Nusantara Resources reports 11% ore reserve increase to hit 1.1Moz gold
Gold developer Nusantara Resources Limited (ASX:NUS) has announced an upgrade to the Ore Reserve of 1.1 million ounces contained gold for its 100%-owned Awak Mas Gold Project located in South Sulawesi, Indonesia.
The Awak Mas Gold Project Probable Reserve at 0.5 g/t gold cut-off using a US$1250/oz gold price is 26.9Mt at 1.32 g/t gold for 1.14M contained ounces.
The Ore Reserve estimate (tabled below) is based on the Mineral Resource estimate reported for the Awak Mas and Salu Bulo deposits in May 2018.
This represents an 11% increase in contained gold from the previous Ore Reserve and incorporates all drilling and mine planning completed as part of the Definitive Feasibility Study (DFS).
Planning is now underway for a program of further drilling to lift the resource category to ‘Measured’ status in the initial mining areas. This closer spaced drilling has the potential for an uplift in grade through the intersection of additional high-grade vertical zones that are pervasive through the Awak Mas and Salu Bulo deposits.
Further, extensions to the proposed Awak Mas, and Salu Bulo pits, and the possible inclusion of the Tarra deposit into the mine plan, represent a near term opportunity to extend the mine life by a further three years.
Nusantara’s Managing Director and CEO, Mike Spreadborough commented on the news: “The 11% increase in the Ore Reserve will be incorporated in the Awak Mas Gold Project Definitive Feasibility Study, representing further value improvement in the project.
“The new Ore Reserve was based on the results of the completed resource drilling program, highlighting the potential upside in the project as exploration continues.
“This Ore Reserve, combined with the exploration potential of the project, underpins the Company’s confidence in delivering the proposed long-life, low cost, stand-alone gold project at Awak Mas. The DFS is undergoing final data verification and will be released in late September confirming that the project is technically and financially robust,” he said.
Of course, as with all minerals exploration, success is not guaranteed — consider your own personal circumstances before investing, and seek professional financial advice.
For a more comprehensive look at NUS, check out the following article: Nusantara’s Awak Mas Gold Project in the spotlight: DFS imminent