Australian Private equity house EMR Capital to take 80 pct stake in Zambia copper mine at the cost of $125m after it purchased copper zinc mine Golden Grove from MMG in December. The Lubambe Mine held equally by ARM and Vale International. EMR chief executive officer Jason Chang said the Lubambe acquisition reflected the firm’s confidence in the quality of the project as a long-life copper producer located in Zambia’s most prolific mining region, the Copperbelt. "We are pleased to enter into an agreement to acquire Lubambe, which offers exceptional quality and growth potential and which will substantially enhance the value and depth of our copper portfolio. "EMR will continue to focus on copper, gold, potash and coking coal acquisition opportunities globally,"
St Barbara Ltd was last night named ‘Digger of the Year’ at the 26th Diggers & Dealers mining forum in Kalgoorlie, Western Australia. The prestigious award recognises the significant turnaround achieved by the St Barbara team over the past three years.
The award citation presented by Nick Giorgetta, Chairman of the Diggers & Dealers forum, highlighted the achievement by St Barbara to “convert a company that was previously considered to have an uncertain future into a company that consistently meets or exceeds expectations. This turnaround is a credit to the entire St Barbara team because it was a genuine team effort that we should all be proud of. The challenge for us now is to use the same energy and commitment that drove the turnaround to drive the next chapter in St Barbara’s growth.”
The award recognises the huge effort by all of St Barbara's employees during an at times difficult period and the turnaround has positioned St Barbara with world-class operations, a first-rate team culture, no debt and an exciting future.
St Barbara Managing Director and CEO, Bob Vassie, accepted the award on behalf of the Company at last night’s Diggers & Dealer's gala dinner.
Metals X Limited recommenced underground drilling in November 2016 shortly after taking control of the Nifty Copper Operation. To date, approximately 20,000 metres of diamond drilling outside of the mining area has been completed with the objective of extending the Ore Reserve up plunge, down-plunge and within the limbs of the folded carbonate units within the Nifty syncline. Although a substantial number of assays are still pending, results to date confirm significant extensions of mineralisation outside of the current mining areas.The drilling has returned some exceptional and long intercepts of well-developed copper mineralisation which are analogous to the Nifty ore system.
Metals X Managing Director, Warren Hallam, said: “We are very pleased with the results to date that clearly confirm the upside potential of this outstanding ore system. We are confident that we will grow Nifty into a large, long-life mine and that Nifty will continue to be a significant copper producer for years to come”. “We are excited by the exploration potential within the Throssell Ranges and believe that there is substantial opportunity for further discoveries. We have commenced our regional exploration program with the drilling of a Nifty look-alike target at the Finch Prospect, 20 kilometres south-east of Nifty that is also on the same regional copper-trend. A second rig has also been deployed to test the down-plunge extent of the Nifty syncline on the basis of results from the recent deep seismic surveys.” “In addition, drilling will commence at our Maroochydore Prospect in August after the completion of the current Finch program. Maroochydore is located approximately 85 kilometres south-east of Nifty and already hosts a large copper oxide deposit with over 500,000 tonnes of contained copper metal at a grade of approximately 1% copper. More recent deeper drilling has also identified the upper zones of the primary chalcopyrite sulphide mineralisation. The objective of the program is to explore for another Nifty at depth”.
According to a job vacancy report by Engineers Australia, demand for mining engineers has almost doubled in Western Australia over the last year.
Industry leaders say the turnaround signals growth in mining activity, as small and medium-sized companies move towards production, particulary in the gold industry.
Our clients are saying it is getting harder to find the right candidates for their vacancies.
The Australian Statistics Bureau said today that Australian employment surged in May, fueled by a large uptick in full-time jobs, underscoring a strong labour recovery through the first half of 2017 with the jobless rate declining to 5.5% from 5.7%
Doray Minerals Limited announced today initial results from its ongoing Resource infill and extension programme at the Deflector Gold Copper Operation. This drilling is part of Doray’s aggressive strategy of upgrading the Inferred sections of the Mineral Resource to Indicated category, and extending it at depth, which will allow additional Ore Reserves and mine life to be delineated at Deflector. Drilling has primarily focussed on the extremities of Mineral Resources on the main Western and Central Lodes, with additional intersections of the Contact Lodes. A total of 19 diamond drill holes for 6,103m have been completed to date, with drilling continuing.
