Vimy Resources advances Mulga Rock DFS

THE DRILL SERGEANT: Vimy Resources (ASX: VMY) is well into a Definitive Feasibility Study (DFS) in-fill drilling program at the Ambassador, Shogun and Emperor prospects on the company’s Mulga Rock project (MRP) in Western Australia.

The drilling program, which is 75 per cent complete, will carry out 523 aircore drill holes and 91 diamond holes.

Vimy said its aim for the program is to increase the Resource classification for Ambassador and Shogun to Indicated or better status, which the company expects to allow greater than 10 years of Ore Reserves to be established.

The DFS drilling also includes a diamond twin program to further quantify the uranium disequilibrium correction factor at Shogun and Emperor and will establish the base metal content as well.

Earlier this year, Vimy upgraded the Mineral Resource Estimate for Ambassador, resulting in a 30 per cent increase of the average uranium grade due almost entirely to an increase in uranium disequilibrium factor.

The company anticipates the drilling presently underway at Shogun and Emperor will quantify the uranium disequilibrium for these two deposits with results expected to show a similar increase to Ambassador owing to the similar geological settings and uranium mineralisation forming processes at the two deposits.

Vimy will then prepare an updated Mineral Resource Estimate for Ambassador, Emperor and Shogun to be released in Q2 CY2016.

“The DFS infill drilling program and test pits are well advanced and will provide the foundation for the DFS Ore Reserve Statement and final mine design, which are critical components for project financing,” Vimy Resources managing director Mike Young said in the company’s announcement to the Australian Securities Exchange.

“The current work seeks to demonstrate the project can use simple low cost strip mining and allow the project to be developed with a high level of confidence.”

Separate to the DFS in-fill drill program, Vimy is conducting a maiden Ore Reserve for Princess and Ambassador, the results from which are being prepared for anticipated release within the next si to eight weeks. 

This Ore Reserve statement does not include the results from the DFS in-fill drill program.

Email: info@vimyresources.com.au

Website: www.vimyresources.com.au