THE DRILL SERGEANT: MOD Resources (ASX: MOD) announced a substantial upgrade to the Ore Reserve within the company’s planned, 100 per cent-owned, T3 (Motheo) open pit mine, also known as the T3 copper project in Botswana.
MOD Resources is getting close to completing a Feasibility Study at T3 copper project, which incorporates the updated Ore Reserve.
The company expects the Study completion to be announced before the end of March 2019, which it hopes will provide further detailed information on the project.
The T3 open pit Ore Reserve has increased to 34.4 million tonnes at 1 per cent copper and 13.2 grams per tonne silver.
The Ore Reserve contains 342,700 tonnes (approximately 756mlb) of copper and 14.6 million ounces of silver and represents a 61 per cent increase in total tonnage compared with the Pre-Feasibility Study for a 57 per cent increase in contained copper and 107 per cent increase in contained silver.
MOD Resources said the revised Ore Reserve demonstrates both the large scale of the T3 deposit within the planned open pit and the substantial increase in contained copper and silver, compared with the Pre-Feasibility Study.
“The T3 copper project is an outstanding project located in Botswana, arguably the best mining and investment jurisdiction in Africa,” MOD Resources managing director Julian Hanna said in the company’s announcement to the Australian Securities Exchange.
“With this greater than 60 per cent increase in the size of the ore reserve, we have continued to improve on the already strong fundamentals identified within the Pre-Feasibility Study announced in January 2018.
“Since publication of the Pre-Feasibility Study, the company has focused on developing a better understanding of the geology that underpins the proposed T3 open pit, conducted substantial additional drilling and continued to identify and define further copper mineralisation, improving what was already a robust investment case.
“The increase in the T3 open pit Ore Reserve is significant for MOD, our supportive shareholders and people in the Ghanzi District.
“The proposed six stage open pit mine and three million tonnes per annum conventional processing plant is expected to produce high-margin, high-quality copper concentrates for more than 11 years.
“This should generate strong returns for investors and provide potential to create increased employment opportunities and generate significant benefits for Botswana and local communities.”