The Conversation (0)
Manuka Resources Limited (ASX: MKR) (“Manuka” or the “Company”) is pleased to release an updated Mineral Resources Estimate for Mt Boppy. The Resource update supports Manuka’s strategy to install a purpose-built gold processing plant at Mt Boppy and recommence on-site gold production from Q4 2024.
Highlights:
- The results of a recently completed Sonic Drilling Program over the Main Waste Rock Dump and Dry Tailings have successfully delivered an updated Mineral Resource Estimate for Mt Boppy.
- The updated Resource comprises 4.28Mt at 1.19g/t Au for 163koz of contained gold. Importantly, the updated Resource has seen an 100% increase in the portion of contained gold ounces classified as Indicated.
- The Mt Boppy Measured and Indicated Resource categories now comprises 82% of total Resource Estimate.
- A high-grade component of the Resource comprising 1.8Mt at 1.74g/t containing 102koz Au has been identified as a basis for future mine planning.
- The results support Manuka’s strategy to install on-site processing plant at Mt Boppy and provides confidence in the development of a mine plan that will underpin the recommencement of gold doré production.
Dennis Karp, Manuka’s Executive Chairman, commented:
“The Sonic Drilling Program was critical precursor to the recommencement of the processing of rock dumps and dry tailings at Mt Boppy. The results of this program have been extremely positive allowing us to significantly improve the confidence of our Mt Boppy Resource.
Consequently, Manuka is confident in its strategy to progress the establishment a fit-for- purpose on-site gold processing plant at Mt Boppy in the coming months and in turn free up our Wonawinta process plant, most recently used to process Mt Boppy ore, for future silver production from the existing Wonawinta Silver mine.
The bullish gold and silver markets, combined with the fact that Manuka has two granted mining licenses - both fully permitted for on-site processing - and existing processing infrastructure, translate to a very exciting time for the Company.”
Mt Boppy Resource Statement Summary
The Mineral Resource Estimate at Mt Boppy has been updated subsequent to the completion of a 26 borehole 506m sonic drilling evaluation programme over the Mt Boppy Rock Dumps and Dry Tailings completed in December 2023 (Figure 1).
Figure 1: Location Sonic drilling collars over Mt Boppy Rock Dump (left) and TSF3 PAF (right)
The updated Resource comprises 4.28Mt at 1.19g/t Au for 163koz of contained gold of which 82% is contained in the Measured and Indicated categories (Table 1). Importantly, the Resource update sees the ounces classified as Indicated increase by 100% over the previous estimate.
The Resource for Mt Boppy comprises (Table 2):
Rock dumps and tailings depositories, with gold grades derived from recent Sonic drilling to bedrock, and fire assay head grades of +90, -90+20, +10-20, and -10mm size fractions, each weighed to ascertain mass % distribution. The rock dump and tailings Resources are reported at a cutoff of 0.25g/t Au total 3.9Mt tonnes at a grade of 0.89g/t Au for 110,628oz Au.
In-situ hard rock Resources including:
- a Mt Boppy open cut pit shell that reaches a depth of 215m below surface at the southern end of the Mt Boppy deposit. Material within the current pit design is reported at a 1.6g/t Au cut off and material below the pit design is reported to a 3.0g/t Au cut off
- the Boppy South mineral zone based on a grade shell modelled at a 1.6g/t cut off. This prospect still requires final drilling and evaluation before assessing the viability of establishing a small opencast mine.
The incremental change to the overall Mt Boppy Resource relates to updates to Rock dumps and Tailings depositories. The combined Mt Boppy Open Cut and Boppy South Resource of 282kt at a grade of 4.95 g/t Au for 44,820 ounces gold remain unchanged from that previously reported (ASX Release 25 August 2023) and all material assumptions continue to apply.
Click here for the full ASX Release
This article includes content from Manuka Resources 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.
MKR:AU
Labyrinth Reinvigorates Exploration at Comet Vale
Key Points
- At the beginning of the quarter, Labyrinth announced the intention to divest Labyrinth Gold Project to Gold Projects WA Pty Ltd (‘GPWA’) for a cash consideration of USD $3,500,0001;
- Post-quarter LRL announced that the Project Sale Conditions were satisfied or waived and in addition2:
- the deposit of USD$175,000 paid by the purchaser, GPWA, to Labyrinth is now non- refundable in all circumstances;
- settlement is to occur by 15 May 2024; and
- interest of 6% per annum, to be accrued from 29 February 2024.
- Labyrinth announced the successful negotiation amending the terms of the Project Acquisition Agreement with G.E.T.T. Gold Inc. with respect to the obligation to deliver a 450 ounce Physical Gold Payment by 31 December 20233;
- The payment reduced to 200 ounces with the remaining 250 ounces to be paid upon profitable production at Labyrinth Mine (to be assumed by GPWA as part of Share Purchase Agreement (‘SPA’));
- Labyrinth received a significant tax refund of circa $470k in relation to Canadian resource expenditure4.
- At the beginning of the quarter, the assay results from a field program completed at Comet Vale in September 2023 were announced5:
- LCV0029: 129 g/t Au, 0.1% Cu
- LCV0033: 39.1g/t Au, 6.3% Cu and 271 g/t Ag
- LCV0028: 28.9 g/t Au, 3.0% Cu, 0.07% Co and 0.5% Ni
- LCV0017: 3.6 g/t Au, 8.4% Cu and 9.2 g/t Ag
- LCV0021: 8.5 g/t Au, 0.3% Cu
- The rock chips represent part of a nearly 3km corridor of high-grade gold, copper, cobalt, nickel, tungsten and silver.
Figure 1 – Comet Vale Project location, WA
COMET VALE
During the quarter, significant focus has been placed on the divestment of Labyrinth Gold Project in Canada. Meanwhile, targeting and planning of exploration activities is well underway at Comet Vale. Strong performance in the gold price this quarter shows no signs of slowing, bolstering Labyrinth’s interest in Comet Vale Gold Project. With gold and base metal potential still high, the Company is leaving no stone unturned in finding suitable drill targets to truly test the potential.
LRL has previously announced the commitment to refocus exploration activities at Comet Vale Project near Menzies, Western Australia. The project is a joint venture project between Labyrinth (51%) and Sand Queen Gold Mines Pty Ltd (49%). In 2023 an updated Mineral Resource Estimate was completed on the Comet Vale Underground (‘UG’) and Open Pit (‘OP’) historic resource (see Table 1 and 2)6. Figure 2 demonstrates the substantial Resource growth potential of the currently only shallowly defined Sand George mineralisation.
Click here for the full ASX Release
This article includes content from Labyrinth Resources, 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.