Marching Towards Significant Resource And Reserves Updates
Wiluna Mining Corporation Limited (ASX:WMX) (formerly Blackham Resources) has received further high-grade results from resource development and infill drilling at the Wiluna, Regent and Lake Way Mining Centres in Western Australia.
Executive Chairman, Milan Jerkovic, said these results will enable the company to complete detailed Mineral Resources and Reserves estimates as part of the Wiluna Stage 1 sulphides expansion project. At this stage, the company intends to update Mineral Resource estimates in September 2020 and Reserves in December 2020.
“These ongoing results from drilling ‘under the headframe’ are continuing to deliver into our Stage 1 sulphide strategy as we pursue shallow high-grade resource development targets,” Mr Jerkovic said.
“Our initial sulphide resource drilling programme commenced at the Wiluna Mining Centre at Bulletin and Essex and has progressed to Calvert and the East Lode. We have had exceptional drilling results from all these areas and this has given us great confidence that Wiluna remains one of the largest undeveloped gold systems in Australia.
“Our plan to convert the large sulphide Inferred Resources at Wiluna into Indicated Resources continues to gather momentum and confidence with every new hole.
“These results will lead to new Resource and Reserves updates and mine planning work scheduled before the end of the calendar year.
“We believe that from these results we will add meaningful ounces to our already significant Mineral Resource, which is currently 6.4 Moz, and our Reserves which are currently 1.4 Moz.”
The company has completed 45,000 metres of drilling so far in 2020 at the Wiluna Mining Operation. This drilling aligns with the company’s Stage 1 expansion plan, with the primary focus on sulphide ore bodies in support of the proposed mine development sequence at the Wiluna Mining Centre
“We aim to convert Resources to Reserves very economically at approximately $50-$60/oz, and to discover Mineral Resources at $15/oz,” Mr Jerkovic said.
“Wiluna Mining is a development and growth company currently focussed on Stage 1 sulphide development commencing by September 2021, while expanding our high-grade Mineral Resources and making new discoveries.
“This is the strategy and focus of the company. It is important that we emphasise our current operations, until the commencement of Stage 1 concentrate production in September 2021, is purely to provide valuable operating cashflow to assist in funding this transition to Stage 1 and producing gold concentrates to achieve our goal to become a Tier 1 gold mine in a Tier 1 jurisdiction.”
The ongoing drilling programme has five objectives:
- Increase sulphide Reserves at Wiluna for the Stage 1 expansion;
- Increase sulphide Reserves for Stage 2 expansion;
- Make a new discovery in the wider Wiluna Mining Operations;
- Reveal the true scale of Wiluna sulphide resource; and
Extend the free milling Mineral Resources and Reserves