagine Gold Project in the Pilbara region of Western Australia have confirmed the potential to enhance operational performance and improve cash flow. The review has also identified an optimised production profile for Nullagine of ~80,000 ounces per annum, reflecting more conservative operating parameters and a revised mining schedule. The mining schedule for the next six months is based predominantly on ore feed from Golden Eagle, Bartons Underground and either the Golden Gate or Camel Creek Mining centres On the basis of the revised schedule, production guidance for calendar year 2019 has been revised to 70-75,000oz. This compares with previously published guidance of 80-90koz. Production for the September Quarter is expected to be ~18,000 ounces, increasing to ~20,000 ounces in the December Quarter. Strategic Operational Review The review commenced during the June 2019 Quarter, with recent results confirming that strong cost savings can be achieved by moving away from the current owner-operator hybrid model at the open pits at Nullagine, to an owner-operator model for load and haul operations. As a result, Millennium intends to move to an owner-operator model in October 2019 when the current open pit load and haul mining contract expires. Bartons Underground will continue as a full Contractor operation. The cost savings that can be achieved through this change are expected to be significant, and will be quantified in the Company's December 2019 Quarterly Report once the new operating model has been fully implemented. Operations Update Sulphide plant The Stage 1a upgrade to the Nullagine processing plant is complete and delivering improved ore recoveries as anticipated. Recent test work has indicated the potential to further improve gold recoveries by adding oxygen to the existing CIL tanks. This low-cost enhancement to the processing route (estimated capital cost of ~$0.5 million), would potentially delay the current requirement to implement the Stage 1b and Stage 2 processing plant expansions (estimated capital cost of $4 million-$5 million) assisting with near-term cash flow. These studies are ongoing, with results to be announced in due course. Bartons Underground Production from Bartons Underground is also continuing to grow, with multiple stoping areas now in operation. Mining studies are ongoing to minimize unplanned dilution. Bartons Underground is expected to form a key long-term ore source for Millennium, and exploration programs are planned to define Ore Reserves within the next 100m of depth extensions. Golden Gate The Golden Gate Mining Centre forms a significant part of the Company's medium-term production schedule. Development of the new Condor and Crow open pits will be scheduled once mining approvals are obtained Management Comment Millennium Managing Director Warren Hallam said the updated guidance reflected a conservative approach to the mine plan which was aimed at putting the Nullagine operation on a sustainable footing.