This is the money shot - especially when you have a toll mill...

This is the money shot - especially when you have a toll mill being built that will be able to process 300,000 t/a

The Bottom Line

This is a legitimate high grade discovery in keeping with the orebodies at Costerfield and Fosterville, though the antimony grades look as if they could be much higher (2-3x). That is noteworthy given the critical metal tag that antimony now carries and the reliance of the world on antimony from China, Russia and Tajikistan for 85% of supply. NAG has already received approaches from potential strategic buyers of antimony concentrates.

Nagambie can benchmark this project with the Costerfield mine that is producing at a rate of 150,000 tpa for 70,000 oz p.a. of gold equivalent production. That mine is already down to 600-700m depth while the Fosterville mine is down to 1,000m. Nagambie can expect the same, meaning a long life mine. This is a work in progress now, but the pathway to very profitable production appears quite predictable.