Outstanding intersections include:
- 0.3m @ 349g/t Au and 2.1% Cu from 256.8m
- 0.3m @ 118g/t Au and 3.7% Cu from 92.3m
- 0.3m @ 156g/t Au and 1.0% Cu from 306.3m
- 2.1m @ 10.9g/t Au and 0.5% Cu from 323.3m
- 3.1m @ 14.5g/t Au from 227.0m
- 0.95m @ 56.3g/t Au and 0.8% Cu from 276.4m
Doray’s Managing Director Mr Leigh Junk said the Company was excited by the excellent results that have increased the understanding of the orebody and confirmed that strong mineralisation continued at depth beyond the boundaries of the current mine plan. “The Deflector orebody is open at depth and these drilling results highlight the many opportunities we have to define further extensions, and strengthens our confidence that the mine life can be extended beyond the current five years” Mr Junk said.
Australian lithium developer Pilbara Minerals Limited advised today that it has received its environmental approval for its 100%-owned Pilgangoora Lithium-Tantalum Project in Western Australia, marking the last of the major approval milestones for the project and clearing the way for construction to proceed.
The approval of the Company’s Mining Proposal by the Department of Mines and Petroleum (“DMP”), in combination with previously approved Native Vegetation Clearing Permit and Project Management Plan, authorises Pilbara to commence major site works.
Pilbara’s Managing Director and CEO, Ken Brinsden, said the completion of the extensive environmental approvals process by the DMP was a significant milestone for the Company, securing the necessary approvals to enable fullscale construction activities to begin.
“Pilbara has achieved an enormous amount in a very short period of time and, with these final environmental approvals now in place, the Company is firmly on track to becoming the next major lithium raw materials supplier globally,” he said. “With the achievement of each of these important milestones, we have continued to de-risk the Pilgangoora Project. “Now, with project financing just around the corner, our shareholders can look forward to steady news-flow as we complete major construction milestones on site and move into the full-scale development phase – putting us on track to begin commissioning the project from the first quarter of next year.”
Mount Gibson Iron Limited (Mount Gibson) was pleased to announce Board approval to redevelop and restart production from the high grade Main Pit iron ore deposit at its Koolan Island mine in Western Australia, after a feasibility study confirmed compelling economics for the Project.
Extensive technical evaluation carried out over the last two years, including detailed design and multiple peer reviews by independent engineering experts, has confirmed a safe and viable design and construction method to rebuild the Main Pit seawall, which is required to dewater the pit and recommence production from the Main Pit Deposit. Seawall construction, pit dewatering and all other activities associated with restarting production are anticipated to take approximately 24 months to complete with Mount Gibson targeting first ore sales in early 2019.
Mount Gibson Chief Executive Officer Jim Beyer said:
“After two years of extensive work to identify and confirm a safe and effective design and construction method for rebuilding the Main Pit seawall at Koolan Island, it is extremely pleasing to commence construction on what is undoubtedly one of the world’s premier and most compelling high grade iron ore investment opportunities. Coming shortly after extending the life of our Mid West operations, the redevelopment of Koolan Island also re-establishes Mount Gibson’s status as one of Australia’s premier high-grade producers at a time of rapidly growing demand for premium quality iron ore products. Importantly, it also provides a long term platform for further value creation. Our substantial cash reserves and cashflow from existing operations give us the capacity to undertake this investment without any need to take on debt for the project and still pursue other attractive opportunities which may arise in the months and years ahead.”
Today Yancoal Australia Ltd (“Yancoal”) anounced they have received confirmation from the Foreign Investment Review Board (“FIRB”) that the Commonwealth has no objection to Yancoal acquiring 100 percent of Coal & Allied Industries Limited (“Coal & Allied”) (“Transaction”), which owns an interest in the Hunter Valley Operations (“HVO”) mine and the Mount Thorley Warkworth (“MTW”) mines (together with associated assets), subject to compliance with existing governance conditions, which already apply to Yancoal’s current assets and standard tax conditions now applied to all FIRB approvals. Satisfaction of the FIRB condition precedent represents a critical milestone.
