The previous budget was $15 million.

The increase comes off the back of high-grade results from the Golden Gate and Five Mile mining centres at Nullagine.

At Condor Northwest, drilling returned 10m at 14.52 grams per tonne gold from 9m, including 5m at 26.61gpt; 7m at 11.14gpt gold from 28m, including 4m at 18.33gpt; and 3m at 25.16gpt gold, including 1m at 73.1gpt.

Highlights from Buzzard included 5m at 5.02gpt gold from 19m, including 2m at 9.64gpt; and 2m at 8.29gpt gold from 49, including 1m at 21.5gpt gold.

Condor Northwest is 36km from the plant, while Buzzard is 38km away.

Also within the Golden Gate mining centre, drilling at Biljim South returned 20m at 5.64gpt gold from 6m, including 13m at 7.58gpt; 7m at 14.86gpt gold from 4m, including 3m at 31.57gpt; and 4m at 12.51gpt gold from 13m, including 2m at 23.43gpt.

At Majuba Hill, 10km from the plant within the Five Mile mining centre, hits included 10m at 13.42gpt gold from 19m, including 7m at 18.22gpt; 17m at 5.54gpt gold from 41m, including 5m at 15.14gpt; and 4m at 12.44gpt gold from 56m, including 1m at 48.2gpt.

Millennium spent $13.6 million on exploration last year with the aim of extending mine life, deeming the 2016 program a major success.

The 2016 program resulted in a 48% jump in ore reserves to 3.99 million tonnes at 1.4gpt gold for 185,900 ounces of gold after mining depletion of 97,000oz.

The company said the reserves were added at a cost of $A87 an ounce.

Resources rose by 14% to 31.8Mt at 1.3gpt gold for 1.28 million ounces of gold.

The further increase in budget for this year will have the same aim.

“These results from the Golden Gate and Five Mile mining centres show that we are laying the foundations for increased mine life at Nullagine,” Millennium CEO Peter Cash said.

“The project continues to return high-grade, near-surface gold intercepts in new areas as well as at previously identified deposits, confirming their continuity and amenability to open pit mining.”

Millennium is also assessing the processing of fresh rock, with a scoping study imminent, as well as possible underground options.

On a grim day for gold equities, Millennium shares were unchanged at 23c.