THE BOURSE WHISPERER: Venture Minerals has announced a maiden resource statement for the recently discovered Riley Creek direct shipping ore (DSO) deposit at the company’s Mt Lindsay project in Tasmania.
The new resource has resulted in Venture doubling the overall DSO resource base at Mt Lindsay to 4.4 million tonnes at 57 per cent iron.
Project locations. Source: Company announcement
Venture fast-tracked the Riley Creek DSO project since it made the discovery in November last year.
Four months later the company has delivered a maiden resource, which it claims has the potential to generate substantial early cashflow over and above the revenue opportunities provided by it already defined Livingstone DSO deposit.
“The Venture team has delivered an excellent result which has the potential to generate substantial revenue in the very near future,” Venture Minerals managing director Hamish Halliday said in the company’s announcement to the Australian Securities Exchange.
“I have been impressed with the speed with which we have delivered this exciting new opportunity, particularly considering we only had the tenement granted in June 2011.
“Additionally, shareholders need to bear in mind that the run of successes the company has experienced with its DSO projects is over and above Ventures flagship tin/tungsten deposit, where the company is nearing completion of a Bankable Feasibility Study on one of the world’s largest undeveloped tin projects.”
Venture completed a maiden resource and scoping study at the Livingstone DSO deposit last year.
The company said the addition of the new Riley Creek deposit has substantially strengthened its DSO resource base.
Riley Creek is close to existing infrastructure and the resource is at surface indicating the deposit will have a very low strip ratio.
Venture said these characteristics combine with the company having already identified a total transport solution for its DSO to suggest the company is in a good position to deliver substantial early cashflow.