Kin Mining Updates Cardinia MRE

THE DRILL SERGEANT: Kin Mining (ASX: KIN) has completed an update of the Mineral Resource Estimates for the company’s Cardinia gold project in Western Australia.

Kin Ming said that all 16 deposits within the project have been reviewed.

Mineral Resources for six deposits have been remodelled, estimated, optimised and reported (Mertons Reward, Mertondale 3-4, Bruno, Lewis, Kyte and Helens).

An additional six Mineral Resources have been re-optimised and reported (Tonto, Mertondale 5, Fiona, Rangoon, Michelangelo and Leonardo).

The remaining four deposits remain unchanged (Eclipse, Quicksilver, Forgotten Four and Krang).

The updated Mineral Resource Estimate for the Cardinia gold project is 17.2 million tonnes of gold mineralisation at a grade of 1.41 grams per tonne gold for 782,000 ounces.

Kin Mining explained the main drivers of the change, compared to the previous estimate of 22.5 million tonnes at a grade of 1.46g/t gold for 1.05 million ounces, are the lower gold price assumption of $2,000 per ounce (previously $2,200 per ounce), updated optimisation parameters including revised open pit wall angles, testwork derived metallurgical recoveries and updated 2019 mining and processing costs.

New geological interpretations have also provided new resource models for the four key deposits of Lewis (incorporating Bruno), Helens, Kyte and Mertondale East (Mertons Reward and Mertondale 3-4).

“The updated Mineral Resource Estimate for the Cardinia gold project provides Kin with a solid foundation to now deliver an updated Ore Reserve Estimate as part of the upcoming PFS to be released later in the current June quarter,” Kin Mining managing director Andrew Munckton said in the company’s announcement to the Australian Securities Exchange.

“By adopting a more conservative approach across a number of key parameters, including the assumed gold price, the updated resource models can be used to determine the optimal development pathway for the project where risk and reward can be quantified when the modifying factors for the Ore Reserve Estimate are selected.”





Kin Mining Confirms Mertondale 5 Pit Down-Plunge Extension

THE DRILL SERGEANT: Kin Mining (ASX: KIN) reported results from recent drilling at the Mertondale 5 deposit, part of the ongoing assessment of development opportunities at the company’s Cardinia gold project in Western Australia.

Kin Mining explained the deeper diamond drilling at Mertondale 5 focused on testing the geological, geotechnical and metallurgical assumptions for mining and interpretation of the deposit and understanding the controls on gold mineralisation.

The company indicated the Mertondale 5 drilling confirmed the orebody extends at depth, returning:

14 metres at 2.5 grams per tonne gold from 217m; and

3.8m at 1g/t gold from 279.2m.

The drilling was undertaken as an initial test of the continuity and direction of the interpreted northerly plunging shoot of historically-mined high-grade gold mineralisation and to determine if graphitic shale forms a component of the mineralisation.

“The latest drilling has significantly improved the company’s geological understanding of the Mertondale 5 prospect and will guide the future resource development drilling which will target expansion and category upgrade of the existing Mineral Resources at the deposit,” Kin Mining said in its ASX announcement.

The Mineral Resource Estimate for Mertondale 5 currently stands at 1.03 million tonnes at 1.8g/t gold for 60,000 ounces, consisting of 0.81 million tonnes at 1.83g/t gold of Indicated and 0.22 million tonnes at 1.71g/t gold of Inferred Resources.





Kin Mining Completes Helens Open Pit Resources Drilling

THE DRILL SERGEANT: Kin Mining (ASX: KIN) announced new results from recent drilling carried out at the Helens prospect, part of the first open pit development proposed at the company’s Cardinia gold project in Western Australia.

Kin mining said the Helens Resource definition drilling has confirmed the location and continuity of the mineralised lodes with results including:

7.8 metres at 3.4 grams per tonne gold from 13.2m and 3.5m at 2.7g/t gold from 60.5m;

7.1m at 4.7g/t gold from 45.3m;

2.4m at 4.1g/t gold from 56.1m; and

2m at 4.5g/t gold from 18.1m.

