Midas Resources updates Kalman Resource estimate

THE DRILL SERGEANT: Midas Resources (ASX: MDS) has released an updated JORC Code 2012-compliant Mineral Resource Estimate by RungePincockMinarco (RPM) for the company’s 100 per cent-owned Kalman deposit near Mt Isa in North West Queensland.

The Resource comprises a combined 30 million tonnes at 1.3 per cent copper equivalent (CuEq) at 0.54 per cent copper, 0.28 grams per tonne gold, 0.08 per cent molybdenum and 2.2 grams per tonne rhenium in the Inferred category at revised cut-off grades for 165,000 tonnes of copper, 274,000 ounces of gold, 25,000 tonnes of molybdenum and 2.1 million ounces of rhenium in estimate.

“This updated resource estimate lays the foundations for further resource definition drilling and mining studies into Kalman and we consider there to be excellent potential for Kalman to become a significant producer of copper and molybdenum concentrates with gold and rhenium credits,” Midas Resources chief executive officer Alexander Hewlett said in the company’s announcement to the Australian Securities Exchange.

Midas holds a tenement position covering approximately 1,900 square kilometres within the Mount Isa region and surrounding Kalman.

The company recently completed a program of drilling at its Overlander North copper deposit, situated 6km west of Kalman, for which a maiden mineral resource is presently being estimated.

 “Our early exploration success at Overlander North provides additional confirmation of the project’s exploration potential,” Hewlett said.

“Kalman also has the advantage of being located in an established mining district.

“The extensive geological, environmental and metallurgical studies already completed on Kalman will assist in fast-tracking the project towards production.”

Midas explained that as part of the 2014 update RPM undertook a high level pit optimisation exercise over the Kalman deposit model to determine if a portion of the project would have reasonable prospects for eventual economic extraction by open pit mining methods.

 

Perspective of Kalman conceptual optimised pit shell showing drill traces. Source: Company announcement

 

The results from this analysis indicate a healthy portion of the Kalman deposit has reasonable prospects for economic extraction using open pit methods.

RPM also carried out a high-level underground mining analysis exercise on the Kalman block model, the results of which indicated a substantial portion of the deposit has reasonable prospects for economic extraction using underground mining methods.

Email: info@midasresources.com.au

Website: www.midasresources.com.au