First Westgold Rig Arrives to Accelerate Fletcher
Drilling
PERTH, Australia, Sept. 16, 2024 /CNW/ - Westgold Resources Limited
(ASX: WGX) (TSX: WGX) (OTCQX: WGXRF) (Westgold or the Company)
is pleased to provide an update in relation to the Fletcher Zone at
the Beta Hunt Mine within the Southern Goldfields operation.
Highlights
Declaration of the Fletcher Global Exploration Target of
23-27Mt @ 2.1-2.5g/t Au for 1.6-2.1Moz.
- Includes an initial Stage 1 (Southern Zone) Exploration
Target of 12–16Mt @ 2.1-2.5g/t Au for 0.8-1.2Moz Au.
Resource definition drilling at Fletcher to be
accelerated.
- Fletcher is a circa 2km long mineralised zone within
300m of the existing Western Flanks
development
- The first of two Westgold underground drilling rigs has
arrived at Beta Hunt.
- A minimum of three drill rigs will be committed to the
Fletcher program for the foreseeable future.
Regular updates on drilling results will be provided during
Q2/Q3 FY25.
The potential
quantity and grade of the Exploration Targets are conceptual in
nature and, as such, there has been insufficient exploration
drilling conducted to estimate a Mineral Resource. At this
stage it is uncertain if further exploration drilling will result
in the estimation of a Mineral Resource. The Exploration
Target has been prepared in accordance with the JORC Code
(2012).
|
Westgold Managing Director and CEO Wayne Bramwell commented:
"Westgold has moved quickly post-merger to advance opportunities
to increase production at Beta Hunt.
Through the release of the Fletcher Zone Exploration Target,
Westgold can now articulate what we believe to be the size of the
prize, demonstrating both the potential scale and the importance of
the Fletcher discovery to the Beta Hunt operation.
Resource definition will be accelerated Fletcher. The first of
two Westgold owned underground drill rigs has arrived on site to
complement the existing contract rig with a three-rig program key
to enhancing the potential to deliver a Maiden Resource from the
Southern Zone."
Background To the Fletcher Zone
The Beta Hunt operation, located at Kambalda 600km east of
Perth, was acquired by Westgold as
part of the August 2024 merger with
TSX listed Karora Resources Inc.
Fletcher is a substantial new discovery made by Karora Resources
at Beta Hunt and is interpreted to represent a new gold mineralised
structure paralleling the ~1.6Moz Western Flanks deposit,
approximately 300m to the
west1 (Figure 1). Like Western Flanks,
mineralisation comprises sheared albite-biotite-pyrite altered and
irregularly quartz veined basalt.
While discovered in 2016, Resource Definition drilling only
commenced in earnest in 2023 with 32 holes having been drilled into
the +2km long mineralised system to the end of August 2024. Drill results to date have been
impressive and were recently reported in the Westgold ASX/TSX
announcement of 21 August
20242.
____________________________________ 1
Refer Westgold ASX/TSX release of 21 August 2024 –
"Outstanding Drill Results from Fletcher Zone at Beta Hunt"
2 Refer Westgold ASX/TSX release of 21 August 2024
– "Outstanding Drill Results from Fletcher Zone at Beta
Hunt"
|
Declaration of an Exploration Target at Fletcher
Westgold has calculated JORC and NI43-101 compliant Exploration
Targets for the Fletcher Zone at Beta Hunt dated 14 September 2024 as follows:
Fletcher Zone Global Exploration Target
Tonnes
(Mt)
Low
|
Tonnes
(Mt)
High
|
Grade (g/t
Au)
Low
|
Grade (g/t
Au)
High
|
Contained Gold
(Moz)
Low
|
Contained
Gold (Moz)
High
|
23.0
|
27.0
|
2.1
|
2.5
|
1.6
|
2.1
|
Given that the accelerated drilling program (see below) is
initially focussing on the southern half of the currently defined
~2km of strike (refer Figure 1), the Company has defined a
Stage 1 Exploration Target (being a subset of the Global
Exploration Target) as follows:
Fletcher Zone Stage 1
Exploration Target (A subset of the Global Exploration
Target)
Tonnes
(Mt)
Low
|
Tonnes
(Mt)
High
|
Grade (g/t
Au)
Low
|
Grade (g/t
Au)
High
|
Contained Gold
(Moz)
Low
|
Contained
Gold (Moz)
High
|
12.0
|
16.0
|
2.1
|
2.5
|
0.8
|
1.2
|
The potential
quantity and grade of the Exploration Targets are conceptual in
nature and, as such, there has been insufficient exploration
drilling conducted to estimate a Mineral Resource. At this stage it
is uncertain if further exploration drilling will result in the
estimation of a Mineral Resource. The Exploration Target has been
prepared in accordance with the JORC Code (2012).
|
Exploration Target Basis
The Exploration Targets presented above are based on the
following information and assumptions:
- The geological information collected from a total of 32 diamond
drill holes for 18,918m drilled over
two kilometres of strike by Westgold (Karora) since 2016.
- Highly encouraging gold assay results returned from these drill
holes over 2km of strike and to a depth of ~250m below the base of
the Kambalda Ultramafic contact with mineralisation remaining open
at depth3. By comparison, the Western Flanks deposit has
been drilled to a depth of greater than 500m below the contact.
- Fletcher mineralisation is of the same style as the parallel
1.6Moz Western Flanks deposit3 located only 300m to the east.
- The gold grade range of the Exploration Target has been
calculated from the significant number of drill intercepts returned
from the 32 holes completed to date and comparisons with the gold
grades of the nearby and parallel Western Flanks deposit currently
being mined by Westgold.
- The volume range (tonnages) of the Exploration Target is
defined by implicit modelling of the mineralised zone defined by
the drilling completed via a geological modelling software
package.
- The assumed strike length of the Global Exploration Target is
2km while the assumed strike length of the Stage 1 Exploration
Target is 1km.
- The Exploration Target ounces output ranges was rounded to the
nearest 100koz to reflect the conceptual nature of the
calculations.
____________________________________
3 Refer Westgold ASX/TSX release of 21 August 2024 –
"Outstanding Drill Results from Fletcher Zone at Beta
Hunt"
|
Additional Drill Rigs Added to Accelerate Resource
Definition
In order to test the obvious potential of the Fletcher Zone with
the aim of potentially defining a Mineral Resource in the shortest
possible timeframe, Westgold has determined that an accelerated
drill out of Fletcher is warranted.
To this end, the Company is augmenting the current single
contract underground drill rig at Fletcher with two rigs from its
recently expanded inhouse fleet. The first of these rigs has been
mobilised to site, with the second to follow prior to the end of
September.