The comant declared that an updated Mineral Resource estimate for the Helens deposit is nearing completion along with metallurgical testwork and Feasibilty Stidy final pit design works.

The Helens deposit has a Mineral Resource Estimate of 1.03 million tonnes at 2.14 grams per tonne gold for 70,900 ounces that includes 0.62 million tonnes at 2.18g/t gold for 43,200 ounces of Indicated Resource and 0.41 million tonnes at 2.07g/t gold for 27,700 ounces of Inferred Mineral Resource.

“Resource definition drilling at Helens has focused on confirming the geological interpretation of the deposit and upgrading Inferred Mineral Resources to Indicated Mineral Resources,” Kin Mining said in its ASX announcement.

“This drilling at Helens has shown that the recently updated geology model is robust with all RC and Diamond holes intersecting the target structure(s) and 23 of the 28 holes recording significant lode style mineralisation at the predicted position in the resource model.”





Kin Mining Extends Gold Mineralisation at Helens Deposit

THE DRILL SERGEANT: Kin Mining (ASX: KIN) released results from recent drilling at the Helens deposit, located within the Cardinia Mining Centre of the company’s Leonora gold project (LGP) in Western Australia.

Kin Mining conducted a total of 15 Reverse Circulation (RC) drill holes on the Helens project areas targeting extensions to the thick, high-grade mineralisation Kin intersected in 2017.

The company said the results from the March 2018 drilling have extended the Helens Main Lode mineralisation a further 75 metres south.

Helens Main Lode results included:

14 metres at 3.08 grams per tonne gold from 88m;

8m at 8.6g/t gold from 88m; and

13m at 1.48g/t gold from 106m.

Kin said it is waiting to receive assay results from diamond drillholes targeting the Helens Main Lode, adding that mineralisation was intersected in each of these holes and the program provided insight into the continuity of gold-bearing lodes and the structural and lithological controls on the gold mineralisation.

“The recent drilling has indicated the untapped potential for resource growth within the LGP,” Kin Mining CEO Andrew Munckton said in the company’s announcement to the Australian Securities Exchange.

“In late 2017, wide, near surface intersections at above average grade, signalled that the Helens mineralisation continued further south.

“This recent drilling confirms those earlier results and illustrates the continuity of high-grade mineralisation down plunge towards the south.

“In addition, the discovery of new mineralised positions in close proximity to the established mineralisation at Helens indicates that significant opportunity lies ahead.

“The company will continue to target this lightly drilled area of the project.

“The geological team are continuing to develop the mineralising system model across a number of deposits at Cardinia and the increased use of diamond core drilling is proving invaluable in our understanding of the fundamentals of the mineralisation.

“Further work, is continuing.”





Kin Mining Drilling LGP Kyte Deposit

THE DRILL SERGEANT: Having got its Boardroom duck hierarchy in order, Kin Mining (ASX: KIN) announced it has resumed drilling at the company’s Leonora gold project (LGP) in Western Australia.

Kin Mining said an initial RC drilling program has been approved to extend the gold Resource at the Kyte orebody.

The Kyte deposit currently has an Indicated Resource of 21,000 ounces of gold and is presently open along strike in both directions and down dip.

A Definitive Feasibility Study determined Kyte to be positioned in the van of the company’s production schedule due to positive economics.

Because of this, Kin considers better defining the extent of mineralisation is a high priority.

The company said increasing the Resource at Kyte will enable it to provide greater flexibility within the mine plan.

The Kyte orebody has a stripping ratio of 2.7:1 with a C1 cash cost of $727 per ounce (AISC of $770 per ounce) and has a Resource to Reserve conversion of 86 per cent.

Kin indicated that mining the Kyte deposit early in the life of the LGP will assist in quickly paying back the debt facility.

This round of drilling will further explore the extensions to the south, as there are currently constraints to drilling to the north.

