THE BOURSE WHISPERER: Ampella Mining (ASX: AMX) has upgraded the JORC Code-compliant Resource at the Konkera deposit, situated within the company’s 100 per cent-owned Batie West gold project in Burkina Faso.
The upgrade comes on the back of an infill drilling campaign completed during 2012 on the Konkera Resource for pre-feasibility studies (PFS) purposes and the basis for pit optimisations.
The new Mineral Resource for Konkera comprises an Indicated Resource of 34.2 million tonnes at 1.8 grams per tonne gold for 1.92 million ounces gold, and an Inferred Resource of 25.0 million tonnes at 1.7 grams per tonne gold for 1.33 million ounces gold.
The company’s global resource now stands at 59.2 million tonnes at 1.7g/t gold for approximately 3,253,000 ounces of gold (at the 0.5 g/t cut-off).
Ampella indicated this represents a 10 per cent increase in grade and an approximate increase of 180,000 ounces of gold (six per cent) when compared to its previously released resource estimate from November 2011.
Source: Company announcement
“Ampella was very pleased to see both the increase in grade and resource ounces which are expected to have a positive impact on the overall economics of the Konkera project,” Ampella Mining managing director and CEO Dr Paul Kitto said in the company’s announcement to the Australian Securities Exchange.
“The updated Resource estimate will now be incorporated into the ongoing pre-feasibility studies.
“Pit optimisations and mine planning schedules will be undertaken to ascertain new pit designs, total in-pit inventory and material movement schedules which will be incorporated into project financial models.
“Some additional infill drilling will be required at Konkera to convert the minor remaining Inferred Resources within the expected pit limits to Indicated Resources or higher categories prior to executing the definitive feasibility study and the release of a maiden reserve statement.”
The revised JORC-compliant Resource incorporated the five contiguous prospects of Konkera East, Konkera Main, Konkera North, The Gap and Kouglaga, which collectively cover a total strike length of 4.9 kilometres.