Beacon Minerals Limited (ASX: BCN) (Beacon or the Company) is pleased to announce the outcome of a Pre-feasibility Study (PFS) on the Mt Dimer Project, including a maiden ore reserve.
A Maiden Mineral Resource estimate for Lightning and Golden Slipper was released in June 20241 . The resource estimate was used to create an ore reserve at a $3,400 gold price, with gold recoveries of 21,100 ounces (148kt @ 4.5 g/t Au) expected
Managing Director/Executive Chairman Graham McGarry commented: 'Beacon acquired the Mt Dimer tenements from Aurumin Limited in December 2023 and released a Maiden Mineral Resource Estimate in June 2024 of 52,000 ounces. This Ore Reserve highlights the profitability of these high grade resources and will complement the current plans Beacon has to grow the mine life of the Jaurdi Gold Project. A very positive result for our shareholders and all stakeholders!
Material assumptions and outcomes from the Pre-feasibility Study The Ore Reserve has been determined using the June 2024 Mineral Resource Estimate (announced on 7 June 2024). It was assumed Beacon would mine and process the ore as part of the existing operations at the Jaurdi Gold Project. Cost assumptions were generated from the Company's budgets and quotes received from contractors and suppliers where appropriate. Revenue based assumptions used a gold price of A$3,400/oz and a metallurgical recovery of 92% was assumed. The PFS indicates that the Mt Dimer project is economically viable with an Undiscounted Cash Flow of $16.8M, achievable over a 1-year timeframe.
Estimation methodology
Lightning and Golden Slipper Probable Ore Reserves estimates are reported within detailed pit designs and are inclusive of mining dilution/ore loss, mining/processing costs and metallurgical recoveries. All inputs from mining operations, processing, transportation and sustaining capital as well as contingencies have been scheduled and evaluated to generate a full life of mine cost model. Economic inputs were supplied by Beacon, based upon supplier and contractor quotes as well as contemporary in-house knowledge and experience of those for similar mining operations. These estimates have been developed subject to an economic test to verify that economic extraction is justified. Material modifying factors The Mt Dimer Probable Ore Reserves are situated on approved mining tenement M77/427. Site access is via the existing, well-maintained, privately owned Mt Walton road (under an access agreement) and a haul road on the Beacon owned tenement L77/135. Environmental permitting is still to be submitted to the Western Australian DEMIRS and DWER. The Mt Dimer pits are on granted mining tenements adjacent to historical open pit operations and it is reasonable to assume that all approvals will be received. The Mt Dimer Probable Ore Reserves mine plan will require installation of site infrastructure. The Beacon tenements encompassing the Mt Dimer Project area on granted mining leases with sufficient and suitable terrain for the supply and installation of all required infrastructure. Water will be available for dust suppression purposes either through sourcing from the existing bore field network or through dewatering of the Mt Dimer underground workings. All processing infrastructure and approvals including the tailings storage facility are in place at the Jaurdi processing facility
Contact:
Graham McGarry
Managing Director/Chairman
Beacon Minerals Ltd
Tel: 0459 240 379
Competent Persons' Statements
The information in this report relating to Ore Reserves is based on information compiled by Mr Gary McCrae a Competent Person who is a Member of the Australasian Institute of Mining and Metallurgy. Mr McCrae has sufficient experience which is relevant to the style of mineralisation and type of deposits under consideration and to the activities being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr McCrae consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. Mr McCrae is a fulltime employee of Minecomp Pty Ltd
Competent Persons' Statement - Exploration Results The information in this Announcement that relates to exploration results and targets is based on information compiled Jonathan Sharp BSc MSc (Hons) MAusIMM a Competent Person who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Sharp has sufficient experience which is relevant to the style of mineralisation and types of deposits under consideration and to the activities being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr. Sharp consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. Mr. Sharp is a full-time employee of Beacon Minerals Limited. The Company confirms that it is not aware of any new information or data that materially affects the results included in the original market announcements referred to in this Announcement and that no material change in the results has occurred. The Company confirms that the form and context in which the Competent Person's findings are presented
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