“Today’s FIRB approval is a positive step forward for Yancoal, its shareholders and the Hunter Valley, demonstrating the Australian Government’s support for continued investment into the local resources sector,” said Reinhold Schmidt, Chief Executive Officer. “Yancoal remains a key provider of employment, training and investment within New South Wales and we look forward to continuing to grow our operations.”
The Transaction remains subject to a number of further closing conditions, including Rio Tinto plc and Rio Tinto Limited shareholder approval and Yanzhou Coal Mining Company shareholder approval. The Transaction is expected to complete in the 3rd quarter of 2017
The acquisition of Cosmos from Glencore in 2015 is now paying dividends for Western Areas. Western Areas announced the results from the Cosmos Odysseus Pre‐feasibility Study, which demonstrates commercial viability of the Odysseus Project and the potential re‐start of nickel mining operations at Cosmos. With the successful completion of the PFS, the Western Areas Board has approved the Project to progress to the Definitive Feasibility Study stage.
The PFS base case findings indicate robust economic and nickel production metrics together with further significant upside opportunities, as well as a very low all‐in sustaining cash cost of operations. The decision by the Board to commence a DFS underpins Western Areas’ strategy to develop a second operating region and thereby consolidate its position as a leading Australian nickel producer.
Western Areas Managing Director Dan Lougher said that the PFS results demonstrate the healthy operational and financial characteristics of the Project.
“The positive results from the PFS, combined with the recent drilling success achieved within 18 months of acquisition, demonstrate Western Areas’ ability to accelerate and deliver value from the Cosmos acquisition,” Mr Lougher said.
“Odysseus represents Western Areas’ next mining operation and the results presented today show that a significant nickel operation can be established for substantially less capital outlay than a stand‐alone greenfields development.”
“We are particularly pleased to have an operation that will have very low all‐in sustaining unit cost at US$2.77/lb, but also a project that does not require a significant capital investment over the next two years, which provides optionality and flexibility in development decisions. Depending on market conditions, the Company also has the opportunity to complete early works where practicable and economic to do so.”
“We believe there are significant opportunities to drive further improvements in returns on this investment, including the potential for significant high grade resources below the existing deposit, as detailed in our announcement on 13 February 2017 of massive sulphide intersections of 5.3m at 15.2% nickel, including 3.4m at 22.0% nickel. The assay from this intersection is the highest grade over a reasonable width ever recorded at Cosmos from 446,000 prior assays under different ownership.”
“Odysseus is a core growth asset for Western Areas with exciting upside potential and progressing this to DFS stage will ensure that Western Areas is ready to leverage an upswing in nickel prices. Being a conventional underground nickel sulphide project, it is a great fit with our core skills and experience in hard rock underground mining and conventional nickel flotation at Forrestania,” Mr Lougher said.
What is happening to the iron ore price?
Fundamentals suggest, US$90 a tonne is a really good number and the iron ore producers have all suggested the $90 will not be supported for too long.
Supply continues to increase, particularly from Brazil and low cost sources and combined with higher production, and higher stocks at the ports, fundamentals all point down.
On the other hand, China's demand for higher grade iron ore continues to support these "high" prices.
Western Areas Ltd, was pleased to announce yesterday that the Company has intersected a new massive sulphide zone, including two super high grade results, immediately below the Odysseus North orebody at the Cosmos Nickel Complex (Cosmos).
The new intersections are 160m south of a high grade Inferred Mineral Resource of 0.05Mt @ 11.6% which forms part of the Odysseus North orebody. These intersections, when combined with results from geophysical surveys, represent a potentially significant extension to the high grade Resources at the broader Odysseus Project.
Key highlights include:
- WAD002A intersected massive sulphide comprising 2.6m at 12.6% nickel, including 1.6m at 18.0% nickel;
- WAD002W1W1W1 intersected massive sulphide comprising 5.3m at 15.2% nickel, including 3.4m at 22.0% nickel;
- Down-hole electromagnetic (DHEM) surveys successfully completed in WAD002 identified two strong responses at downhole depths of 1,240m and 1,290m respectively. The 1,240m response is confirmed by drilling as mineralised massive sulphide; and
- Potential to significantly extend existing high grade Resources at Odysseus North
Western Areas Managing Director, Dan Lougher, noted that the underexplored potential of the Cosmos Nickel Complex was one of the key drivers of the acquisition.
