New Murchison Gold Limited

Crown Prince Maiden Ore Reserve & Feasibility Study Results

New Murchison Gold Limited (ASX: NMG) (“NMG” or the “Company”) is pleased to announce an Ore Reserve Estimate (ORE) for the Crown Prince Deposit (Crown Prince) at the Company’s flagship Garden Gully Gold Project near Meekatharra, Western Australia.


HIGHLIGHTS

  • New Murchison Gold Limited (ASX:NMG) is pleased to announce the results of a Feasibility Study into the Crown Prince Gold Deposit (Crown Prince Feasibility Study) in WA which outlines pre-tax cash flow of $226m (undiscounted) over a period of 30 months at current spot gold prices (A$4,385/oz).
  • Capital expenditure required to commence production of $5.4m is very low relative to peer gold projects given the Company’s Ore Purchase Agreement (OPA) with Westgold Resources Limited (WGX or Westgold).
  • NMG is also expecting to be able to utilise its substantial tax loss position (30-Sep-24: $84.4m in accumulated losses, $76.4m usable)1 to offset tax liabilities on initial pre-tax profits from Crown Prince.
  • 140koz contained ounces of gold are to be mined and trucked to WGX over 30-month open pit.
  • Upside in potential underground mine below the pit, which will be studied in 2025.
  • NMG’s production plan is based on Ore Reserves only. Contained ounce production profiles in the study comprise only that material delineated in Ore Reserves (estimated using a A$3,250 /oz gold price assumption) for the project.
  • Commencement of mining is expected in June 2025 with first ore sales scheduled in August 2025. Mining and environmental approval documentation was submitted to relevant regulators and counterparties in late 2024.
  • The Crown Prince Feasibility Study (FS) was completed in January 2025 and demonstrates sound financial returns based on:
    • An updated Mineral Resource Estimate (MRE) of 2.205Mt @ 3.Gg/t for 27Gkoz2
    • An Ore Reserve estimate for Crown Prince Project of 0.8G million tonnes @ 4.8g/t gold (Au) containing 140,000oz Au.
    • Crown Prince ore sold at the mine gate under an Ore Purchase Agreement (OPA) for haulage to Westgold’s Bluebird Mill south of Meekatharra.
    • Production from the Crown Prince Open Pit only, which is covered by the granted mining leases.
  • Next steps to expand the resource base are to assess Crown Prince underground potential and other deposits including Lydia and New Murchison King. These were not considered in the FS.
  • The FS Life of Mine (LOM) production schedule metrics are shown on Table 1. Financial results with sensitivity to gold price, are shown in Table 2. Summary of LOM Cash Flow is shown in Figure 1.

Table 1: Production Schedule Metrics – Crown Prince Open Pit

Table 2: Financial Results (AUD)


Click here for the full ASX Release

This article includes content from New Murchison Gold Limited, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.

NMG:AU
The Conversation (0)
New Murchison Gold Limited (ASX:NMG)

New Murchison Gold Limited

Advanced gold exploration company with a path to production

Trading Halt

Trading Halt

New Murchison Gold Limited (NMG:AU) has announced Trading HaltDownload the PDF here. Keep Reading...
Further High-Grade Gold Intersections at Crown Prince

Further High-Grade Gold Intersections at Crown Prince

New Murchison Gold Limited (NMG:AU) has announced Further High-Grade Gold Intersections at Crown PrinceDownload the PDF here. Keep Reading...
Grade Control Drilling Results

Grade Control Drilling Results

New Murchison Gold Limited (NMG:AU) has announced Grade Control Drilling ResultsDownload the PDF here. Keep Reading...
High-Grade Gold Intercepts within Caprock Drilling

High-Grade Gold Intercepts within Caprock Drilling

New Murchison Gold Limited (NMG:AU) has announced High-Grade Gold Intercepts within Caprock DrillingDownload the PDF here. Keep Reading...
Second Quarter Activities and Cashflow Report

Second Quarter Activities and Cashflow Report

New Murchison Gold Limited (NMG:AU) has announced Second Quarter Activities and Cashflow ReportDownload the PDF here. Keep Reading...
Yvonne Blaszczyk, gold bars and chess piece.

Yvonne Blaszczyk: Gold, Silver, Platinum — Flashpoints Everywhere, Moves Just Starting

Yvonne Blaszczyk, president and CEO of BMG Group, discusses the factors that have pushed gold past US$4,000 per ounce and shares her next price target for the metal. In her view, US$5,000 is in the cards, and the outlook is strong for silver and platinum as well. Don't forget to follow us... Keep Reading...
Trading Halt

Trading Halt

CuFe Limited (CUF:AU) has announced Trading HaltDownload the PDF here. Keep Reading...
Gold and silver bars on a scale with green upward arrow and "Weekly Editor's Picks" text.

Editor's Picks: Historic Week — Gold Breaks US$4,000, Silver Takes Out All-time High

It's been yet another historic week for gold, as well as silver.Gold broke through US$4,000 per ounce midway through the period, entering never-before-seen territory as the US government shutdown continued into a second week.Silver's milestone was perhaps even more impressive. The white metal... Keep Reading...
Gold bars stacked with financial chart background.

OPINION — Past is Prologue: Why the Next Decade Could Belong to Gold and the Miners

This opinion piece was submitted to the Investing News Network (INN) by John Newell who is an external contributor. INN believes it may be of interest to readers and has copy edited the material to ensure adherence to the company’s style guide; however, INN does not guarantee the accuracy or... Keep Reading...
Scales of justice, gavel, and law books on a desk.

Tudor Gold Sues BC, Seabridge Over Tunnel Rights in Golden Triangle

An ongoing land-use dispute in British Columbia’s mineral-rich Golden Triangle has escalated into a full-blown legal battle as Tudor Gold (TSXV:TUD,OTC Pink:TDRRF)takes the province and rival Seabridge Gold (TSX:SEA,NYSE:SA) to court over tunneling rights linked to one of Canada’s largest... Keep Reading...
Two 3D arrows, one black and one gold, merge and point upward on a white background.

Predictive Discovery and Robex to Merge, Combining West African Gold Projects

Australia-based Predictive Discovery (ASX:PDI) and Canadian company Robex Resources (ASX:RXR,TSXV:RBX,OTC Pink:RSRBF) have agreed on a merger of equals, creating West Africa’s new mid-tier gold producer.In a joint announcement, the companies said that Predictive Discovery will indirectly acquire... Keep Reading...

Latest Press Releases

Related News