These additional drill rigs will allow the Company to dedicate a
minimum of three to the Fletcher Resource Definition program
without impacting the ongoing grade control requirements of the
mine, or detracting from other resource development priorities.
Looking Forward
With the acceleration of the Fletcher Resource Definition
drilling program the Company looks forward to providing regular
updates on drill results during the coming months.
This announcement is authorised for release to the ASX and
TSX by the Board.
Competent/Qualified Person Statements
Exploration Results
The information in this release that relates to Exploration
results was compiled by Westgold technical employees and
contractors under the supervision of Mr. Simon Rigby B.Sc. (Hons), who is a member of the
Australian Institute of Geoscientists and who has verified,
reviewed and approved such information. Mr Rigby is a full-time
employee of the Company and has sufficient experience which is
relevant to the styles of mineralisation and types of deposit under
consideration and to the activities which he is undertaking to
qualify as a Competent Person as defined in the 2012 Edition of the
Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves (the "JORC Code") and as a
Qualified Person as defined in the CIM Guidelines and National
Instrument 43-101 – Standards of Disclosure for Mineral
Projects ("NI 43-101"). Mr. Rigby is an employee of the
Company and, accordingly, is not independent for purposes of NI
43-101. Mr Rigby consents to and approves the inclusion in this
release of the matters based on his information in the form and
context in which it appears. Mr Rigby is eligible to participate in
short- and long-term incentive plans of the company.
General
Mineral Resources, Ore Reserve Estimates and Exploration Targets
and Results are calculated in accordance with the JORC Code.
Investors outside Australia should
note that while Ore Reserve and Mineral Resource estimates of the
Company in this announcement comply with the JORC Code (such JORC
Code-compliant Ore Reserves and Mineral Resources being "Ore
Reserves" and "Mineral Resources" respectively), they may not
comply with the relevant guidelines in other countries and, in
particular, do not comply with (i) NI 43-101; or (ii) Item 1300 of
Regulation S-K, which governs disclosures of Mineral Reserves in
registration statements filed with the SEC. Information contained
in this announcement describing mineral deposits may not be
comparable to similar information made public by companies subject
to the reporting and disclosure requirements of Canadian or US
securities laws. The other technical and scientific information in
this release has been prepared in accordance with the Canadian
regulatory requirements set out in NI 43-101 and has been reviewed
on behalf of the company by Qualified Persons, as set forth
above.
The Company confirms that it is not aware of any new information
or data that materially affects the information included in the
original market announcements and that all material assumptions and
technical parameters underpinning the estimates in the relevant
market announcements continue to apply and have not been materially
changed. The Company confirms that the form and context in which
the Competent Persons findings are presented have not been
materially modified from the original market announcements.
Forward Looking Statements
These materials prepared by Westgold Resources Limited include
forward looking statements. Often, but not always, forward looking
statements can generally be identified by the use of forward
looking words such as "may", "will", "expect", "intend", "believe",
"forecast", "predict", "plan", "estimate", "anticipate",
"continue", and "guidance", or other similar words and may include,
without limitation, statements regarding plans, strategies and
objectives of management, anticipated production or construction
commencement dates and expected costs or production outputs.
Forward looking statements inherently involve known and unknown
risks, uncertainties and other factors that may cause the Company's
actual results, performance and achievements to differ materially
from any future results, performance or achievements. Relevant
factors may include, but are not limited to, changes in commodity
prices, foreign exchange fluctuations and general economic
conditions, increased costs and demand for production inputs, the
speculative nature of exploration and project development,
including the risks of obtaining necessary licenses and permits and
diminishing quantities or grades of reserves, political and social
risks, changes to the regulatory framework within which the Company
operates or may in the future operate, environmental conditions
including extreme weather conditions, recruitment and retention of
personnel, industrial relations issues and litigation.
Forward looking statements are based on the Company and its
management's good faith assumptions relating to the financial,
market, regulatory and other relevant environments that will exist
and affect the Company's business and operations in the future. The
Company does not give any assurance that the assumptions on which
forward looking statements are based will prove to be correct, or
that the Company's business or operations will not be affected in
any material manner by these or other factors not foreseen or
foreseeable by the Company or management or beyond the Company's
control.
Although the Company attempts and has attempted to identify
factors that would cause actual actions, events or results to
differ materially from those disclosed in forward looking
statements, there may be other factors that could cause actual
results, performance, achievements or events not to be as
anticipated, estimated or intended, and many events are beyond the
reasonable control of the Company. In addition, the Company's
actual results could differ materially from those anticipated in
these forward-looking statements as a result of the factors
outlined in the "Risk Factors" section of the Company's continuous
disclosure filings available on SEDAR+ or the ASX, including, in
the Company's current annual report, half year report or most
recent management discussion and analysis.
Accordingly, readers are cautioned not to place undue reliance
on forward looking statements. Forward looking statements in these
materials speak only at the date of issue. Subject to any
continuing obligations under applicable law or any relevant stock
exchange listing rules, in providing this information the Company
does not undertake any obligation to publicly update or revise any
of the forward-looking statements or to advise of any change in
events, conditions or circumstances.
APPENDIX B – JORC 2012 TABLE 1 – GOLD DIVISION
SECTION 1: SAMPLING TECHNIQUES AND DATA
(Criteria in this section apply to all succeeding sections.)
Criteria
|
JORC Code
Explanation
|
Commentary
|
Sampling
techniques
|
- Nature and quality of sampling (e.g.
cut channels, random chips, or specific specialised industry
standard measurement tools appropriate to the minerals under
investigation, such as down hole gamma sondes, or handheld XRF
instruments, etc.). These examples should not be taken as limiting
the broad meaning of sampling.
- Include reference to measures taken to
ensure sample representivity and the appropriate calibration of any
measurement tools or systems used.
- Aspects of the determination of
mineralisation that are Material to the Public Report.
- In cases where 'industry standard' work
has been done this would be relatively simple (e.g. 'reverse
circulation drilling was used to obtain 1 m samples from which 3 kg
was pulverised to produce a 30 g charge for fire assay'). In other
cases more explanation may be required, such as where there is
coarse gold that has inherent sampling problems. Unusual
commodities or mineralisation types (e.g. submarine nodules) may
warrant disclosure of detailed information.
|
- Diamond Drilling
A significant portion of the data used in resource calculations has
been gathered from diamond core. Multiple sizes have been used
historically. This core is geologically logged and subsequently
halved for sampling. Grade control holes may be whole-cored to
streamline the core handling process if required.
- Face Sampling
At each of the major past and current underground producers, each
development face / round is horizontally chip sampled. The sampling
intervals are domained by geological constraints (e.g. rock type,
veining and alteration / sulphidation etc.). The majority of
exposures within the orebody are sampled.
