Successful In-fill Drilling Upgrades 171koz To Higher Resource
Bardoc Gold Limited (ASX: BDC) has reported a significant increase in Measured and Indicated ounces that will support ongoing mining studies as part of a project-wide Mineral Resource update for its 100%-owned 3.03Moz Bardoc Gold Project, located 40km north of Kalgoorlie- Boulder in Western Australia.
Chief Executive Officer, Robert Ryan, said that as a result, 64% of total ounces are now in the higher confidence Measured and Indicated categories.
He added that this is an important step for the Project as Measured and Indicated material is able to be reported as Ore Reserves following the completion of mining studies.
Mr Ryan said that for deposits such as the cornerstone Zoroastrian Deposit, the increase in higher-confidence, higher-grade underground resources is likely to result in a positive update to Ore Reserves for the DFS after mining studies are completed – which in turn should have a positive impact on project economics and mine life.
For satellite deposits such as El Dorado and Mayday North, the upgraded Mineral Resources confirm the validity of the Company’s strategy of developing prospects with the potential to have a positive impact on the mine planning strategy for the DFS.
The El Dorado deposit now has an identified high-grade shoot that requires further exploration, both for down-plunge extensions and for repeated positions. At the Mayday North deposit, in-fill drilling returned robust gold intersections in terms of both thickness and grade which will likely de-risk any future mining scenario. Both deposits also have untested upside that provides excellent near-term exploration opportunities.
Mr Ryan said the updated Mineral Resource provided a strong foundation to the ongoing Definitive Feasibility Study, adding further momentum to the company’s strategy of becoming one of the next +100kozpa gold producers on the ASX.
“The upgraded Mineral Resource reflects several months of highly successful in-fill drilling across our cornerstone deposits and the satellite deposits at El Dorado and Mayday North. In essence, we have been able to increase the higher confidence Measured and Indicated ounces and substantially de-risk our mine plan,” Mr Ryan said.
“This marks another important milestone towards the development of the 135kozpa standalone gold mining and processing operation at Bardoc, as outlined earlier this year in our PFS. The resource update drilling deliberately targeted the lower confidence material in the 1Moz Production Target and, as we progress our DFS, we are increasingly confident that we will be able to expand upon the current 790koz Ore Reserve.
“We look forward to a number of key milestones in the coming months, with the off-take agreement due before the end of 2020 and the DFS due in March Quarter 2021. Exploration efforts are also underway at several exciting targets as we look to develop a growth pipeline of development projects to ensure that the Bardoc Gold Project has a long, sustainable mine life.”