“On acquiring Cosmos, we had the clear view that the true potential of the project, both for more nickel near existing known orebodies and for new discoveries in a wider regional setting, had not been adequately tested,” Mr Lougher said.
“We’ve begun testing this view which has resulted in both strong potential for adding more high grade Resources near Odysseus North and some very promising exploration hits at Neptune, as reported recently. Additionally, we expect to convert more quantified Mineral Resources at Odysseus North to a higher confidence category and enhance our understanding of this significant deposit.
“Cosmos is starting to deliver on the opportunities we believe exist at the project, and we look forward to continuing this progress throughout the year,” Mr Lougher said.
Mount Gibson Iron Limited (Mount Gibson) advised today that it has commenced development of its Iron Hill iron ore mine in Western Australia’s Mid-West region following receipt of final statutory approvals.
Iron Hill is located 3km south of the Company’s recently depleted Extension Hill open pit and this close proximity enables the utilisation of Extension Hill’s substantial existing workshops, processing facilities, camp and transport infrastructure, as well as the Extension Hill workforce comprising approximately 160 employees and contractors.
As a result, negligible capital is required to be spent, and first product sales are targeted to commence in May 2017.
Mount Gibson Chief Executive Officer Jim Beyer said: “We are very pleased to gain the final approvals required for Iron Hill, which are the successful culmination of a huge effort by our permitting team since the initial application was made over two years ago. Obtaining these approvals in a large part reflects our proven record of, and ongoing commitment to, responsible resources development in the state’s Mid-West and Kimberley regions. We now look forward to rapidly developing this attractive high value, low-capital production opportunity, thereby extending the life of our Mid-West business. It is also very pleasing to be able to deliver additional value for our shareholders while continuing to provide much needed economic activity in the Mid-West region by way of direct employment and the engagement of local business.”
WPG Resources Ltd advised that the Tarcoola gold mine was officially opened yesterday at the South Australian minesite, located approximately 3km from Tarcoola.
On the 11th November WPG announced that a Decision to Mine had been taken and the project’s immediate development was progressed following the approval of the project’s Program for Environment Protection and Rehabilitation. Within 2 weeks of the Decision to Mine, work commenced on developing the Tarcoola pit.
The first ore from Tarcoola is anticipated to arrive at Challenger in the coming weeks.
Independence Group NL advised that the first nickel concentrate has been transported from the Nova Project to BHP Nickel West Pty Ltd in Kambalda. Peter Bradford, Managing Director and CEO of IGO said:
“The first shipment of concentrate is another important milestone for the Nova Project and this took place earlier than contemplated by the Feasibility Study and in line with the guidance we provided to the market in our ASX release of 26 October 2016.”
Two three-year off take agreements are in place for the nickel concentrate from Nova, each for 50% of production; the first with BHP Nickel West for delivery to Kambalda, and the second with Glencore, to be shipped offshore via the port of Esperance. All copper concentrate will be shipped offshore via the port of Esperance under a three-year off take agreement with Trafigura with the first shipments expected in the June 2017 quarter.
The next major milestones for the Nova Project will include; Complete drilling and resource estimation at Conductor Five, expected in the March 2017 quarter; First offshore shipments of nickel and copper concentrates, expected in the June 2017 quarter; and Ramp up to full production rate, expected by mid CY17.
Saracen Managing Director, Raleigh Finlayson today said the A$42m exploration budget had already made substantial inroads towards achieving the goal of growing group production and mine life.
“ We see outstanding potential to grow our gold inventory in the coming quarters, laying the foundations for future production growth above the 300,000oz pa production rate we anticipate by the June quarter,” he said.
Drilling continues at Thunderbox with two surface diamond rigs; the program is progressing well, to-date a total of 11,100m have been drilled with full results for 11 out of 14 completed holes.The results confirm that the Thunderbox mineralisation is consistent and persistent.
Significant results from the drilling include:
- TBDD0101 – 52m @ 3.0 g/t (incl uding 19m @ 4.8g/t)
- TBDD0109w1 – 47m @ 2.3 g/t (incl uding 19m @ 3.2g/t)
- TBDD0109 – 28m @ 2.4 g/t (incl uding 14m @ 3.3g/t)
- TBDD0107 – 25m @ 3.0 g/t (incl uding 10m @ 5.8g/t
- TBDD107w1 – 25m @ 2.4 g/t (incl uding 11m @ 4.0g/t)
- TBDD114w1 – 23m @ 2.4 g/t (incl uding 11m @ 3.1g/t)
- TBDD125 – 14m @ 4.1 g/t.
