Last checked at 21 Nov 2022 07:00
Cora Gold Limited / EPIC: CORA.L / Market: AIM / Sector: Mining
21 November 2022
Cora Gold Limited ('Cora' or 'the Company')
Sanankoro Gold Project: Maiden Reserves and Definitive Feasibility Study
Cora Gold Limited, the West African focused gold company, is pleased to announce Maiden Reserves and the results of a Definitive Feasibility Study ('DFS') for its flagship Sanankoro Gold Project ('Sanankoro' or the 'Project') in southern Mali.
Highlights
● Maiden Probable Reserves based on a gold price of US$1,650/oz are as follows:
| Tonnes ('000s) | Grade (g/t Au) | Contained Au (koz) | Recovered Au (koz) |
Total Ore | 10,094 | 1.30 | 422 | 380 |
Total Waste | 46,564 |
|
| |
Strip ratio (Waste : Ore) | 4.61 |
● DFS economics (post tax, based on a gold price of US$1,750/oz)
○ 37.4% internal rate of return ('IRR')
○ 1.5 year payback period
○ US$228m free cash flow ('FCF') over life of mine ('LOM')
○ US$1,033/oz all-in sustaining costs ('AISC')
○ 6.8 years Reserve mine life
○ 56,000oz pa average production
○ US$108m pre-production capital (including mining pre-production & contingencies)
● Detailed metallurgical test work confirmed LOM gold recovery of 90.1% through a conventional 1.5 Mtpa Carbon in Leach ('CIL') processing plant.
● Solar hybrid power option incorporated into the plant design, delivering savings in both operating costs and carbon emissions.
Bert Monro, Chief Executive Officer of Cora, commented, "The Company is pleased to be releasing its Maiden Reserves and DFS on the Sanankoro Gold Project, focused on open pit oxide mining through a traditional gravity and CIL processing plant. The benefit of low strip ratio oxides is seen both in the mining and processing costs, and this has helped deliver a very robust project economically with low technical risk. We are confident that with additional drilling we can significantly add to Sanankoro's reserve mine life through both existing resource conversion and drilling the recently updated exploration target.
"Concurrent with completing the DFS, the Company has been working on a number of additional optimisations with other independent technical consultants. The results of the optimisation work will be published shortly.
"I'd like to take this opportunity to thank all the DFS consultants for their work on the Project."
Definitive Feasibility Study - Summary of Results
The key results and financial outcomes of the DFS are set out in the table below:
| Values based on a gold price of … | |
Parameters | US$1,750/oz | US$1,650/oz |
Construction period 1 (months) | 21 | |
Life of Mine ('LOM') (years) | 6.8 | |
LOM waste mined (kt) | 46,564 | |
LOM ore mined (kt) | 10,094 | |
Strip ratio (waste : ore) | 4.61 : 1 | |
LOM grade processed (g/t Au) | 1.30 | |
Average gold recovery | 90.1% | |
LOM production (koz) | 380 | |
Average production (koz pa) | 56 | |
Average Free Cash Flow post tax (US$m pa) | 33.3 | 29.4 |
LOM Free Cash Flow post tax (US$m) | 228 | 201 |
Mining costs (US$/t ore) | 15.80 | |
Processing & maintenance costs (US$/t ore) | 11.20 | |
General & administration plus other costs to mine gate (US$/t ore) | 3.10 | |
Payback period post tax from start of operations (years) | 1.5 | 1.9 |
Pre-production capital (US$m) (including US$9m mining pre-production & US$8m contingency) | 108 | |
Sustaining capital (US$m)2 | 60 | |
Average cash cost (US$/oz Au) | 802 | |
Average AISC (US$/oz Au) | 1,033 | 1,029 |
IRR pre-tax | 46.0% | 37.6% |
IRR post tax | 37.4% | 29.7% |
NPV8 pre-tax (US$m) | 108.9 | 82.2 |
NPV8 post tax (US$m) | 73.1 | 52.8 |
1 includes pre-construction engineering work and commissioning the plant
2 includes closure costs
Definitive Feasibility Study - Capital and Operating Costs
Pre-production capital cost of US$108m, including US$9m mining pre-production and US$8m contingency.
The pre-production capital cost estimate is based on a contractor mining scenario and therefore excludes capital costs associated with a mining fleet.