- Sludge Drilling
Sludge drilling at is performed with an underground production
drill rig. It is an open hole drilling method using water as the
flushing medium, with a 64mm (nominal) hole diameter. Sample
intervals are ostensibly the length of the drill steel. Holes are
drilled at sufficient angles to allow flushing of the hole with
water following each interval to prevent contamination. Sludge
drilling is not used to inform resource models.
|
Drilling
techniques
|
- Drill type (e.g. core, reverse
circulation, open-hole hammer, rotary air blast, auger, Bangka,
sonic, etc.) and details (e.g. core diameter, triple or standard
tube, depth of diamond tails, face-sampling bit or other type,
whether core is oriented and if so, by what method, etc.).
- Method of recording and assessing core
and chip sample recoveries and results assessed.
- Measures taken to maximise sample
recovery and ensure representative nature of the samples.
|
- RC Drilling
Drill cuttings are extracted from the RC return via cyclone. The
underflow from each interval is transferred via bucket to a
four-tiered riffle splitter, delivering approximately three
kilograms of the recovered material into calico bags for analysis.
The residual material is retained on the ground near the hole.
Composite samples are obtained from the residue material for
initial analysis, with the split samples remaining with the
individual residual piles until required for re-split analysis or
eventual disposal.
- RAB / Aircore Drilling
Combined scoops from bucket dumps from cyclone for composite. Split
samples taken from individual bucket dumps via scoop. RAB holes are
not included in the resource estimate.
- Blast Hole Drilling
Cuttings sampled via splitter tray per individual drill rod. Blast
holes not included in the resource estimate.
|
Drill sample
recovery
|
- Whether a relationship exists between
sample recovery and grade and whether sample bias may have occurred
due to preferential loss/gain of fine/coarse material.
|
- All geology input is logged and
validated by the relevant area geologists, incorporated into this
is assessment of sample recovery. No defined relationship exists
between sample recovery and grade. Nor has sample bias due to
preferential loss or gain of fine or coarse material been
noted.
|
Logging
|
- Whether core and chip samples have been
geologically and geotechnically logged to a level of detail to
support appropriate Mineral Resource estimation, mining studies and
metallurgical studies.
- Whether logging is qualitative or
quantitative in nature. Core (or costean, channel, etc.)
photography.
- The total length and percentage of the
relevant intersections logged
|
- Westgold surface drill-holes are all
orientated and have been logged in detail for geology, veining,
alteration, mineralisation and orientated structure. Westgold
underground drill-holes are logged in detail for geology, veining,
alteration, mineralisation and structure. Core has been logged in
enough detail to allow for the relevant mineral resource estimation
techniques to be employed.
- Surface core is photographed both wet
and dry and underground core is photographed wet. All photos are
stored on the Company's servers, with the photographs from each
hole contained within separate folders.
- Development faces are mapped
geologically.
- RC, RAB and Aircore chips are
geologically logged.
- Sludge drilling is logged for
lithology, mineralisation and vein percentage.
- Logging is quantitative in nature.
- All holes are logged completely, all
faces are mapped completely.
|
Sub-sampling
techniques and sample preparation
|
- If core, whether cut or sawn and
whether quarter, half or all core taken.
- If non-core, whether riffled, tube
sampled, rotary split, etc. and whether sampled wet or dry.
- For all sample types, the nature,
quality and appropriateness of the sample preparation
technique.
- Quality control procedures adopted for
all sub-sampling stages to maximise representivity of samples.
- Measures taken to ensure that the
sampling is representative of the in-situ material collected,
including for instance results for field duplicate/second-half
sampling.
- Whether sample sizes are appropriate to
the grain size of the material being sampled.
|
- Blast holes -Sampled via splitter tray
per individual drill rods.
- RAB / AC chips - Combined scoops from
bucket dumps from cyclone for composite. Split samples taken from
individual bucket dumps via scoop.
- RC - Three tier riffle splitter
(approximately 5kg sample). Samples generally dry.
- Face Chips - Nominally chipped
horizontally across the face from left to right, sub-set via
geological features as appropriate.
- Diamond Drilling - Half-core niche
samples, sub-set via geological features as appropriate. Grade
control holes may be whole-cored to streamline the core handling
process if required.
- Chips / core chips undergo total
preparation.
- Samples undergo fine pulverisation of
the entire sample by an LM5 type mill to achieve a 75µ product
prior to splitting.
- QA/QC is currently ensured during the
sub-sampling stages process via the use of the systems of an
independent NATA / ISO accredited laboratory contractor. A
significant portion of the historical informing data has been
processed by in-house laboratories.
- The sample size is considered
appropriate for the grain size of the material being sampled.
- The un-sampled half of diamond core is
retained for check sampling if required. For RC chips regular field
duplicates are collected and analysed for significant variance to
primary results.
|
Quality of assay
data and laboratory tests
|
- The nature, quality and appropriateness
of the assaying and laboratory procedures used and whether the
technique is considered partial or total.
- For geophysical tools, spectrometers,
handheld XRF instruments, etc., the parameters used in determining
the analysis including instrument make and model, reading times,
calibrations factors applied and their derivation, etc.
- Nature of quality control procedures
adopted (e.g. standards, blanks, duplicates, external laboratory
checks) and whether acceptable levels of accuracy (i.e. lack of
bias) and precision have been established.
|
- Recent drilling was analysed by fire
assay as outlined below;
- At Beta Hunt all drill core sampling is
conducted by Karora personnel. Samples for gold analysis are
shipped to SGS Mineral Services of Kalgoorlie for preparation and
assaying by 50 gram fire assay analytical method. All gold diamond
drilling samples submitted for assay include at least one blank and
one Certified Reference Material ("CRM") per batch, plus one CRM or
blank every 20 samples. In samples with observed visible gold
mineralization, a coarse blank is inserted after the visible gold
mineralization to serve as both a coarse flush to prevent
contamination of subsequent samples and a test for gold smearing
from one sample to the next which may have resulted from inadequate
cleaning of the crusher and pulveriser. The lab is also required to
undertake a minimum of 1 in 20 wet screens on pulverised samples to
ensure a minimum 85% passing at -75µm. No significant QA/QC issues
have arisen in recent drilling results.
- Photon Assay was introduced in 2023 for
Beta Hunt grade control samples. PhotonAssay™ technology (Chrysos
Corporation Limited) is a rapid, non-destructive analysis of gold
and other elements in mineral samples. It is based on the principle
of gamma activation, which uses high energy x-rays to excite
changes to the nuclear structure of selected elements. The decay is
then measured to give a gold analysis. Each sample is run through
two cycles with a radiation time of 15s. This methodology is
insensitive to material type and thus does not require fluxing
chemicals as in the fire assay methodology. Highlights of the
PhotonAssay™ process are as follows:
- The process is non-destructive; the
same sample accuracy can be determined by repeat measurements of
the same sample. In addition, the instrument runs a precision
analysis for each sample relating to the instrument precision
- The process allows for an increased sample
size, about 500 g of crushed product.
