Sayona Mining Acquiring Second Quebec Lithium Project

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THE BOURSE WHISPERER: Sayona Mining (ASX: SYA) is making staged acquisition of the Tansim lithium exploration project in Quebec, Canada.

Sayona Mining explained the Tansim project is situated 82 kilometres south-west of the company’s Authier lithium project, also in Quebec.

The project comprises 65 mineral claims of 12,000 hectares, and is considered by Sayona to be prospective for lithium, tantalum, and beryllium.

Historical exploration on the property has included mapping, sampling, geophysics and preparation of a Canadian NI43-101.

Historical work on the project has identified three main rare metal showings, Vézina, Viau, and Viau-Dallaire.

Sayona outlined future exploration activities that will include reinterpretation of historic geophysical data, mapping and sampling of the pegmatites to define drilling targets.

Priority targets include:

Viau Dallaire: a 300-metre-long dyke, dipping 40 degrees north, and 12-20 metres in thickness, which has produced three channel samples, including:

10.3 metres at 1.4 per cent lithium dioxide (Li20)
11.15m at 0.84 per cent Li20 and
18.95 metres at 0.94 per cent Li20, including 7.3m at 1.77 per cent Li20).

Viau: pegmatites have been mapped up to 200m long and 30m wide.

Two separate channel samples returned grades of up to 2.77 per cent Li20 and 1.37 per cent Li20 over 3.2m respectively.

“The company is excited to have another exciting lithium project in close proximity to the Authier project,” Sayona Mining chief executive office Corey Nolan said I the company’s announcement to the Australian Securities Exchange.

“The company will draw on its significant experience and expertise in lithium geology in the region, developed through more than 20,000 metres of drilling and exploration at Authier.

“Tansim demonstrates stand-alone potential but could be developed as a complimentary satellite operation to Authier, where the company is currently completing a Definitive Feasibility Study.”

 

Email: info@sayonamining.com.au

Website: www.sayonamining.com.au

Southern Gold Strikes Deal to Proceed Southern Cross Underground

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THE BOURSE WHISPERER: Southern Gold (ASX: SAU) struck a new agreement with development partner, Westgold Resources (ASX: WGX) for the underground development phase at the company’s Cannon gold mine, near Kalgoorlie in Western Australia.

Announcing the deal, Southern Gold outlined the features of the agreement to include Westgold having a five year right-to-mine over a defined one-kilometre radius on mining license M25/333, which essentially covers the Cannon Gold deposit with Westgold assuming all financing and operating risk.

Westgold will also have the right and flexibility to devise its own mine plan.

For this right to mine, Westgold will pay Southern Gold $1.5 million within five business days and a production payment on a $/troy ounce of gold produced under the terms of a production matrix.

Based on an Australian dollar gold price of less than $1800 per ounce Westgold will pay $160 per ounce, or $190 per ounce when the gold price exceeds $1800 for production of up to 15,000 ounces.

For production of more than 15,000 ounces – at the same gold prices – Westgold will pay $180 and $210 per ounce respectively.

“Southern Gold has turned a cash consuming asset into a cash generating one, Southern Gold managing director Simon Mitchell said in the company’s announcement to the Australian Securities Exchange.

“And it has done so in alignment with Southern Gold’s development philosophy of bringing in third parties who know how to mine and manage risk, particularly the elevated risks of underground mining.

“This deal with Westgold should generate cash for Southern Gold based on the high-grade gold resource at Cannon which stands at 24,000 ounces at 5.2 grams per tonne gold in the Indicated and Inferred categories.

“The arrangement also ensures Southern Gold remains significantly exposed to the upside should the deposit continue at depth.”

 

Email: info@southerngold.com.au

Website: www.southerngold.com.au

Middle Island Resources Receives Positive Pit Optimisation News

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THE BOURSE WHISPERER: Middle Island Resources (ASX: MDI) announced results from pit optimisation of the Wirraminna deposit Mineral Resources.