Capital items | US$'000 |
Civil works | 5,122 |
Earth works | 3,513 |
Machinery & equipment | 34,204 |
Infrastructure | 1,194 |
Transport | 5,432 |
First fills | 868 |
Mine camp | 2,206 |
ESIA channels | 2,859 |
Project management | 10,028 |
Insurance & guarantees | 650 |
Generator / thermal plant | 250 |
Tailings storage facility ('TSF'; phase 1) | 20,688 |
Resettlement action plan | 1,000 |
Owner's costs | 3,814 |
Mining pre-production | 8,941 |
Contingency | 7,750 |
Total pre-production capital | 108,519 |
Sustaining & closure capital | 59,857 |
Total LOM capital | 168,376 |
An estimated LOM average AISC of US$1,033/oz based on a gold price of US$1,750/oz.
A solar hybrid power option has been incorporated into the plant design, delivering savings in both operating costs and carbon emissions.
| Values based on a gold price of … | |
Operating / unit costs (US$/oz of gold) | US$1,750/oz | US$1,650/oz |
Mining | 418.8 | |
Processing | 272.8 | |
Maintenance | 22.8 | |
General & administration | 83.8 | |
Total cost to mine gate | 798.2 | |
Transport, insurance & refining | 3.7 | |
Total cash cost ('C1') | 801.9 | |
Royalties & statutory | 73.8 | 69.6 |
All-in sustaining cost ('AISC') | 1,033 | 1,029 |
Maiden Ore Reserves
The Ore Reserves for the Selin, Zone A and Zone B deposits have been reported according to the JORC (2012) Code.
The estimation of the Ore Reserves followed a process of pit optimisation, design and scheduling:
● The Mineral Resource models were prepared by CSA Global.
● The mining models were derived from the Mineral Resource models modified for dilution and mining losses through application of Mineable Shape Optimiser ('MSO') to determine appropriate factors.
● Using the mining models, pit optimisations were completed in Studio NPVS software (Datamine).
● Using the selected pit shells as templates, pit designs for the final pits and push backs were developed in Deswik. The pit designs and pushbacks considered practical access and geotechnical parameters.
● Based on these designs, a monthly life of mine ('LOM') schedule was completed in Deswik IS (Interactive Scheduler) software.
● The schedule economics was verified through a financial analysis and proved to be economically viable.
The independent Competent Person for Mineral Reserve estimates is Frikkie Fourie (BEng, Pr. Eng, MSAIMM) of Moletech SA (Pty) Ltd ('Moletech').
Area | Mineral Reserve classification | Material type | Tonnes | Grade | Metal content (koz) |
(kt) | (g/t Au) | ||||
Selin | Probable | Oxide | 3,767 | 1.27 | 154.2 |
Probable | Transitional | 519 | 2.38 | 39.8 | |
Total Selin | Probable | All zones | 4,287 | 1.41 | 194.0 |
Zone A | Probable | Oxide | 2,752 | 1.32 | 116.8 |
Probable | Transitional | - | - | - | |
Total Zone A | Probable | All zones | 2,752 | 1.32 | 116.8 |
Zone B | Probable | Oxide | 3,048 | 1.13 | 111.0 |
Probable | Transitional | 8 | 1.54 | 0.4 | |
Total Zone B | Probable | All zones | 3,056 | 1.13 | 111.5 |
GRAND TOTAL | Probable | All zones | 10,094 | 1.30 | 422.2 |
Notes:
● Figures have been rounded to the appropriate level of precision for the reporting of Mineral Reserves.
● Due to rounding, some columns or rows may not compute exactly as shown.
● Mineral Reserves are stated as in situ dry tonnes; figures are reported in metric tonnes.
● The Mineral Reserve is classified in accordance with the guidelines of the Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (2012 Edition). Probable Mineral Reserves from Indicated Mineral Resources.
● The Ore Reserve is reported at a gold price of US$1,650 per troy ounce.
● The Mineral Reserves are defined on the basis that inventory above a defined cut-off is delivered to the processing plant, located as prescribed in this Study.
● Modifying factors applied:
o Mining recovery and dilution:
o Selin: Mining recovery 97%, Dilution 8%
o Zone A: Mining recovery 94%, Dilution 8%
o Zone B: Mining recovery 95%, Dilution 8%
o Processing recovery:
o Selin: Oxides 93%, Transitional 48.3%
o Zone A: Oxides 97%, Transitional 97%
o Zone B: Oxides 93.7%, Transitional 93.7%
● There are no known legal, political, environmental, or other risks that could materially affect the potential Mineral Reserves.