- The crushed material is not pulverised,
as in the fire assay process; this ensures that gold is not smeared
or lost during pulverisation (especially important if there is an
expectation of visible gold that is being analysed)
- Historical drilling has used a
combination of Fire Assay, Aqua Regia and PAL analysis.
- These assay methodologies are
appropriate for the resources in question.
|
Verification of
sampling and assaying
|
- The verification of significant
intersections by either independent or alternative company
personnel.
- The use of twinned holes.
- Documentation of primary data, data
entry procedures, data verification, data storage (physical and
electronic) protocols.
- Discuss any adjustment to assay
data.
|
- No independent or alternative
verifications are available.
- Virtual twinned holes have been drilled
in several instances across all sites with no significant issues
highlighted. Drillhole data is also routinely confirmed by
development assay data in the operating environment.
- Primary data is collected utilising
LogChief. The information is imported into a SQL database server
and verified.
- All data used in the calculation of
resources and reserves are compiled in databases (underground and
open pit) which are overseen and validated by senior
geologists.
- No adjustments have been made to any
assay data.
|
Location of data
points
|
- Accuracy and quality of surveys used to
locate drill holes (collar and down-hole surveys), trenches, mine
workings and other locations used in Mineral Resource
estimation.
- Specification of the grid system
used.
- Quality and adequacy of topographic
control.
|
- All data is spatially oriented by
survey controls via direct pickups by the survey department.
Drillholes are all surveyed downhole, deeper holes with a Gyro tool
if required, the majority with single / multishot cameras.
- All drilling and resource estimation is
preferentially undertaken in local mine grid at the various
sites.
- Topographic control is generated from a
combination of remote sensing methods and ground-based surveys.
This methodology is adequate for the resources in question.
|
Data spacing and
distribution
|
- Data spacing for reporting of
Exploration Results.
- Whether the data spacing and
distribution is sufficient to establish the degree of geological
and grade continuity appropriate for the Mineral Resource and Ore
Reserve estimation procedure(s) and classifications applied.
- Whether sample compositing has been
applied.
|
- Data spacing is variable dependent upon
the individual orebody under consideration. A lengthy history of
mining has shown that this approach is appropriate for the Mineral
Resource Estimation process and to allow for classification of the
resources as they stand.
- Compositing is carried out based upon
the modal sample length of each individual domain.
|
Orientation of data
in relation to geological structure
|
- Whether the orientation of sampling
achieves unbiased sampling of possible structures and the extent to
which this is known, considering the deposit type.
- If the relationship between the
drilling orientation and the orientation of key mineralised
structures is considered to have introduced a sampling bias, this
should be assessed and reported if material.
|
- Drilling intersections are nominally
designed to be normal to the orebody as far as underground
infrastructure constraints / topography allows.
- Development sampling is nominally
undertaken normal to the various orebodies.
- Where drilling angles are sub optimal
the number of samples per drill hole used in the estimation has
been limited to reduce any potential bias.
- It is not considered that drilling
orientation has introduced an appreciable sampling bias.
|
Sample
security
|
- The measures taken to ensure sample
security.
|
- For samples assayed at on-site
laboratory facilities, samples are delivered to the facility by
Company staff. Upon delivery the responsibility for sample security
and storage falls to the independent third-party operators of these
facilities.
- For samples assayed off-site, samples
are delivered to a third-party transport service, who in turn relay
them to the independent laboratory contractor. Samples are stored
securely until they leave site.
|
Audits or
reviews
|
- The results of any audits or reviews of
sampling techniques and data
|
- Site generated resources and reserves
and the parent geological data is routinely reviewed by the
Westgold Corporate technical team.
|
SECTION 2: REPORTING OF EXPLORATION RESULTS
(Criteria listed in the preceding section also apply to this
section.)
Criteria
|
JORC Code
Explanation
|
Commentary
|
Mineral tenement and
land tenure status
|
- Type, reference name/number, location
and ownership including agreements or material issues with third
parties such as joint ventures, partnerships, overriding royalties,
native title interests, historical sites, wilderness or national
park and environmental settings.
- The security of the tenure held at the
time of reporting along with any known impediments to obtaining a
licence to operate in the area.
|
- Native title interests are recorded
against several WGX tenements.
- The CMGP tenements are held by the Big
Bell Gold Operations (BBGO) of which Westgold has 100%
ownership.
- Several third-party royalties exist
across various tenements at CMGP, over and above the state
government royalty.
- The Fortnum Gold Project tenure is 100%
owned by Westgold through subsidiary company Aragon Resources Pty.
Ltd. Various Royalties apply to the package. The most pertinent
being;
- State Government – 2.5% NSR
- Beta Hunt is owned by Westgold through
a sub-lease agreement with St Ives Gold Mining Company Pty Ltd
(SIGMC), which gives Westgold the right to explore and mine gold
and nickel.
- Royalties on gold production from Beta
Hunt are as follows:
- A royalty to the state government equal to
2.5% of the royalty value of gold metal produced; and
- Royalties to third parties equal to 4.75% of
recovered gold less allowable deductions.
- The Higginsville-Lakewood Operations
include the Higginsville and Lakewood Mills and associated
infrastructure, mining operations and exploration prospects which
are located on 242 tenements owned by Westgold and covers
approximately 1,800km2 total area.
- Royalties on the HGO gold production
are as follows:
- Production payments of up to 1% of gross gold
revenue over various tenements to traditional land owners.
- Royalty equal to 2.5% of recovered gold to
the Government of Western Australia; and
- Various third parties hold rights to receive
royalties in respect of gold (and in some cases other minerals or
metals) recovered from the tenements.
- The tenure is currently in good
standing
- There are no known issues regarding
security of tenure.
- There are no known impediments to
continued operation.
- WGX operates in accordance with all
environmental conditions set down as conditions for grant of the
leases.
|
Exploration done by
other parties
|
- Acknowledgment and appraisal of
exploration by other parties
|
- The CMGP tenements have an exploration
and production history in excess of 100 years.
- The FGP tenements have an exploration
and production history in excess of 30 years.
- BH tenements have an exploration and
production history in excess of 60 years.
- HGO tenements have an exploration and
production history in excess of 40 years.
- Westgold work has generally confirmed
the veracity of historic exploration data.
|
Geology
|
- Deposit type, geological setting and
style of mineralisation.
|
BHO
- • Beta Hunt is situated within the central
portion of the Norseman-Wiluna greenstone belt in a sequence of
mafic/ultramafic and felsic rocks on the southwest flank of the
Kambalda Dome.
