A nice bit of exposure for Mandilla

A nice little article this morning in The West Australian.

Anglo Australian gets back on track with Mandilla.

With a tumultuous board dispute behind it, and a fresh management team on deck, things have been looking up for Anglo Australian Resources and its Mandilla gold project 70km south of Kalgoorlie.

Anglo began reporting solid results from drilling into the granite bedrock at Mandilla in July last year after historic exploration had focused on shallower targets.

But a board bust-up late last year between then chairman John Jones and director Peter Stern temporarily distracted the company’s attention.

A subsequent peace deal involving the appointment of former EganStreet Resources boss Marc Ducler as managing director at the end of last year has sharpened Anglo’s focus on Mandilla and the result is a solid revaluation of the stock.

Ducler brought his technical team from EganStreet, which was taken over by Silver Lake Resources late last year, as well as some investor muscle to raise more than $6m in the first half of the year.

Anglo recommenced drilling at Mandilla in April and reported more high-grade hits in June, including 26m at 8.29g/t from 76m.

The explorer is in the middle of a 3000m diamond program, with results expected to land in the coming weeks. That will be followed by a 10,000m RC campaign with a maiden resource estimate expected this year.

Mandilla lies just 3km east of the mothballed Wattle Dam mine, previously operated by Ramelius Resources, and more importantly within 50km of three processing plants.

Notably the project is only 20km from Gold Fields’ St Ives operation , which has just two years of open pit reserves remaining to feed its hungry 4.7Mtpa mill, with open pit ore comprising 66 per cent of feed to the plant.

If Anglo can shore up a sizeable resource at Mandilla, it could put itself on the South African giant’s radar.

Blue Ocean Equities has a speculative buy on the stock and a price target of 35¢. Anglo Australian closed yesterday at 18¢ for a market capitalisation of $84m.