Mining
The mining of Selin, Zone A and Zone B is well-suited to typical open pit methods using a backhoe configured excavator and truck fleet which will be operated by a mining contractor. Considering the highly-weathered nature of the orebody, both the oxide and transitional material are viewed as "free-dig" with no need for drill and blast activities. Open pit operations will be undertaken using 5 metre benches which will be stacked to 10 metres at final limits. It is the intention that topsoil (initial 30cm) be stripped initially over the area of both the open pit and waste rock dumps ('WRDs') and stockpiled in a suitable allocated area proximal to each of the pits. Clearing and grubbing costs have been provisioned.
Waste material will be dumped onto designated waste dumps. Dumping will take place in 10 metre layers; to a general maximum of 50 metres in height. The location of waste dumps has considered a US$2,000/oz pit shell and the presence of mineralised zones proximal to the pits. Run of mine ('ROM') material destined for the processing plant will be sent straight to the stockpile area. Stockpiling and blending may be necessary to optimise the head grade with feed constraints on transitional material. Sufficient space will be provided for several separate stockpiles. All process feed will be re-handled by a wheel loader from the stockpile straight into the crusher.
Processing
The proposed process plant design is based on a well-known and established gravity/CIL technology, which consists of crushing, milling, and gravity recovery of free gold, followed by leaching/adsorption of gravity tailings, elution, gold smelting, and tailings disposal with a detoxification cyanide plant. The process plant will include reagent mixing, storage and distribution, and water and air services. A water treatment plant is included to manage any potential water discharge.The plant will treat 1.5 Mtpa of oxide ore or 1.2 Mtpa of transition ore if treated independently. The process plant design incorporates the following unit process operations:
● Crushing - to produce feed for the ball mill from either oxide or transition ore.
● Milling- product from crushing will be milled in a single-stage ball mill in closed circuit with hydrocyclones to produce a P80 of 150 µm for the oxide ore and a P80 grind size of 75 µm for the transition ore.
● Gravity Concentration- recovery of coarse gold from the milling circuit recirculating load and treatment of gravity concentrates by intensive cyanidation and electrowinning to recover gold to doré.
● Leach/CIL circuit - for gold dissolution and adsorption onto carbon incorporating six CIL tanks.
● Loaded Carbon Desorption - elution circuit, electrowinning, and gold smelting to recover gold from the loaded carbon to produce doré.
● Detoxification - an INCO air/SO2 cyanide detoxification facility for the CIL tails slurry, which will be used only when required as test work has shown that the weak acid dissociable cyanide levels in the leached tails are less than 50 ppm.
● Tailings Storage Facility - tailings pumping to the TSF.
Site layout
Process flow sheet
Permitting
In October 2022 Cora announced the award of an Environmental Permit for the Sanankoro Gold Project (see announcement dated 18 October 2022). Following the receipt of the Environmental Permit and completion of the DFS the Company is able to submit an application for a Mining Permit over Sanankoro. In connection with the application for a Mining Permit the Company is currently translating the DFS into French. Formal submission of the translated DFS and the application for a Mining Permit will be submitted to the Mali government in due course.
Qualified Person Statements
Scientific or technical information in this disclosure that relates to mining results was reviewed by Mr Frikkie Fourie (BEng, Pr. Eng, MSAIMM), an independent consultant for Moletech. Mr Fourie is a Professional Engineer ('Pr. Eng') in good standing with the Engineering Council of South Africa, is a Member of the South African Institute of Mining and Metallurgy ('MSAIMM') and has sufficient experience that is relevant to the project under consideration which he is undertaking to qualify as a Qualified Person under the JORC code.
The contents of this press release have been reviewed and approved by Philemon Bundo (BSc Eng (Metallurgy), FSAIMM, FAusIMM, MIMMM) Senior Vice President - Process Engineering of SENET (Pty) Ltd with respect to processing and infrastructure.
Market Abuse Regulation ('MAR') Disclosure
Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No 596/2014 ('MAR'), which is part of UK law by virtue of the European Union (Withdrawal) Act 2018, until the release of this announcement.