- • Gold mineralsation occurs mainly in
subvertical shear zones in the Lunnon Basalt and is characterised
by shear and extensional quartz veining within a halo of
biotite/pyrite alteration. Within these shear zones, coarse gold
sometimes occurs where the shear zones intersect iron-rich
sulphidic metasediments in the Lunnon Basalt or nickel sulphides at
the base of the Kambalda Komatiite (ultramafics). The mineralised
shears are represented by A-Zone, Western Flanks, Larkin and Mason
zones.
|
|
|
CGO
- CGO is located in the Achaean Murchison
Province, a granite-greenstone terrane in the northwest of the
Yilgarn Craton. Greenstone belts trending north-northeast are
separated by granite-gneiss domes, with smaller granite plutons
also present within or on the margins of the belts.
- Mineralisation at Big Bell is hosted in
the shear zone (Mine Sequence) and is associated with the post-peak
metamorphic retrograde assemblages. Stibnite, native antimony and
trace arsenopyrite are disseminated through the K-feldspar-rich
lode schist. These are intergrown with pyrite and pyrrhotite and
chalcopyrite. Mineralisation outside the typical Big Bell host
rocks (KPSH), for example 1,600N and Shocker, also display a very
strong W-As-Sb geochemical halo.
- Numerous gold deposits occur within the
Cuddingwarra Project area, the majority of which are hosted within
the central mafic-ultramafic ± felsic porphyry sequence. Within
this broad framework, mineralisation is shown to be spatially
controlled by competency contrasts across, and flexures along,
layer-parallel D2 shear zones, and is maximised when transected by
corridors of northeast striking D3 faults and fractures.
- The Great Fingall Dolerite hosts the
majority gold mineralisation within the portion of the greenstone
belt proximal to Cue (The Day Dawn Project Area). Unit AGF3 is the
most brittle of all the five units and this characteristic is
responsible for its role as the most favourable lithological host
to gold mineralisation in the Greenstone Belt.
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|
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FGO
- The Fortnum deposits are
Paleoproterozoic shear-hosted gold deposits within the Fortnum
Wedge, a localised thrust duplex of Narracoota Formation within the
overlying Ravelstone Formation. Both stratigraphic formations
comprise part of the Bryah Basin in the Capricorn Orogen, Western
Australia.
- The Horseshoe Cassidy deposits are
hosted within the Ravelstone Formation (siltstone and argillite)
and Narracoota Formation (highly altered, moderate to strongly
deformed mafic to ultramafic rocks). The main zone of
mineralisation is developed within a horizon of highly altered
magnesian basalt. Gold mineralisation is associated with strong
vein stock works that are confined to the altered mafic. Alteration
consists of two types: stockwork proximal
silica-carbonate-fuchsite-haematite-pyrite and distal
silica-haematite-carbonate+/- chlorite.
- The Peak Hill district represents
remnants of a Proterozoic fold belt comprising highly deformed
trough and shelf sediments and mafic / ultramafic volcanics, which
are generally moderately metamorphosed (except for the Peak Hill
Metamorphic Suite)
.
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HGO
- The Higginsville Gold Operation is
located in the Eastern Goldfields Superterrane of the Archean
Yilgarn Craton. The bulk of the Higginsville tenement package is
located almost entirely within the well-mineralised Kalgoorlie
Terrane, between the gold mining centres of Norseman and St Ives.
HGO can be sub-divided into seven major geological domains: Trident
Line of Lode, Chalice, Lake Cowan, Southern Paleo-channels, Mt
Henry, Polar Bear Group and Spargos Project area.
- Majority of mineralisation along the
Trident Line of Lode are hosted within the Poseidon gabbro and
high-MgO dyke complexes in the south. The Poseidon Gabbro is a
thick, weakly-differentiated gabbroic sill, which strikes
north-south and dips 60° to the east, is over 500 m thick and 2.5
km long. The mineralisation is hosted within or marginal to quartz
veining and is structurally and lithologically controlled.
- The Chalice Deposit is located within a
north-south trending, 2 km to 3 km wide greenstone terrane, flanked
on the west calc-alkaline granitic rocks of the Boorabin Batholith
and to the east by the Pioneer Dome Batholith. The dominant unit
that hosts gold mineralisation is a fine grained, weak to strongly
foliated amphibole-plagioclase amphibolite, with a typically
lepidoblastic (mineralogically aligned and banded) texture. It is
west-dipping and generally steep, approximately 60° to 75°.
- The Lake Cowan project area is situated
near the centre of a regional anticline between the Zuleika and
Lefroy faults, with the local geology of the area made more complex
by the intrusion of the massive Proterozoic Binneringie dyke. The
majority of mineralisation at the Lake Cowan Mining Centre is
hosted within an enclave of Archaean material surrounded by the
Binneringie dyke.
- Mineralised zones within the Southern
Paleo Channels network comprise both placer gold, normally near the
base of the channel-fill sequences, and chemically-precipitated
secondary gold within the channel-fill materials and underlying
saprolite. These gold concentrations commonly overlie, or are
adjacent to, primary mineralised zones within Archaean
bedrock.
- The Mount Henry Project covers 347km2
of the prolific South Norseman‐Wiluna Greenstone belt of the
Eastern Goldfields in Western Australia. Although the greenstone
rocks from the Norseman area can be broadly correlated with those
of the Kalgoorlie – Kambalda region they form a distinct terrain
which is bounded on all sides by major regional shears. The
Norseman Terrane has prominent banded iron formations which
distinguish it from the Kalgoorlie– Kambalda Terrane. The Mount
Henry gold deposit is hosted by a silicate facies BIF unit within
the Noganyer Formation. Gold mineralisation is predominantly hosted
by the silicate facies BIF unit but is also associated with minor
meta‐basalt and dolerite units that were mostly emplaced in the BIF
prior to mineralisation. The footwall to the BIF is characterised
by a sedimentary schistose unit and the hanging wall by the
overlying dolerites of the Woolyeener Formation. The Mount Henry
gold deposit is classified as an Archean, orogenic shear hosted
deposit. The main lode is an elongated, shear‐hosted body, 1.9km
long by 6 – 10 metres wide and dips 65‐75 degrees towards the
west.
- The Polar Bear project is situated
within the Archaean Norseman-Wiluna Belt which locally includes
basalts, komatiites, metasediments, and felsic volcaniclastics. The
primary gold mineralisation is related to hydrothermal activity
during multiple deformation events. Indications are that gold
mineralisation is focused on or near to the stratigraphic boundary
between the Killaloe and Buldania Formation.
