Major Step Forward In The Project Development Process
Bryah Resources Limited (ASX:BYH) has taken a major step in the development of the Tumblegum South Prospect located within its Gabanintha Project Western Australia with the granting of a mining lease.
Managing Director Neil Marston said this is a significant milestone on the pathway to near-term gold production at Tumblegum South.
“We have been successful in progressing the mining lease application and to have it granted in less than eight months is a credit to all involved and gives us a great chance to capitalise on the robust gold price.
“We are well advanced in negotiations with a gold processing plant owner about collaborating on the development of the resource with our joint goal being to be fully permitted to start mining and processing gold sometime in 2021.
“The resource needs additional in-fill drilling to bring it up to a measured category, which we intend commencing later this month, ahead of a program of metallurgical testwork and pit design studies early next year.
“We have also appointed Greg Almond, a very experienced mining professional to our team, to manage the project through the various studies and approvals needed to commence production.”
Bryah holds a suite of mineral rights over tenements covering 170 sq. km held by Australian Vanadium Limited. The mineral rights held by Bryah are for all minerals, excluding vanadium, titanium, cobalt, chromium, uranium, lithium, tantalum, iron ore and manganese.
Mining Lease 51/888 was pegged on 12 March 2020 and was granted by the Department of Mines, Industry Regulation and Safety on November 4, 2020. The lease is currently held in the name of Australian Vanadium Limited and covers an area of 70.9 hectares.
The lease is located immediately along strike of the open pits of the Gabanintha Gold Mine which were mined between 1987 and 1992 by Dominion Mining Ltd in a Joint Venture with Southern Ventures NL and Black Swan Gold Mines Ltd.
The Mineral Resource Estimation was completed in January 2020 in accordance with the 2012 JORC Code and is based on 49 reverse circulation (RC) drill holes for a total of 5,640 metres.
The Inferred Mineral Resource is 600,000 tonnes @ 2.2 g/t Au for 42,500 ounces gold using a cut-off grade of 0.3g/t Au.1
The gold mineralisation occurs in multiple zones of shallow gold mineralisation, with down dip and along strike extension potential.