BLK has a Resource base of approx. 6.5m Oz of contained gold
BLK has Open pit Reserves of 931,000 Oz the bulk of which is categorized as Probable.
"A
Probable Ore Reserve
is the part of indicated, and in some circumstances, measured mineral resources that can be mined in an economically viable fashion. It includes diluting material and allowances for losses which may occur when the material is mined. A Probable Ore Reserve has a lower level of confidence than a Proved Ore Reserve but is of sufficient quality to serve as the basis for decision on the development of deposit.
"
From the most recent presentation.....
The company has a very good track record of upgrading resources and conversion to reserves.
The companies strategy is to drill and upgrade resources/reserves in order to ensure a "rolling" free milling mine life of at least 5 years. Exploration and reserves drilling to commence in March 18.
Current mine plan 3.5 years
3000m drilling program commencing in March targeting conversion into reserves of high grade Golden Age underground free milling ore
BLK Resources have increased by 1.4MOz in the last 15 months
BLK Reserves increased by 640KOz in the last 15 months
Interesting to note that historically the mine has produced over 4.4m Oz whilst having never exceeded 0.4mOz in reserves. Current operation has free milling Reserve of 15.2MT @ 2.5g/t for 1.2MOz
Then there is the stage 2 refractory/sulfide resources which will require extra milling capacity and the refurb of the BIOX facility (currently on C&M).