- The Spargos Project occurs within
Coolgardie Domain of the Kalgoorlie Terrane. The area is bounded by
the Zuleika Shear to the east and the Kunanalling Shear to the
west. The geological setting comprises tightly-folded north-south
striking ultramafic and mafic volcanic rocks at the northern
closure Widgiemooltha Dome. The project lies on the general trend
of the Kunanalling / Karramindie Shear corridor, a regional shear
zone that hosts significant mineralisation to the north at Ghost
Crab (Mount Marion), Wattle Dam to the south, the Penfolds group
and Kunanalling. The regional prospective Zuleika Shear lies to the
east of the project. The tenements are prospective for vein and
shear hosted gold deposits as demonstrated by Spargos Reward and
numerous other gold workings and occurrences. Gold mineralisation
at Spargos Reward is hosted by a coarse-grained pyrite-arsenopyrite
lode in quartz-sericite schists, between strongly biotitic altered
greywacke to the east and quartz-sericite-fuchsite-pyrite altered
felsic tuff to the west. Gold mineralisation is associated with
very little quartz veining which is atypical for many deposits in
region. The Spargos Reward setting has been described variously as
a low-quartz sulphidic mesothermal gold system or as a Hemlo style
syn-sedimentary occurrence.
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|
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MGO
- MGO is located in the Achaean Murchison
Province, a granite-greenstone terrane in the northwest of the
Yilgarn Craton. Greenstone belts trending north-northeast are
separated by granite-gneiss domes, with smaller granite plutons
also present within or on the margins of the belts.
- The Paddy's Flat area is located on the
western limb of a regional fold, the Polelle Syn- cline, within a
sequence of mafic to ultramafic volcanics with minor interflow
sediments and banded iron-formation. The sequence has also been
intruded by felsic porphyry dykes prior to mineralisation.
Mineralisation is located along four sub-parallel trends at Paddy's
Flat which can be summarized as containing three dominant
mineralisation styles:
- Sulphide replacement BIF hosted gold. Quartz
vein hosted shear-related gold.
- Quartz-carbonate-sulphide stockwork vein and
alteration related gold.
- The Yaloginda area is a gold-bearing
Archaean greenstone belt situated ~15km south of Meekatharra. The
deposits in the area are hosted in a strained and metamorphosed
volcanic sequence that consists primarily of ultramafic and
high-magnesium basalt with minor komatiite, peridotite, gabbro,
tholeiitic basalt and interflow sediments. The sequence was
intruded by a variety of felsic porphyry and intermediate sills and
dykes.
- The Reedy's mining district is located
approximately 15 km to the south-east to Meekatharra and to the
south of Lake Annean. The Reedy gold deposits occur with- in a
north-south trending greenstone belt, two to five kilometres wide,
composed of volcano-sedimentary sequences and separated multiphase
syn- and post-tectonic granitoid complexes. Structurally controlled
the gold occur.
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Drill hole
Information
|
- A summary of all information material
to the understanding of the exploration results including a
tabulation of the following information for all Material drill
holes:
- easting and northing of the drill hole
collar
- elevation or RL (Reduced Level –
elevation above sea level in metres) of the drill hole collar
- dip and azimuth of the hole
- down hole length and interception depth
- hole length.
- If the exclusion of this information is
justified on the basis that the information is not Material and
this exclusion does not detract from the understanding of the
report, the Competent Person should clearly explain why this is the
case.
|
- Tables containing drillhole collar,
downhole survey and intersection data are included in the body of
the announcement.
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Data aggregation
methods
|
- In reporting Exploration Results,
weighting averaging techniques, maximum and/or minimum grade
truncations (e.g., cutting of high grades) and cut-off grades are
usually Material and should be stated.
- Where aggregate intercepts incorporate
short lengths of high-grade results and longer lengths of low-grade
results, the procedure used for such aggregation should be stated
and some typical examples of such aggregations should be shown in
detail.
- The assumptions used for any reporting
of metal equivalent values should be clearly stated.
|
- All results presented are length
weighted.
- No high-grade cuts are used.
- Reported results contain no more than
two contiguous metres of internal dilution below 0.5g/t. For Beta
Hunt, a cut off of 1 g/t Au with maximum internal waste of 2m is
used to define significant intercepts.
- Results are reported above a variety of
gram / metre cut-offs dependent upon the nature of the hole. These
are cut-offs are clearly stated in the relevant tables.
- Unless indicated to the contrary, all
results reported are downhole width.
- Given restricted access in the
underground environment the majority of drillhole intersections are
not normal to the orebody.
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Relationship between
mineralisation widths and intercept lengths
|
- These relationships are particularly
important in the reporting of Exploration Results.
- If the geometry of the mineralisation
with respect to the drill hole angle is known, its nature should be
reported.
- If it is not known and only the down
hole lengths are reported, there should be a clear statement to
this effect (e.g., 'down hole length, true width not known').
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- Unless indicated to the contrary, all
results reported are downhole width.
- Given restricted access in the
underground environment the majority of drillhole intersections are
not normal to the orebody.
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Diagrams
|
- Appropriate maps and sections (with
scales) and tabulations of intercepts should be included for any
significant discovery being reported These should include, but not
be limited to a plan view of drill hole collar locations and
appropriate sectional views.
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- Appropriate diagrams are provided in
the body of the release if required.
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Balanced
reporting
|
- Where comprehensive reporting of all
Exploration Results is not practicable, representative reporting of
both low and high grades and/or widths should be practiced to avoid
misleading reporting of Exploration Results.
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- Appropriate balance in exploration
results reporting is provided.
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Other substantive
exploration data
|
- Other exploration data, if meaningful
and material, should be reported including (but not limited to):
geological observations; geophysical survey results; geochemical
survey results; bulk samples – size and method of treatment;
metallurgical test results; bulk density, groundwater, geotechnical
and rock characteristics; potential deleterious or contaminating
substances.
|
- There is no other substantive
exploration data associated with this release.
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Further
work
|
- The nature and scale of planned further
work (e.g. tests for lateral extensions or depth extensions or
large-scale step-out drilling).
- Diagrams clearly highlighting the areas
of possible extensions, including the main geological
interpretations and future drilling areas, provided this
information is not commercially sensitive.
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- Ongoing surface and underground
exploration activities will be undertaken to support continuing
mining activities at Westgold Gold Operations.
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SECTION 3: ESTIMATION AND REPORTING OF MINERAL
RESOURCES
(Criteria listed in section 1, and where relevant in section 2,
also apply to this section.)
Criteria
|
JORC Code
Explanation
|
Commentary
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Database
integrity
|
- Measures taken to ensure that data has
not been corrupted by, for example, transcription or keying errors,
between its initial collection and its use for Mineral Resource
estimation purposes.
