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Mine restart eyed at Tennant Creek – Emmerson

Mine restart eyed at Tennant Creek – Emmerson

Photo by Bloombeg

11th August 2015

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – ASX-listed Emmerson Resources and its partner Evolution Mining have signed a tribute agreement with Edna Beryl Mining Company (EBMC) which could allow for underground mining to restart at Tennant Creek, in the Northern Territory.

The agreement allowed EBMC to start permitting work for the Edna Beryl gold mine within Emmerson’s Northern project area.

The mine had been in production until 1952 and delivered some 2 700 t of ore, grading 53 g/t gold.

More recent exploration had outlined additional high-grade gold mineralisation below the historic workings. While the estimate was not Joint Ore Reserves Committee compliant, the project had a conceptual exploration target of between 5 000 t and 10 000 t, at a grade of between 20 g/t and 30 g/t gold.

Emmerson MD Rob Bills said on Tuesday that the agreement with EBMC was a major step towards the resumption of mining activities within the Tennant Creek mineral field and would benefit all stakeholders.

“The tribute agreement is structured so that EBMC is self-sufficient and does not distract from our key task of discovering a new generation of gold-copper deposits in partnership with Evolution.”

Bills said that, if successful, the tribute agreement would supplement Emmerson’s already healthy cash reserves and provide further opportunities to gain access to the historic, high-grade mines for near-mine exploration.

Other noncore assets were also being considered for tribute mining to produce income from the valuable tenement holdings, said Bills.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

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