The new results are adding to the confidence and scale of the upside opportunity that is present at the Thunderbox operation, which is focused on the thicker, higher grade shoots.
Drilling at King of the Hills has been focused on grade control activities in the active mining areas, and near-mine extensions to the high-grade Lower Kingdom lode.
- Flagship co-funding program encourages exploration investment
- The EIS was established in 2009
The Liberal National Government announced today the 42 successful projects which will share up to $4.75 million under Round 14 of the Exploration Incentive Scheme’s (EIS) Co-funded Drilling Program.
Mines and Petroleum Minister Sean L’Estrange said the highly competitive drilling program, heading into its ninth year, provided companies with added incentive to drill in underexplored regions.
“Encouraging exploration is the key to the continuity of Western Australia’s vital resources industry, which will underpin the State’s economy for decades to come,” Mr L’Estrange said.
“This very successful program has already resulted in a number of major discoveries. Among the success stories is the Nova discovery east of Northam, supported by EIS geophysics data and co-funding in 2011-12, with production having commenced in November this year.”
Other EIS successful discoveries include the Camelwood nickel deposit 500km north of Kalgoorlie, Yeneena copper deposit in the Paterson Province, Millenium zinc in the East Pilbara, and Dusk Til Dawn gold discoveries north-east of Wiluna, as well as deep gold at Gruyere east of Laverton and the nickel discovery at Emily Ann near Lake Johnson.
The Co-funded Drilling Program refunds up to 50 per cent of direct drilling costs with caps of $150,000 for a multi-hole project, $200,000 for a single deep hole and $30,000 for a prospector’s project.
Refunds are made after completion of drilling and the submission of reports which are released publically on the Department of Mines and Petroleum’s WAMEX and WAPIMS databases, after a six-month confidentiality period.
The Minister said the information submitted added to the geological knowledge of the State, and helped reduce risks for subsequent explorers. An economic impact study released early in 2015 showed that every $1 million spent by the EIS generates $10.3 million of exploration activity and a longer term benefit to the State, in terms of higher Gross State Product, of $23.7 million
Western Areas Ltd announced that it has negotiated and entered into an Offtake Contract with the Tsingshan Group, through its associated entity Golden Harbour International Pte Ltd, to import raw materials for the production of stainless steel. Tsingshan is China’s largest producer of stainless steel, particularly the high nickel content 300 stainless series. Tsingshan has advised that it is the largest consumer of nickel products in China and use approximately 25% of China’s total annual consumption of nickel.
Western Areas Managing Director, Dan Lougher, said the agreement with Tsingshan was many years in the making and followed from the Company’s desire to capture as much value as possible for the nickel in concentrate sold by Western Areas.
“Over three years ago, Western Areas recognised Tsingshan as an innovator in the production of stainless steel and since then we have developed a close working relationship through the sharing of technical knowledge and many site visits,” Mr Lougher said.
“Tsingshan is clearly leading the charge in China to produce a greater proportion of the higher quality 300 series stainless steel product, which contains up to four times the amount of nickel than 200 series stainless. With this in mind, it has been a specific Western Areas strategy to innovatively position itself in the stainless steel supply chain, with the ultimate objective of delivering a stronger bottom line to our shareholders through investigating non-traditional markets and thereby capturing a greater share of the value of the nickel we produce.
“Together with Tsingshan, we are capturing this additional value as Tsingshan intends to utilise a proven and highly integrated process to produce stainless steel, incorporating roasting of the nickel concentrate, which has significant productivity benefits over the conventional smelting and refining processes.
“As Tsingshan is China’s largest consumer of nickel and producer of ferro-nickel, it makes clear strategic sense to take the advantage of linking our company directly with the end user,” Mr Lougher said
Barrick Gold is reviewing the financial backing behind an approximately $US1.3 billion ($1.8 billion) bid for its stake in the Kalgoorlie mine by Minjar Gold, a unit of Shanghai-listed Shandong Tyan Home, two sources have told Reuters.