- Data validation procedures used
.
|
- The database used for the estimation
was extracted from the Westgold's DataShed database management
system stored on a secure SQL server.
- As new data is acquired it passes
through a validation approval system designed to pick up any
significant errors before the information is loaded into the master
database.
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Site
visits
|
- Comment on any site visits undertaken
by the Competent Person and the outcome of those visits.
- If no site visits have been undertaken
indicate why this is the case
.
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- Mr. Russell visits Westgold Gold
Operations regularly.
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Geological
interpretation
|
- Confidence in (or conversely, the
uncertainty of) the geological interpretation of the mineral
deposit.
- Nature of the data used and of any
assumptions made.
- The effect, if any, of alternative
interpretations on Mineral Resource estimation.
- The use of geology in guiding and
controlling Mineral Resource estimation.
- The factors affecting continuity both
of grade and geology.
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- Mining in the Murchison and Goldfields
districts has occurred since 1800's providing significant
confidence in the currently geological interpretation across all
projects.
- Confidence in the geological
interpretation at BHO is high. The current geological
interpretation has been a precursor to successful mining over the
years and forms the basis for the long-term life of mine plan
(LOM). The data and assumptions used do suggest that any
significant alternative geological interpretation is unlikely.
- Geology (lithological units,
alterations, structure, veining) have been used to guide and
control Mineral Resource estimation for Beta Hunt and HGO
- No alternative interpretations are
currently considered viable.
- Geological interpretation of the
deposit was carried out using a systematic approach to ensure that
the resultant estimated Mineral Resource figure was both
sufficiently constrained, and representative of the expected
sub-surface conditions. In all aspects of resource estimation the
factual and interpreted geology was used to guide the development
of the interpretation.
- Geological matrixes were established to
assist with interpretation and construction of the estimation
domains.
- The structural regime is the dominant
control on geological and grade continuity in the Murchison and
Goldfields. Lithological factors such as rheology contrast are
secondary controls on grade distribution.
- Low-grade stockpiles are derived from
previous mining of the mineralisation styles outlined above.
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Dimensions
|
- The extent and variability of the
Mineral Resource expressed as length (along strike or otherwise),
plan width, and depth below surface to the upper and lower limits
of the ineral Resource.
|
BHO
- A-Zone extends over 2.2km strike length
and is modelled to a vertical depth of 960m. It has variable
thickness from 2m to 20m thick.
- Western Flanks has a strike extent of
1.8km and is modelled to a vertical extent of 450m, with average
thickness of the shear around 10m.
- Larkin extends over 1.1km in strike
length and is modelled to 400m vertical extent, with variable
thickness ranging from 2m to 15m thick.
- Mason has a strike extent of 1.1km and
is modelled to 455m vertical extent with variable thickness between
7 to 15m.
CGO
- The Big Bell Trend is mineralised a
strike length of >3,900m, a lateral extent of up +50m and a
depth of over 1,500m.
- Great Fingall is mineralised a strike
length of >500m, a lateral extent of >600m and a depth of
over 800m.
- Black Swan South is mineralised a
strike length of >1,700m, a lateral extent of up +75m and a
depth of over 300m.
FGP
- The Yarlarweelor mineral resource
extends over 1,400m in strike length, 570m in lateral extent and
190m in depth.
- The Tom's and Sam's mineral resource
extends over 650m in strike length, 400m in lateral extent and 130m
in depth.
- The Eldorado mineral resource extends
over 240m in strike length, 100m in lateral extent and 100m in
depth.
HGO
- Trident, Fairplay, Vine and Two Boy's
deposits form the Line of Lode system and extends over 5km of
strike.
- Chalice mineralisation has been defined
over a strike length of 700m, a lateral extent of 200m and a depth
of 650m.
- The Pioneer resource area extends over
a strike length of 860m from 6,474,900mN to 6,475,760mN. The
multiple NS striking parallel lodes occur within a narrow EW extent
of 190m from 374,970mE to 375,160mE. Mineralisation has been
modelled from surface at 291mRL to a vertical depth 208m to the
83mRL.
- Southern paleochannels gold
mineralisation is interpreted to have a strike length around 4km
and is predominantly flat lying.
- The Wills deposit extends over 900m in
a ENE-WSW direction and is up to 200m wide. Pluto is confirmed
between sections 6,480,100mN and 6,481,800mN. Nanook is confirmed
between sections 6,469,300mN and 6,472,500mN.
- Lake Cowan: Atreides mineralisation is
contained within flat lying lodes located within the weathered
zone. The mineralision strike extents vary between 100m to 300m
long, with an average thickness of 2 to 3 m thick. Josephine has a
strike length greater than 450m and >10m across strike and
modelled to >90m at depth. Louis has a strike extent of 310m
long and is interpreted to a depth of 170m below surface. Napoleon:
~220m strike and up to ~90m (individual mineralised lodes maximum
of 12m) across strike to an interpreted depth of ~80m m below
surface. Rose's dimension is 150m x 120m (X, Y), to an interpreted
depth of +20-25m below surface.
- The Spargos resource area extends over
a strike length of 330m from 6,542,980mN to 6,543,310mN. The
parallel lodes occur within a narrow EW extent of 95m from
354,120mE to 354,215mE. Mineralisation has been modelled from
surface at 425mRL to a vertical depth 525m to -100mRL.
MGO
- The Paddy's Flat Trend is mineralised a
strike length of >3,900m, a lateral extent of up +230m and a
depth of over 500m.
- Bluebird is mineralised a strike length
of >1,800m, a lateral extent of up +50m and a depth of over
500m.
- Triton – South Emu is mineralised a
strike length of >1,100m, a lateral extent of several metres and
a depth of over 500m.
STOCKPILES
- Low-grade stockpiles are of various
dimensions. All modelling and estimation work undertaken by
Westgold is carried out in three dimensions via Surpac Vision.
|
Estimation and
modelling techniques.
|
- The nature and appropriateness of the
estimation technique(s) applied and key assumptions, including
treatment of extreme grade values, domaining, interpolation
parameters, maximum distance of extrapolation from data
points.
- The availability of check estimates,
previous estimates and/or mine production records and whether the
Mineral Resource estimate takes appropriate account of such
data.
- The assumptions made regarding recovery
of by-products.
- Estimation of deleterious elements or
other non-grade variables of economic significance (e.g. sulphur
for acid mine drainage characterisation).
- In the case of block model
interpolation, the block size in relation to the average sample
spacing and the search employed.
- Any assumptions behind modelling of
selective mining units.
- Any assumptions about correlation
between variables.