* * ENDS * *
For further information, please visit http://www.coragold.com or contact:
Bert Monro Craig Banfield | Cora Gold Limited | info@coragold.com |
Christopher Raggett Charlie Beeson | finnCap Ltd (Nomad & Joint Broker) | +44 (0)20 7220 0500 |
Andy Thacker James Pope | Turner Pope Investments (Joint Broker) | +44 (0)20 3657 0050 |
Susie Geliher Charlotte Page Isabelle Morris | St Brides Partners (Financial PR) | pr@coragold.com |
Notes
Cora is a West African gold developer with three principal de-risked project areas within two known gold belts in Mali and Senegal covering c.1,000 sq km. Led by a team with a proven track record in making multi-million ounce gold discoveries that have been developed into operating mines, its primary focus is on developing the Sanankoro Gold Project in the Yanfolila Gold Belt, southern Mali.
JORC Code, 2012 Edition - Table 1
Section 4 Estimation and Reporting of Ore Reserves (Sections 1-3 were published with an updated MRE by RNS on 19th July 2022)
Criteria | JORC Code explanation | Supplementary Commentary |
Mineral Resource estimate for conversion to Ore Reserves | ● Description of the Mineral Resource estimate used as a basis for the conversion to an Ore Reserve. ● Clear statement as to whether the Mineral Resources are reported additional to, or inclusive of, the Ore Reserves. | ● Indicated Mineral Resources for the Sanankoro Gold Project, as prepared by SRK Global in 2022, were used as the basis for Ore Reserves. ● The Ore Reserves, including adjustment for ore loss and dilution factors, are included within the declared Mineral Resources |
Site visits | ● Comment on any site visits undertaken by the Competent Person and the outcome of those visits. ● If no site visits have been undertaken indicate why this is the case. | ● Site visits have been undertaken by other Competent personnel for various aspects of the DFS. ● SENET has also been to site as the main independent consultant and F. Fourie, the CP for the Ore Reserves will rely on their visit. |
Study status | ● The type and level of study undertaken to enable Mineral Resources to be converted to Ore Reserves. ● The Code requires that a study to at least Pre-Feasibility Study level has been undertaken to convert Mineral Resources to Ore Reserves. Such studies will have been carried out and will have determined a mine plan that is technically achievable and economically viable, and that material Modifying Factors have been considered. | ● A feasibility level study has been completed for the Project. ● A mine plan that is technically achievable and economically viable has been completed. |
Cut-off parameters | ● The basis of the cut-off grade(s) or quality parameters applied. | ● A financial assessment was undertaken to ascertain whether the Cut-off grade fulfil the criteria of "reasonable prospects for eventual economic extraction" using detailed costs ● To complete pit optimisation, which forms the basis of the final pit designs, a cut-off grade estimate was performed. The cost per tonne for mining, processing and overhead costs, mining dilution and loss factors, processing plant recoveries and net payable gold, were used, to determine the cut-off grade. ● A cut-off grade of 0.5g/t was used. ● The cut-off grade are being used for the Project, and are considered by the CP to be appropriate for the operation, considering the nature of the deposit, and the associated project economics. |
Mining factors or assumptions | ● The method and assumptions used as reported in the Pre-Feasibility or Feasibility Study to convert the Mineral Resource to an Ore Reserve (i.e. either by application of appropriate factors by optimisation or by preliminary or detailed design). ● The choice, nature and appropriateness of the selected mining method(s) and other mining parameters including associated design issues such as pre-strip, access, etc. ●The assumptions made regarding geotechnical parameters (eg pit slopes, stope sizes, etc), grade control and pre-production drilling. ● The major assumptions made and Mineral Resource model used for pit and stope optimisation (if appropriate). ● The mining dilution factors used. ● The mining recovery factors used. ● Any minimum mining widths used. ● The manner in which Inferred Mineral Resources are utilised in mining studies and the sensitivity of the outcome to their inclusion. ● The infrastructure requirements of the selected mining methods. | ● Using the Mineral Resource model, pit optimisations where completed. These formed the basis of final pit designs, which were used in the life of mine schedule. The CP considers the LoM to be appropriate and practically achievable. ● The mining of Selin, Zone A and Zone B is well suited to typical open pit methods using a backhoe configured excavator and truck fleet which will be operated by a mining contractor. ● Geotechnical assumptions were based on the various geotechnical drilling and analysis completed by OHMS ● Modifying factors applied: o Mining recovery and dilution: ▪ Selin: Mining recovery 97%, Dilution 8% ▪ Zone A: Mining recovery 94%, Dilution 8% ▪ Zone B: Mining recovery 95%, Dilution 8% |
Metallurgical factors or assumptions | ● The metallurgical process proposed and the appropriateness of that process to the style of mineralisation. ● Whether the metallurgical process is well-tested technology or novel in nature. ● The nature, amount and representativeness of metallurgical test work undertaken, the nature of the metallurgical domaining applied and the corresponding metallurgical recovery factors applied. ● Any assumptions or allowances made for deleterious elements. ● The existence of any bulk sample or pilot scale test work and the degree to which such samples are considered representative of the orebody as a whole. ● For minerals that are defined by a specification, has the ore reserve estimation been based on the appropriate mineralogy to meet the specifications? | ● The Sanankoro gold processing plant is designed to process oxide and transition ores from the three main deposits: Selin, Zone A and Zone B ores.