Midlle Island Resources’ Wirraminna deposit is located immediately adjacent to the company’s 100 per cent-owned Sandstone gold project in Western Australia within one kilometre of the associated gold processing plant.

Middle Island declared a JORC 2012-compliant Mineral Resource estimate in December last year of 550,000 tonnes at 1.3 grams per tonne gold for 23,000 ounces of gold at a 0.5g/t gold lower cut-off grade for Wirraminna.

The company had open pit optimisations completed on the December 2017 Mineral Resource model using a base case Australian dollar gold price of $1,600 per ounce, as well as utilising other input parameters derived from the December 2016 Sandstone project Pre-Feasibility Study.

At a gold price of $1,600 per ounce the optimal pit shell, based on the maximum undiscounted operating cash flow, includes 72,000 tonnes at a grade of 1.97g/t gold for a strip ratio of 9:1.

According to Middle Island, this equates to a mill recovered 4,200 ounces of gold from a pit shell depth to a maximum of 45 metres from surface that is wholly contained within the oxide zone.

The company believes opportunity remains to further extend and enhance the Wirraminna deposit via follow-up drilling, including infill and extension drilling of Inferred Mineral Resources, and confirming the location of historic higher-grade holes.

To that end, it is planning further RC drilling and will obtain additional data, prior to updating pit optimisations, considering pit design work and Ore Reserve estimation.

“The positive drilling results, Mineral Resource estimation and pit optimisation work on the Wirraminna deposit serves to further extend the production profile for the proposed Sandstone gold operation,” Middle Island Resources managing director Rick Yeates said in the company’s announcement to the Australian Securities Exchange.

“However, the quantum and grade of the deposit is presently insufficient to trigger a mill recommissioning decision in isolation.

“Drilling indicates that substantial potential remains to extend the deposit, and the location of higher grade historic drill intercepts of 11 metres at 23.8 grams per tonne, 16 metres at 14.6 grams per tonne and 19 metres at 4.85 grams per tonne gold remain unresolved.

“As such, a program of infill and extension RC drilling is planned to address these opportunities.”

 

 

Email: info@middleisland.com.au

Website: www.middleisland.com.au

Kin Mining Finalises Ball Mill Acquisition

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THE BOURSE WHISPERER: Kin Mining (ASX: KIN) exercised an option to acquire a 2.5 megawatt ANI-Ruwolt ball mill, CIL agitators and screens through the payment of $1.27 million to Macca-Interquip.

Kin Mining said the purchase completes the acquisition of necessary key equipment required for the development of the company’s Leonora gold project (LGP) in Western Australia, which currently under development.

Kin explained the purchase of the essential drive train components came with a few extras, including a spare motor, gearbox and pinion along with engineering details which will serve to reduce installation costs.

The ANI mill was last used at the Mt McClure gold operation in WA and is said to be in good condition with the six intertank screens and agitators being unused and in new condition.

The installation of the 2.5MW ball mill forms part of the upgrade of the Lawlers plant at the LGP, which Kin expects to provide single-stage primary grinding of the Cardinia ores at an annualised throughput rate of 1.5 million tonnes per annum.

“Kin has been very fortunate to secure this long lead equipment at a very competitive price,” Kin Mining managing director Don Harper said in the company’s announcement to the Australian Securities Exchange.

“Our construction team can now commence refurbishment work to ensure it can be installed according to the LGP development schedule.”

 

 

Email: info@kinmining.com.au

Website: www.kinmining.com.au

Intermin Resources Looks to Consolidate on 2017 Exploration Results

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THE BOURSE WHISPERER: Intermin Resources (ASX: IRC) released an update on exploration activities carried out across the company’s 100 per cent-owned gold projects located near Kalgoorlie-Boulder in Western Australia.