According to these sources, little-known Minjar has trumped offers by Australian, Chinese and Canadian companies for the asset and Toronto-based Barrick, the world's largest gold producer, is studying the offer for the 50-per cent stake to ensure Minjar has adequate resources and support to complete the transaction.
The sources declined to be identified as the matter is private.
Australian gold producers gave a big thumbs-up with key gold miners on the ASX finishing up over 10% for the day. Gold took off as Trumps shock likely win sent markets into turmoil around the world. Gold traded close to $US1340 as the market went into defence mode. It marked gold's biggest single-day gain since June 24 when it rose as much as 8 percent when Britain decided to leave the European Union. The economic uncertainly this brings has seen a flight to safe haven assets. Gold miners SARACEN MINERAL were up over 15% for the day to 1.40 and NORTHERN STAR closed up 10.5% to 4.64 for the day.
Canadian listed Newmarket Gold is the owner of 3 underground operating mines in Australia. The flagship operation, Fosterville Gold Mine, and the Stawell Gold Mine are located in the state of Victoria, and the Cosmo Gold Mine is located in the Northern Territory. Newmarket Gold produced 55,794 ounces during the third quarter and and has achieved record production of 175,041 ounces for the first nine months of 2016. Fosterville achieved third quarter production of 36,967 ounces, only 1% off the record performance achieved in Q2 2016, accounting for 66% of consolidated production. Cosmo achieved a record recovery rate of 95.3%, up from its record of 94.2% in the previous quarter, contributing 10,677 ounces of production during Q3 2016, with Stawell contributing 8,150 ounces.
Perth Gold miner Perseus Mining today reported an increase in gold production during its last quarter at its Edikan gold mine, in Ghana, on the back of improved mill performance. Gold production for the quarter was up 9% on the June quarter to 43 776 oz, with Perseus telling shareholders on Monday that the company was on track to achieve its full-year production guidance of between 80 000 oz to 100 000 oz of gold. Gold sales from the Edikan mine reached 43 952 oz during the quarter, up from the 39 642 oz sold during the previous quarter, with average sales prices also up from $1 172/oz to $1 223/oz. Meanwhile, Perseus noted that production of costs reduced by 6% during the September quarter, to $1 095/oz, while all-in sustaining cost was also down by 10%, to $1 388/oz.
Today South32, the world's biggest producer of manganese, said it more than doubled its cash on hand in the September quarter due to a cost cutting drive and as commodities prices recovered.
"Stronger commodity prices and cost saving initiatives delivered a further $US239 million increase in our net cash position to $US551 million, despite the impact of annual payments that followed year end and the typical lag in commodity pricing," chief executive Graham Kerr said.
Today Evolution Mining Limited advised that it has entered into a binding agreement with Newcrest Mining to acquire the Marsden copper-gold project.
Marsden is a copper-gold porphyry deposit located immediately to the south-east of Evolution’s Cowal gold mine in New South Wales, and is the nearest known sizeable mineral deposit to the Cowal operation outside the Cowal tenement package; as such, it has strategic value to Evolution’s exploration activities in the region. Technical review by Evolution has shown that the potential to develop the Marsden deposit is enhanced by utilising the Cowal milling circuit and associated infrastructure.
Jake Klein, Executive Chairman of Evolution said “The Marsden project provides long term optionality to our nearby Cowal operation and has the potential to further extend the life of what is already a long-life operation.”
Doray Minerals Ltd announced today strong earnings and record cash flow for the 2016 financial year, whilst funding and building the Company’s second high‐grade gold mine at Deflector.
Full year ending 30 June 2016 showed revenue of A$131.1 million and net profit before tax of A$17.5 million including a one off A$5.8 million exploration write-down. Doray’s Managing Director, Mr Allan Kelly, said Andy Well had delivered within production and cost guidance for the third consecutive year and the Company looked forward to reaping the benefits of having a second high‐grade gold operation for the first time with the ongoing ramp‐up of production from Deflector.
“Over the last 12 months, we achieved EBITDA of $62.7 million from revenue of $131.1 million, resulting in an outstanding EBITDA margin of 47.8%, amongst the highest of any ASX gold producer,” Mr Kelly said. “Our cash and debt position was also better than expected at the end of the financial year, as a combined result of higher gold prices being received for production at Andy Well and the new Deflector Project coming on line on schedule and within budget.”