● The proposed process gravity/carbon-in-leach (CIL) technology, which consists of crushing, milling, and gravity recovery of free gold, followed by leaching/adsorption of gravity tailings, elution and gold smelting, and tailings disposal. The process is well suited to the style of mineralisation.
● The proposed process plant design is based on a well-proven and established gravity/CIL technology.
● Extensive test work on oxide ores ore has been completed on samples from the Selin, Zone A and Zone B to cover the entire deposit laterally and at depth, which are considered representative. Only one sample of transition ore from Selin was tested and thus is considered preliminary in nature but however transition constitutes 22% of indicated resource.
Gold is expected to be extracted from each ore type at the following average recoveries: ● Selin Oxide: 93.0% ● Zone A oxide: 97.0% ● Zone B Oxide 93.7% ● Selin Transition 48.3% No deleterious elements are indicated in the ore head grade assayed
A bulk sample composite was taken per domain and per weathering zone (and at depth), which are considered representative of the individual domains and zones. Specifications are not applicable. The product will be in the form of gold doré. The doré bars will be weighed, sampled and assayed before being sent to the precious metal refinery. |
Environmental | ● The status of studies of potential environmental impacts of the mining and processing operation. Details of waste rock characterisation and the consideration of potential sites, status of design options considered and, where applicable, the status of approvals for process residue storage and waste dumps should be reported. | ● The Company commissioned Digby Wells to complete an ESIA to both Malian and International standards. On completion of the ESIA an application for Environmental permit was lodged with the Government and subsequently the permit has been received so the Project is fully permitted from an environmental perspective. |
Infrastructure | ● The existence of appropriate infrastructure: availability of land for plant development, power, water, transportation (particularly for bulk commodities), labour, accommodation; or the ease with which the infrastructure can be provided or accessed. | ● The Sanankoro Project is a greenfield project - minimal infrastructure has been established on the project site. The on-site infrastructure required will be related to the processing plant and the supporting facilities as follows: ● In-plant access roads ● Plant buildings ● Plant reagents and consumables stores ● Process plant site drainage ● Sewage disposal ● Security ● Water supply ● Communications ● Power supply ● Fuel supply and storage ● There is sufficient land available for the development of and access to these items. ● The main off-site infrastructure required for the development of the project will be the following: ● Mining infrastructure and buildings ● Camp and catering facilities ● Medical facilities ● Power supply and distribution ● Fuel storage ● Communication ● Water supply system |
Costs | ● The derivation of, or assumptions made, regarding projected capital costs in the study. ● The methodology used to estimate operating costs. ● Allowances made for the content of deleterious elements. ● The derivation of assumptions made of metal or commodity price(s), for the principal minerals and co- products. ● The source of exchange rates used in the study. ● Derivation of transportation charges. ● The basis for forecasting or source of treatment and refining charges, penalties for failure to meet specification, etc. ● The allowances made for royalties payable, both Government and private. | The capital cost estimate for the project has been derived from information collated from the following: ● Life of Mine (LOM) pit production schedule, including stockpiling operations ● LOM processing plan ● Mine haul road designs and layouts ● Process plant design criteria ● General layouts of the process plant and related infrastructure ● Tailings Storage Facility (TSF) development schedule and operations ● Process flow diagrams ● Process plant equipment data sheets and lists ● Process plant piping and instrumentation diagrams ● Process plant line, valve, and instrument lists ● Electrical single-line diagrams and motor lists ● Electrical reticulation routes ● Various discipline material take-offs ● Quotations from vendors on mechanical and/or process equipment ● Quotations from vendors on main construction contracts ● EPCM schedules ● In-house historical databases ● The mining operating costs were obtained from contractor quotations. ● General and Administration costs were determined from first principles and by using information from SENET's in-house database for similar projects from the same locality. ● The process plant operating costs were compiled from a variety of sources: ● First principles, where applicable ● Supplier quotations on reagents and consumables ● SENET's in-house experience and database where applicable ● Allowances have been made for royalties and taxes based on the current applicable mining laws |