Intermin Resources completed over 26,000 metres of reverse circulation (RC) and diamond drilling during 2017 across eight key project areas on major gold bearing shear zones, including the Teal, Anthill and Blister Dam gold projects.

The company reported high-grade intercepts from the Teal gold camp, including:

26m at 7.8 grams per tonne gold from 48m and 16m at 5.3g/t gold from 86m (Jacques Find);

27m at 4.16g/t gold from 53m (Jacques Find);

8m at 11g/t gold from 53m and 9m at 7.1g/t gold from 89m (Jacques Find);

15m at 5.4g/t gold from 28m and 13m at 5.4g/t gold from 55m (Peyes Farm);

9m at 5.2g/t gold from 82m and 6m at 5g/t gold from 55m (Peyes Farm);

31m at 3.2g/t gold from 64m and 16m at 4.1g/t gold from 73m (Teal); and

11m at 7.8g/t gold from 51m and 15m at 4.2g/t gold from 130m (Teal).

Intermin indicated its focus for Teal in 2018 will be Resource extensions along two parallel strike zones and at depth and detailed metallurgical testwork to determine optimal processing pathways.

High-grade intercepts encountered at the Anthill gold project, included

41m at 2.63g/t gold from 69m and 30m at 2.98g/t gold from 73m;

11m at 3.72g/t gold from 46m and 29m at 1.84g/t gold from 49m; and

17m at 5.3g/t gold from 137m and 6m at 11.15g/t gold from 110m.

This year, Intermin will look for Resource extensions at Anthill in 2018 along strike and at depth while testing for repeat structures to the north at Fire Ant and to the east and west.

A maiden JORC 2012 Mineral Resource for Anthill is expected in the current March Quarter.

At Blister Dam, first pass drilling has been completed with results expected in February.

Intermin picked up a $60,000 EIS Government co-funding grant to drill recently defined induced polarisation targets at Blister Dam in 2018.

The company explained that follow up drilling at the Olympia, Baden Powell, Chadwin and Goongarrie Lady prospect will be completed in 2019 so it can focus on the core projects at Teal, Anthill and Blister Dam.

Preparations well advanced to commence a fully-funded $4 million drilling program in the current March Quarter.

“The past year has been one of significant growth for the company on the back of a highly successful exploration program, the generation of cash flow from the first stages of the Teal mining operation and a number of value accretive acquisitions and joint ventures,” Intermin Resources managing director Jon Price said in the company’s announcement to the Australian Securities Exchange.

“Intermin is now in a strong and quite unique position to be able to self-fund a larger Resource growth drilling program in 2018 with the focus on our key projects at the Teal gold camp, Anthill and Blister Dam with planning at an advanced stage for 50 to 60,000 metres of drilling to commence this Quarter.

“Our shareholders are very supportive of our strategy to grow our resource base above the one million ounce mark with an aggressive drill program and that is our key objective for 2018.

“We have done it before and we’ll be working very hard to do it again in what is a world class gold producing region.”

 

 

Email: iadmin@intermin.com.au

Website: www.intermin.com.au

Talisman Mining Expands Lachlan Fold Belt Landholding

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Talisman Mining (ASX: TLM) has expanded its landholding in the prospective Lachlan Fold Belt of New South Wales.

Talisman Mining, through a farm-in agreement with private company Bacchus Resources Pty Ltd.

Bacchus is a privately-owned exploration company with a primary focus on the exploration and potential development of the Wollwonga gold project in the Pine Creek Orogeny of the Northern Territory.

Under the terms of the Farm-in Agreement, Talisman has the right to earn up to an 80 per cent interest in six granted exploration licences, covering an area of approximately 1,067 square kilometres held by Bacchus in the Lachlan Fold Belt through on-ground expenditure of $2.3 million over a four-year period.

Talisman will undertake a staged farm-in, involving an expenditure of $1.3 million in the first 36 months from commencement to earn a 51 per cent interest.

