Mine development advances at Talisman Physical progress is...

Mine development advances at Talisman

Physical progress is taking place on the historic Talisman mine at Karangahake on the North Island.

Surface site works are now completed at the historic Talisman gold mine at Karangahake and work is progressing on refurbishing old sets in the underground mine.

Owner New Talisman Gold Mines Ltd (NZX & ASX: NTL) said on Friday that the underground work was progressing ahead of schedule and ahead of budget.

A series of 5 kilogram samples were being taken from within and near old stopes and workings for testing at the SGS laboratories.

Managing director Matthew Hill said the 0.4 hectare surface footprint of the mine site has again been closed off and secured.

Future work will be mainly done underground and, once strengthening and widening of sets is complete, there will be sufficient to allow a small underground loader to traverse all areas of the mine being targeting for prospecting and future small-scale mining-bulk sampling.

Talisman and the contract Terra Firma team have begun upgrades to the portal entrance upgrades.

Surface disturbances have been small and a silenced generator is being used while we investigate restoring mains power to the mine.

Matt Hill said the site has been completely cleaned of gorse and other invader species and a site office set up, complete with Wifi.

A nursery for native species has been set up along with silt dams and the old portal structure has been dismantled and a new, much stronger structure erected which is likely to be used as the structure for the ventilation lock.

He said the team was now 300 metres underground and starting work on the third sets.

“The focus is on ensuring stable ground through the mine and works will shortly commence on installation of services.” He said.

Hill said the company has a very good relationship with the Department of Conservation (DOC).

“Over the years our donations have significantly enhanced the experience of tourists who visit Karangahake and walk through the workings known as Windows Walk which was recently refurbished with materials donated by New Talisman.

“The Walking track which will take walkers along the New Talisman Track and off the public road has been designed and work will commence on this in the coming months.”

Hill said the recent announcement of the Dubbo Deeps resource estimate has resulted in significant international interest in the company together with resurgent local interest from smaller kiwi investors wishing to be part of the development of this mine.

Resource modelling of the Dubbo Zone has given measured, indicated, and inferred resources that have increased to 312,800 ounces gold equivalent at a grade of 21.98 grams/tonne Au Eq.

This was an increase of 102% over the 2004 resource of 140,600 oz gold and 445,800 oz silver for this zone (154,690 oz Au Eq).

A lower cut-off grade of 3 g/t Au Eq (previously 0 g/t) was applied to reflect the mine cut-off grade estimated for the financial modelling in the 2013 prefeasibility study.

Hill said: “While it has taken over two decades to be an overnight success we are very proud of the work which has been accomplished in such a short space of time.

“The development of this national treasure which historically employed thousands of people before slowing down due to a world war is once again well on its way to production. We are delighted at the support by most of the local community.

“As they say grade is king and the Talisman mine which is up there in the world’s highest grade gold deposits is well set on its pathway towards to becoming a world class mine.”

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