“We are excited to be getting back to drilling at the Leonora gold project and following up on the strong results that were delivered by our geology team in 2017,” Kin Mining acting managing director Trevor Dixon said in the company’s announcement to the Australian Securities Exchange.

“We are determined to grow our Resource base and to improve on our reserve conversions through 2018 as we ramp up to production.”





Kin Mining Appoints New Chairman

THE BOURSE WHISPERER: Kin Mining (ASX: KIN) announced the appointment of Jeremy Kirkwood to the company Board as independent non-executive chairman.

Once the music had stopped, Kin revealed current chairman Trevor Dixon, is to become interim managing director while the company looks to appoint a suitably qualified applicant for the role full-time.

After that has been accomplished Dixon will remain on the Board as a non-executive director.

Kin mining said Kirkwood’s appointment adds strength to the Board as the company moves towards production at its 100 per cent-owned Leonora gold project (LGP) located in the North-Eastern goldfields of Western Australia.

Kirkwood brings to the table extensive experience in corporate strategy, investment banking and global capital markets.

He is currently a principal of Pilot Advisory Group and non-executive chairman of Talisman Mining.

Previous roles include managing director at Credit Suisse, Morgan Stanley and Austock.

“I am pleased to join the Kin Board and honoured to be appointed chairman by my colleagues,” Kirkwood said in the company’s announcement to the Australian Securities Exchange.

“I believe the company has an exciting future with excellent assets, a near term, strongly cash generative project and strong growth prospects.

“The Board’s immediate focus is to develop the Leonora gold project, appoint a new managing director and generate shareholder value.”

Kin advised that David Sproule has resigned as a director of the company effective immediately.





Kin Mining Chairman Acknowledges Turmoil

CONFERENCE CALLER: Pitching the investment case for Kin Mining (ASX: KIN) at the 2018 RIU Explorers conference in Fremantle, chairman Trevor Dixon briefly alluded to the company’s recent struggles. By Jack Baker

“Kin Mining is currently going through some growing pains with its business and a lot of you may want to know about that,” was all he said on the recent resignation of the company’s former managing director Don Harper.

The Kin Mining board of directors accepted Harper’s resignation and on Tuesday announced a restructure of the board on the company’s website.

“The company is pleased to announce the appointment to the Board of Mr Brian Dawes as non-executive director,” it said in its ASX announcement.

“The company is also seeking to appoint an independent chairperson, and managing director as part of the restructure and is currently in discussions with suitably qualified applicants and subject to due process; the terms and conditions of these appointments will be advised in due course.”

Dixon will continue as chairman in the interim until a new chairperson and managing director can be appointed.





Kin Mining Approved to Commence LGP Plant Construction

THE BOURSE WHISPERER: Kin Mining (ASX: KIN) has secured all statutory approvals documentation for Phase 1 – Process Plant Construction to commence at the company’s 100 per cent-owned Leonora gold project (LGP) located in the North-Eastern goldfields of Western Australia.

Kin Mining said the regulatory sign off marks another important step towards gold production, forecast for the second half of 2018.

A Mining Proposal has been approved by the Department of Mines, Industry Regulation and Safety (DMIRS) and a Works Approval has been approved by the Department of Water and Environmental Regulation (DWER).

Kin reached an agreement with the regulators to conduct a phased approval process, which has resulted in the construction of the processing plant commencing earlier than would have been possible if it had to wait for final project mining parameters.

The company will lodge Phase 2 applications in this half of the year for the balance of activities required to commence gold production.

Kin Mining also confirmed all proposed mining operations and infrastructure locations relating to the construction, commissioning and gold production of the LGP are located on granted mining leases and granted miscellaneous licenses.

“Phase 1 Approval is a major milestone achievement by the Kin team,” Kin Mining managing director Don Harper said in the company’s announcement to the Australian Securities Exchange.

“Our focus is now on dismantling and relocating the Lawlers process plant and commencing construction of the LGP process plant.”




Kin Mining Finalises Ball Mill Acquisition

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.”