Should Talisman elect to continue, it will be required to spend a further $1 million over 12 months to earn an 80 per cent interest.

Talisman has also inked a purchase agreement with Kidman Resources (ASX: KDR), under which it will acquire a 100 per cent interest in the Kidman copper-gold projects.

Kidman’s Crowl Creek project comprises a total of six granted exploration licences covering an area of approximately 278sqkm , which are adjacent to, and west of, the Mineral Hill polymetallic mine.

Crowl Creek covers the same stratigraphic sequence and a parallel structure to the Mineral Hill deposit host structure and is considered prospective for low-sulphidation epithermal and orogenic precious and base-metals mineralisation.

Talisman has entered into an agreement to purchase the Crowl Creek project from Kidman for consideration of $250,000 which becomes payable upon formal renewal, transfer and registration of the tenements from Kidman to Talisman by the NSW Department of Industry Division of Resources and Energy.

The company considers both projects to be complementary and contiguous with its existing 100 per cent-owned NSW exploration tenements and the previously announced Peel Mining (ASX: PEX) Joint Venture where Talisman is earning up to a 75 per cent interest.

“Securing control of these two projects consolidates Talisman’s position in the highly mineralised Lachlan Fold Belt and provides an exciting new front for gold and base metal exploration activities,” Talisman Mining managing director Dan Madden said in the company’s announcement to the Australian Securities Exchange.

“Talisman has secured its large 2,360 square kilometre position for minimal upfront cost and near-term capital commitment.

“The focus of expenditure on the New South Wales projects will be into the ground, with on-ground activities starting in early 2018 and our first drill program anticipated late in the March quarter 2018.

“The Lachlan Fold Belt projects fit neatly alongside the ongoing active exploration program being undertaken at the Springfield Joint Venture in Western Australia where we believe significant upside potential remains.”

 

Website: www.talismanmining.com.au

 

Ramelius Resources Surpasses December Gold Production Guidance

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THE BOURSE WHISPERER: Ramelius Resources (ASX: RMS) announced it has exceeded the guidance range and produced record gold production at the company’s operations in Western Australia.

Ramelius Resources declared gold production of 58,012 ounces (Guidance: 51-55,000 ounces) in the December 2017 quarter.

The breakdown of contributions came from:

Mt Magnet 23,352 ounces;

Vivien 13,283 ounces; and

Edna May’s first contribution to the Group of 21,377 ounces.

“I am delighted to provide this update showing that Ramelius has attained our targeted annualised production rate of over 200,000 ounces,” Ramelius Resources managing director Mark Zeptner said in the company’s announcement to the Australian Securities Exchange.

“This record quarter exceeded guidance due to the hard work and focus by our operations teams across our three sites, including the newly acquired Edna May gold mine.

“I look forward to continuing this positive trend and solidifying our position as a growing mid-tier gold producer.”

 

 

Email: info@rameliusresources.com.au

 

Website: www.rameliusresources.com.au

 

Gascoyne Resources Progresses Dalgaranga Towards Gold Production

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THE BOURSE WHISPERER: Gascoyne Resources (ASX: GCY) informed the market of the construction progress being made at the company’s 100 per cent-owned Dalgaranga gold project in Western Australia.

Gascoyne Resources has worked up a Measured, Indicated and Inferred Resource at Dalgaranga of 31.1 million tonnes at 1.3 grams per tonne gold for 1,320,000 ounces of contained gold.

This includes Proved and Probable Ore Reserves of 15.3 million tonnes at 1.3g/t gold for 612,000 ounces of gold.

Gascoyne Resources said that GR Engineering (GRES) has made inroads to the design, engineering and construction of the 2.5 million tonnes per annum Dalgaranga processing plant with design and engineering complete and construction well advanced.

The company expects completion of work in approximately 5 months, which meets its scheduling.

“Construction of the project has been progressing on or slightly ahead of the original schedule, which will see commissioning and first gold production in the second quarter of 2018,” Gascoyne Resources said in its ASX announcement.