Blackham Resources Ltd announced today the latest results received from underground drilling at the Bulletin mine with drilling from the Bulletin Decline continuing to produce excellent results between the historical stopes including:
- 6.0m @ 26.4g/t Au
- 15.6m @ 7.51g/t Au
- 8m @ 7.05g/t Au
The diamond drill program was designed to infill the lode identified in Blackham’s previous round of drilling between two historical stoping areas. This current program will allow resources to be upgraded from unclassified or Inferred to Indicated.
Blackham’s Managing Director, Bryan Dixon, said “The latest Bulletin drilling has demonstrated the potential to continue growing the Wiluna resources close to surface. An updated Bulletin resource is likely to complement the work we are doing on the Wiluna open pits with both feed sources to be integrated into the Wiluna expansion study currently underway."
Millennnium's latest drilling at Little Wonder outlines high grade gold intersections over a 850m strike. Drilling results obtained grades up to 19 gpt which helps to fullfil Millennium’s strategy to grow mine life at its Nullagine project. The Little Wonder deposit is located approximately 25 km north east of the Project’s processing plant and forms part of the Millennium’s Camel Creek mining centre.
"These results are outstanding and again demonstrate that our strategy to grow the mineral inventory and mine life at Nullagine is delivering substantial results,” Millennium Chief Executive Glenn Dovaston said, “when combined with the strong results announced recently from the initial deep drilling campaign, it is clear that there is the potential to significantly extend the existing mine life.”
Over the past few years, Metals X has made a number of shrewd acquisitions and has built a formidable, diversified mining company. It has three operating gold projects, four process plants with 5.5mtpa combined capacity and has built a gold resource base of 15.4 million ounces and ore reserves of 2.89 million ounces. It currently produces at a run-rate of 220,000 ounces per annum and has a clear plan to double this over the next few years.
The Company now believes its base metals division can stand alone as a base metals company, with production from its tin and copper assets and expansion and growth assets in tin, copper and nickel. Given prevailing economic and market conditions, the Board of Metals X believes the time is now right, and its shareholders are better served, if the Company looks to separate its gold division from the remainder of the diversified base metal assets. The Company has completed an institutional placement to raise $100.6 million and is now undertaking a share purchase plan to raise up to $15 million.
Regis today announced its Maiden Resource at Tooheys Well of 547,000 ounces. Tooheys Well is located 2.5km south of the Garden Well gold mine and existing 5mtpa processing plant. Regis is currently drilling both immediately north and south of the 750 metres of strike covered by the resource. Regis Chairman Mark Clark said “It is very exciting to see the latest phase of our organic growth strategy deliver a 547,000 ounce maiden gold resource at the Tooheys Well project. With Tooheys Well located so close to the Garden Well processing plant, Regis is already working on this project with a view to delivering a substantial, high grade mill feed satellite project for Garden Well. We also look forward to continuing our intensive exploration effort in the Tooheys Well area and beyond.”
Ramelius Resources Limited (ASX:RMS) announced today that production Guidance for the June 2016 Quarter has been exceeded with 32,752 ounces of gold produced from the Company’s operations in Western Australia. Ramelius also exceeded previously Upgraded Guidance for FY2016 with a total of 110,839 ounces of gold produced. Production came from their 3 operations Mt Magnet, Kathleen Valley and Vivien. Ramelius cash on hand now stands at close to $A50M. Mark Zeptner today said: “An excellent quarter from the operations teams, bouncing back strongly after a slightly lower March 2016 Quarter. We have finished the 2016 financial year above 110,000 ounces of gold production and will further build on this with 135,000 ounces in FY2017. Our Vivien mine is now commencing stope production and will have a significant impact on our gold production and bottom line margins going forward. On the exploration front, we have effectively doubled our budgeted total expenditure to A$10M, in order to further grow the mine life of our existing assets and also accelerate work on our newly granted tenements in the Tanami.”
Independence Group NL (ASX:IGO) has mined the first development ore at the Company’s Nova Project in Western Australia. The mining of first ore is an important milestone for IGO as it progresses construction and development of the world class nickel-copper-cobalt project. The Project was 90% complete as at the end of May 2016 and remains on schedule, and on budget, to commence production of nickel and copper concentrates in December 2016.