Revenue factors | ● The derivation of, or assumptions made regarding revenue factors including head grade, metal or commodity price(s) exchange rates, transportation and treatment charges, penalties, net smelter returns, etc. ● The derivation of assumptions made of metal or commodity price(s), for the principal metals, minerals and co-products. | ● A life-of-mine production schedule was derived from the mine design and the geological block model. The production schedule was used to generate monthly estimates of the mined tonnes and grade ● Rate based on trends and or as applicable or advised by the management which needs to be in-line with the market trend and or various commitments |
Market assessment | ● The demand, supply and stock situation for the particular commodity, consumption trends and factors likely to affect supply and demand into the future. ● A customer and competitor analysis along with the identification of likely market windows for the product. ● Price and volume forecasts and the basis for these forecasts. ● For industrial minerals the customer specification, testing and acceptance requirements prior to a supply contract. | ● Based on market and operation requirements |
Economic | ● The inputs to the economic analysis to produce the net present value (NPV) in the study, the source and confidence of these economic inputs including estimated inflation, discount rate, etc. ● NPV ranges and sensitivity to variations in the significant assumptions and inputs. | ● Based on assumptions that built the financial model in line with existing industry norm assumptions around gold price, discount rate and other factors. |
Social | ● The status of agreements with key stakeholders and matters leading to social licence to operate. | ● An ESIA has been completed that has given guidance that will be reviewed an implanted as appropriate as the Project starts to be developed. |
Other | ● To the extent relevant, the impact of the following on the project and/or on the estimation and classification of the Ore Reserves: ● Any identified material naturally occurring risks. ● The status of material legal agreements and marketing arrangements. ● The status of governmental agreements and approvals critical to the viability of the project, such as mineral tenement status, and government and statutory approvals. There must be reasonable grounds to expect that all necessary Government approvals will be received within the timeframes anticipated in the Pre-Feasibility or Feasibility study. Highlight and discuss the materiality of any unresolved matter that is dependent on a third party on which extraction of the reserve is contingent. | ● As required by laws and or regulation of the country. A mining permit is required for the Project but the Company see no reasons that this would not be granted. |
Classification | ● The basis for the classification of the Ore Reserves into varying confidence categories. ● Whether the result appropriately reflects the Competent Person's view of the deposit. ● The proportion of Probable Ore Reserves that have been derived from Measured Mineral Resources (if any). | ● Indicated Mineral Resources within the pit designs and which are above the nominated cut-off grade, have been classified as Probable Ore Reserves. ● It is the opinion of the Competent Persons for Ore Reserves that the results are an appropriate reflection of the deposit. ∙ No Probable Ore Reserves have been classified from Measured Mineral Resources. |
Audits or reviews | ● The results of any audits or reviews of Ore Reserve estimates. | ● No external audits or reviews of the Ore Reserve has been completed |
Discussion of relative accuracy/ confidence | ● Where appropriate a statement of the relative accuracy and confidence level in the Ore Reserve estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical or geostatistical procedures to quantify the relative accuracy of the reserve within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors which could affect the relative accuracy and confidence of the estimate. ● The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used. ● Accuracy and confidence discussions should extend to specific discussions of any applied Modifying Factors that may have a material impact on Ore Reserve viability, or for which there are remaining areas of uncertainty at the current study stage. ● It is recognised that this may not be possible or appropriate in all circumstances. These statements of relative accuracy and confidence of the estimate should be compared with production data, where available. | ● The Ore Reserve has been completed to feasibility standard with the data being generated from a tightly spaced drilling grid, thus confidence in the resultant figures is considered high.
|