Carbine Resources announces third Mt Morgan Resource

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THE DRILL SERGEANT: Carbine Resources (ASX: CRB) created a bit of excitement at Diggers and Dealers as it moves into the final stages of a Definitive Feasibility Study on the company’s Mount Morgan gold-vopper Project in Queensland, with completion of the third of four Mineral Resource estimates.

The JORC 2012 Indicated Mineral Resource at Mount Morgan’s Shepherds Gully tailings dump has come in at 4.83 million tonnes at 0.84 grams per tonne gold for 131,000 ounces of gold (above a 0.00 g/t gold cut-off grade).

Carbine said the new Resource represents an increase in both the confidence and size of the Shepherds Gully Mineral Resource from the previously reported Inferred Mineral Resource of 3.9 million tonnes at 0.86g/t god for 106,000 ounces.

“This announcement for the Shepherds Gully tailings dump represents the third of four resource updates on the tailings dumps at Mount Morgan,” Carbine Resources said in its ASX announcement.

The company noted previous resource updates for the No 2 Mill and Mundic Gully tailings dumps were announced previously in July this year, which included results from drilling undertaken in May.

“Importantly, the total Indicated Resource for the Mount Morgan project has grown to 9.35 million tonnes at 1.12 grams per tonne gold for 335,000 ounces,” the company said.

“These updated Mineral Resources (and Red Oxide resource upgrade in progress) will be incorporated in the Definitive Feasibility Study (DFS) due for completion this quarter.”

Carbine also announced the raising of $7 million, the proceeds from which it has earmarked to enable the company to complete the Definitive Feasibility Study in September 2016 and progress to the financing and final approval stage of the project.

“We are very pleased to have attracted the interest of a number of Australian institutional investors to the company,” Carbine Resources managing director Tony James said in the company’s announcement to the Australian Securities Exchange.

“This strengthens the company’s balance sheet and shows the strong support for the potential development of the Mount Morgan project in Queensland.

“We are now fully funded through to a decision to mine which is very exciting.”

Website: www.stgm.com.au