Capricorn spends big on drilling before an FID
PERTH (miningweekly.com) - ASX-listed Capricorn Metals is expected to take a development decision on its Mt Gibson gold project, in Western Australia, before the end of the year, with the company now having launched a A$10-million drilling programme.
Capricorn told shareholders this week that the 81 000 m resource infill and extensional drill programme would underpin an updated mineral resource estimate and maiden ore reserve estimate, both targeted for completion in the September quarter.
“The commencement of the major drill programme in and around the current two-million-ounce Mt Gibson gold resource is the first step towards Capricorn’s goal of developing a gold mining operation at the project," said executive chairperson Mark Clark.
"We look forward to estimating a maiden ore reserve and completing a feasibility study to underpin a development decision in the second half of 2022. With Karlawinda now fully operational, we have a clear focus on expediting development of Capricorn’s second Western Australian mining operation.”
Other technical studies will be advanced in parallel with the drilling with a view to having completed sufficient technical work to allow the estimation of a maiden ore reserve, also in the September 2022 quarter.
It is expected that the ore reserve and technical studies will facilitate completion of a feasibility study and a decision on the development of the project in the December quarter.
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