Study confirms ‘economically robust’ Western Australia gold mine - Barra
miningweekly.com
By: Esmarie Swanepoel
25th August 2009
Updated 6 hours ago
JOHANNESBURG (miningweekly.com) – ASX-listed explorer Barra Resources on Tuesday reported that an independent study into its Newminster gold deposit, in Western Australia, had found that an “economically robust” openpit mine could be established.
The Newminster gold deposit hosts a joint ore reserve committee indicated resource of 84 111 t, at 4,62 g/t, for 12 500 oz of gold, and an inferred resource of 32 265 t, at 2,5 g/t, for 2 600 oz of gold.
Barra stated that when evaluated using current mining and milling costs, Newminster’s base-case optimum comprised of an openpit shell containing 5 300 oz of gold, down to a depth of 45 m. At a gold price of A$1 150/oz, the base-case pit shell contains 31 736 t of ore in the indicated resources category at 3,48 g/t, and 18 271 t of ore in the inferred category, at 2,97 g/t.
This would deliver a combined total of 50 007 t of ore at a diluted grade of 3,29 g/t, with an operating cash cost of around A$669/oz.
The explorer noted that this could therefore, potentially generate an operating profit of about A$2,3-million, and a return of some 42%.
Barra further noted that the deposit could potentially be brought to production within months. |
