Malachite Resources expects first gold production from its Lorena project in north-west Queensland around mid-December.

In a quarterly report released this week the company said mining at the site had commenced.

Commissioning of fixed concentrator plant was commencing and commissioning of the CIL plant was due to start about November 20, it said.

It is expected that the Lorena Gold Project will produce around 30,000 to 35,000 ozs of recovered gold in 18 months of production.

First Lorena gold due in December