What a great announcement this morning and some pretty solid results that will feed into our BAM study and allow the production volumes and LOM to be significantly increased as I (and others) touched on a few months ago
The significance of these results is that this particular drilling campaign was aimed at getting some quick wins, by being able to upgraded inferred resources (which would have been treated as waste in our economic mine model) into higher confidence indicated or measured resources (which if mined flow into our proven or probable reserves)
The section of drilling is something that I have wrote about at length previously (Exerts shown below) I had a chuckle this morning when I saw the map, nice to know that Management and I think alike !
Whilst our overall resources of this small targeted campaign will only marginally increase (larger step out campaign will happen at a later stage), this particular drilling will provide the following:
1) Our current Ore Reserves of 51.5Mt will likely increase to approximately 65-70Mt
2) Larger Ore Reserves means a higher throughput and longer mine life in the upcoming BAM study
3) Leads to higher financial metrics (NPV, IRR, EBITDA etc) in the BAM Study