- The process of validation, the checking
process used, the comparison of model data to drillhole data, and
use of reconciliation data if available.
|
- After validating the drillhole data to
be used in the estimation, interpretation of the orebody is
undertaken in sectional and / or plan view to create the outline
strings which form the basis of the three-dimensional orebody
wireframe. Wireframing is then carried out using a combination of
automated stitching algorithms and manual triangulation to create
an accurate three-dimensional representation of the sub-surface
mineralised body.
- Drillhole intersections within the
mineralised body are defined, these intersections are then used to
flag the appropriate sections of the drillhole database tables for
compositing purposes. Drillholes are subsequently composited to
allow for grade estimation. In all aspects of resource estimation,
the factual and interpreted geology was used to guide the
development of the interpretation.
- Once the sample data has been
composited, a statistical analysis is undertaken to assist with
determining estimation search parameters, top-cuts etc.
Variographic analysis of individual domains is undertaken to assist
with determining appropriate search parameters. Which are then
incorporated with observed geological and geometrical features to
determine the most appropriate search parameters.
- An empty block model is then created
for the area of interest. This model contains attributes set at
background values for the various elements of interest as well as
density, and various estimation parameters that are subsequently
used to assist in resource categorisation. The block sizes used in
the model will vary depending on orebody geometry, minimum mining
units, estimation parameters and levels of informing data
available.
- Grade estimation is then undertaken,
with ordinary kriging estimation method is considered as standard,
although in some circumstances where sample populations are small,
or domains are unable to be accurately defined, inverse distance
weighting estimation techniques will be used. For very minor lodes,
the respective median or average grade is assigned. Both by-product
and deleterious elements are estimated at the time of primary grade
estimation if required. It is assumed that by- products correlate
well with gold. There are no assumptions made about the recovery of
by-products.
- The resource is then depleted for
mining voids and subsequently classified in line with JORC
guidelines utilising a combination of various estimation derived
parameters and geological / mining knowledge.
- This approach has proven to be
applicable to Westgold's gold assets.
- Estimation results are routinely
validated against primary input data, previous estimates and mining
output.
- Good reconciliation between mine
claimed figures and milled figures was routinely achieved during
past production history.
|
Moisture
|
- Whether the tonnages are estimated on a
dry basis or with natural moisture, and the method of determination
of the moisture content.
|
- Tonnage estimates are dry tonnes.
|
Cut-off
parameters
|
- The basis of the adopted cut-off
grade(s) or quality parameters applied.
|
- The cut off grades used for the
reporting of the Mineral Resources have been selected based on the
style of mineralisation, depth from surface of the mineralisation
and the most probable extraction technique.
|
Mining factors or
assumptions
|
- Assumptions made regarding possible
mining methods, minimum mining dimensions and internal (or, if
applicable, external) mining dilution. It is always necessary as
part of the process of determining reasonable prospects for
eventual economic extraction to consider potential mining methods,
but the assumptions made regarding mining methods and parameters
when estimating Mineral Resources may not always be rigorous. Where
this is the case, this should be reported with an explanation of
the basis of the mining assumptions made.
|
- Variable by deposit.
- No mining dilution or ore loss has been
modelled in the resource model or applied to the reported Mineral
Resource.
|
Metallurgical
factors or assumptions
|
- The basis for assumptions or
predictions regarding metallurgical amenability. It is always
necessary as part of the process of determining reasonable
prospects for eventual economic extraction to consider potential
metallurgical methods, but the assumptions regarding metallurgical
treatment processes and parameters made when reporting Mineral
Resources may not always be rigorous. Where this is the case, this
should be reported with an explanation of the basis of the
metallurgical assumptions made.
|
- Not considered for Mineral Resource.
Applied during the Reserve generation process.
|
Environmental
factors or assumptions
|
- Assumptions made regarding possible
waste and process residue disposal options. It is always necessary
as part of the process of determining reasonable prospects for
eventual economic extraction to consider the potential
environmental impacts of the mining and processing operation. While
at this stage the determination of potential environmental impacts,
particularly for a greenfields project, may not always be well
advanced, the status of early consideration of these potential
environmental impacts should be reported. Where these aspects have
not been considered this should be reported with an explanation of
the environmental assumptions made.
|
- Westgold operates in accordance with
all environmental conditions set down as conditions for grant of
the respective leases.
|
Bulk
density
|
- Whether assumed or determined. If
assumed, the basis for the assumptions. If determined, the method
used, whether wet or dry, the frequency of the measurements, the
nature, size and representativeness of the samples.
- The bulk density for bulk material must
have been measured by methods that adequately account for void
spaces (vugs, porosity, etc.), moisture and differences between
rock and alteration zones within the deposit.
- Discuss assumptions for bulk density
estimates used in the evaluation process of the different
materials.
|
- Bulk density of the mineralisation is
variable and is for the most part lithology and oxidation rather
than mineralisation dependent.
- A large suite of bulk density
determinations has been carried out across the project areas. The
bulk densities were separated into different weathering domains and
lithological domains
- A significant past mining history has
validated the assumptions made surrounding bulk density.
|
Classification
|
- The basis for the classification of the
Mineral Resources into varying confidence categories.
- Whether appropriate account has been
taken of all relevant factors (i.e. relative confidence in
tonnage/grade estimations, reliability of input data, confidence in
continuity of geology and metal values, quality, quantity and
distribution of the data).
- Whether the result appropriately
reflects the Competent Person's view of the deposit.
|
- Resources are classified in line with
JORC guidelines utilising a combination of various estimation
derived parameters, input data and geological / mining
knowledge.
- This approach considers all relevant
factors and reflects the Competent Person's view of the
deposit
|
Audits or
reviews
|
- The results of any audits or reviews of
Mineral Resource estimates.
|
- Resource estimates are peer reviewed by
the Corporate technical team.
- No external reviews have been
undertaken.
|
Discussion of
relative accuracy/ confidence
|
- Where appropriate a statement of the
relative accuracy and confidence level in the Mineral Resource
estimate using an approach or procedure deemed appropriate by the
Competent Person. For example, the application of statistical or
geostatistical procedures to quantify the relative accuracy of the
resource within stated confidence limits, or, if such an approach
is not deemed appropriate, a qualitative discussion of the factors
that could affect the relative accuracy and confidence of the
estimate.
- The statement should specify whether it
relates to global or local estimates, and, if local, state the
relevant tonnages, which should be relevant to technical and
economic evaluation. Documentation should include assumptions made
and the procedures used.
- These statements of relative accuracy
and confidence of the estimate should be compared with production
data, where available.
|
- All currently reported resource
estimates are considered robust, and representative on both a
global and local scale.
- A continuing history of mining with
good reconciliation of mine claimed to mill recovered provides
confidence in the accuracy of the estimates.
|
SOURCE Westgold Resources Limited