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Project: | Cowal | |
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Deposit: | Cowal | |
Location: | Australia | |
Commodities: | Gold | |
Date: | 11/22/2018 | |
Report Code: | JORC | |
Report Type: | Exploration/Drilling Update | |
Project Stage: | Active Mining & Production | |
Report details: | 22-11-2018: Evolution Mining Ltd. announces an Exploration/Drilling Update report for its Cowal deposit at the Cowal project. Drilling results incl. 0.9m @ 946g/t Au from 526.1m. Evolution Mining Limited (ASX:EVN) is pleased to advise that the Board has a | |
Resources: | (not mentioned in this report) | |
CP/QP: | [Overall Report]: James Biggan (Internal) | |
ABSTRACT: | Evolution Mining Limited (ASX:EVN) is pleased to advise that the Board has approved an expansion to the Cowal processing plant to 8.7Mtpa. In addition, step out drilling at Cowal GRE46 continues to deliver exceptional results with several new high-grade intercepts returned from the current drill program including 46.0m (27.2m etw) grading 7.8g/t Au from 625m (hole 1535DD348). Cowal Plant Expansion The Board has approved a plant upgrade at Cowal, 12 months ahead of plan, to increase throughput to 8.7Mtpa from the previously permitted 7.5Mtpa. Works will commence in the March 2019 quarter with commissioning expected approximately 12 months later. Total capital expenditure is estimated to be in the range of A$25 – A$30 million which will be spent over FY19 (A$15 – A$20M) and FY20 (~A$10M). The increase in throughput is expected to result in additional gold production from current operating capacity of 5koz in FY20, 10 – 15koz in FY21, and 20koz per annum from FY22 onwards. These increases are included in the revised Three-Year Outlook provided below. The plant expansion is expected to reduce unit processing costs by A$1.25 – A$1.75 per tonne which equates to a reduction of 8% – 12%. Further feasibility studies to determine the optimal long-term throughput rate of up to the permitted 9.8Mtpa are ongoing. Metallurgical testing of potential future ore sources from GRE46 and Dalwhinnie mineral systems and the maximum throughput rate achievable from this first phase plant expansion needs to be assessed before determining the long-term throughput rate at Cowal. Cowal Discovery Success Excellent results continue to be received from deep step-out drilling at Cowal including an outstanding 0.9m (0.8m etw) grading 946g/t Au from 526m, 3.8m (3.4m etw) grading 16.0g/t Au from 563m, 4.0m (3.6m etw) grading 11.3g/t Au from 614m and 46.0m (27.2m etw) grading 7.8g/t Au from 625m returned in hole 1535DD348. The latest results confirm the Dalwhinnie sill extends a further 675 metres south of results previously reported. The Dalwhinnie lode is positioned in the footwall of the main GRE46 resource and has been mapped for a total strike length of one kilometre. | |
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