Construction activites completed to date include: concrete and civil works, including SAG mill foundations, CIL tank foundations, reagent storage foundations and wet area foundations.

SAG mill shell and ends have arrived on site, and installation has commenced.

Crusher foundations have also been completed while the modular crusher is scheduled to be loaded for shipping with delivery to site by mid-February.

CIL tank erection is also complete, including painting.

Foundations for a power station, along with a fuel storage facility have been completed.

Gascoyne indicated it expects the power station and fuel facility to be operational in late April/early May, in preparation for dry plant commissioning, with wet commissioning expected in May.

A tailings storage facility (TSF) and evaporation pond construction has also been completed

The initial TSF lift comprises construction of a 3.5 metre embankment.

The tailings pipeline is currently being installed.

Next to the 240-person Dalgaranga village, clearing has been completed for an airstrip, for which runway construction is well advanced and on schedule to allow direct flights to site from March 2018.

 

Email: admin@gascoyneresources.com.au

 

Website: www.gascoyneresources.com.au

Kin Mining Inks $35M Debt Facility

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THE BOURSE WHISPERER: Kin Mining (ASX: KIN) announced the execution of a binding term sheet for $35 million (US$27M) with Canadia-based Sprott Private Resource Lending.

Kin Mining said the debt package will support the full pre-production and construction cost of the company’s 100 per cent-owned Leonora gold project (LGP) located in the North-Eastern goldfields region of Western Australia, forecast to be in production during the second half 2018.

Key terms include:

First payback is expected 18 months after first drawdown (expected 28 June 2019);
Annual interest rate of 8 per cent, plus the greater of US 12-month LIBOR or 1 per cent;
No cash flow sweep;
No hedging;
No cost overrun facility;
3,500,000 KIN ordinary shares will be issued to Sprott on closing with the shares to be escrowed for four months;
1.5 per cent NSR on first 100,000 ounces of gold produced by the LGP; and
Three-year loan term.

Kin explained the Credit Facility provides sufficient funding to carry out the necessary pre-production capital works, including the relocation and upgrade of the Lawlers mill to commence production at the LGP.

A Definitive Feasibility Study estimated a pre-production capital cost of $30 million with an 18 per cent contingency of $5.4 million for a total of $35.4 million.

Sprott has concluded technical due diligence and received investment committee approval, however the Credit Facility remains conditional on completion of legal and formal documentation and is expected to be closed by 23 December 2017.

A minimum equity raise will be required as a condition.

As a leading investor in the natural resource sector, Sprott said it was excited to partner with Kin to develop the LGP.

“We are delighted to partner with Sprott, the Credit Facility will allow us to immediately commence the development of the LGP and set us on a clear pathway to gold production and cash flow,” Kin mining managing director Don Harper said in the company’s announcement to the Australian Securities Exchange.

“Sprott is known to be well-versed in determining the viability of resource projects and making astute investment decisions.

“We look forward to collaborating with Sprott to become Western Australia’s next gold producer.”

Email: info@kinmining.com.au

Website: www.kinmining.com.au

BC Iron to Become BCI Minerals

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THE BOURSE WHISPERER: BC Iron (ASX: BCI) is set to change the company’s name in a bid to reflect its broadening horizons.

BC Iron announced that, in accordance with a special resolution passed by shareholders at the company’s Annual General Meeting it will now be known as BCI Minerals Limited.

The company explained it is hoping to increase the value of its portfolio of assets in iron ore, salt, potash, gold and base metals.

“The Company’s ASX ticker will remain ‘BCI’ and trading on the ASX under the new name will commence on Wednesday 6 December 2017,” BC Iron said in its ASX announcement.

“Other than the new name, nothing will change with respect to shareholdings and no action is required from shareholders.”

Email: info@bciminerals.com.au

Website: www.bciminerals.com.au