For thousands of other reports visit RSC's Mineral Intellingence Map
Red 5 Ltd.
Summary
| Project: | King of the Hills | |
|---|---|---|
| Deposit: | King of the Hills | |
| Location: | Australia | |
| Commodities: | Gold | |
| Date: | 8/1/2019 | |
| Report Code: | JORC | |
| Report Type: | Pre-Feasibility Study | |
| Project Stage: | Pursuing Resource Increase/Upgrade | |
| Report details: | 1-8-2019: Red 5 Ltd. announces a Pre-Feasibility Study report for its King of the Hills deposit at the King of the Hills project. PFS results and ore reserve estimate for open pit. Pre-Feasibility Study outlines potential for a 10-year open pit operation | |
| Resources: | (Reserve, Prob.): 37.4Mt @ 1.24g/t Au | |
| CP/QP: | [Overall Report]: Carl Murray (SRK Consulting (Australasia) Pty Ltd.) | |
| ABSTRACT: | Pre-Feasibility Study outlines potential for a 10-year open pit operation delivering average annual life-of-mine (LOM) production of 140,000oz recovered at average AISC of A$1,167 per ounce, with substantial upside potential from future inclusion of 1.1Moz of underground Resources, regional oxide deposits and ongoing exploration. Red 5’s Managing Director, Mark Williams, said: “The delivery of this maiden JORC 2012 open pit Ore Reserve and the supporting PFS is a significant milestone for our shareholders. It marks a key step towards realising our objective of transforming Red 5 into a substantial mid-tier gold producer with a diversified production base and production profile. “To put the PFS numbers into perspective, King of the Hills now has a bulk Mineral Resource for the Eastern Margin contact zone of 3.11Moz, inclusive of a maiden open pit Ore Reserve of 1.45Moz, and has the potential to become Western Australia’s next significant gold mine. “This open pit PFS is a key stepping-stone, setting a firm foundation for us to unlock the broader value at King of the Hills by developing an integrated open pit and underground bulk mining operation. “The PFS confirms a technically robust, long-life project based on the open pit mine development, underpinned by maiden Ore Reserves of 1.45Moz, with annual average gold production of 140,000 ounces per annum at an average all-in sustaining cost of A$1,167 per ounce. The initial capital cost of A$218 million includes the construction of a 4Mtpa CIL processing plant on site, which provides sufficient processing capacity for an integrated bulk open pit and underground mining operation and is the significant component of the expected total upfront cost. “We will now use this PFS as the basis for a Final Feasibility Study (FFS) that will also incorporate concurrent bulk underground mining as well as satellite starter pits to provide a more complete picture of the Project. “The FFS will also include the bulk underground Resource, which currently stands at 1.1Moz, the regional oxide resources, as well any additions to the Resource base as a result of ongoing underground and regional exploration programs. “We are confident the Project will continue to enjoy growth in both Resources and Reserves over the next 12 months and we are focused on advancing the KOTH project towards development over the next 18 months. In parallel with the continued successful operation and growth of our Darlot operations, King of the Hills has the potential to quickly elevate Red 5 in the ranks of Australia’s mid-tier gold producers.” | |
Full Report
opaxe is a smart software platform that reconfigures and redistributes information and produces business insights to help mining professionals and investors make better decisions. We utilise technology and machine learning for data collection and human intelligence for the value-added services.
Full Report