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Scoping study delivers new investment for Augur

Scoping study delivers new investment for Augur

Photo by Bloomberg

11th April 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – ASX-listed junior Augur Resources has welcomed a A$3.75-million investment from Indonesia’s Rajawali Group.

The company said on Friday that following the positive scoping results on its Randu Kuning copper/gold deposit, Rajawali had exercised its option to acquire more than 50.5-million shares in the junior, at a price of A$0.074 each.

Once the subscription has been completed, Augur would prompt its subsidiary Wonogiri to sell a 25% interest in its subsidiary PT Alexis Perdana Mineral, while holds an 80% interest in the greater Wonogiri project, to Rajawali for A$50 000.

The scoping study found that an opencut operation at Randu Kuning could deliver between 1.74-million and 2-million tonnes a year of ore, over a life-of-mine (LoM) of nine years. LoM production was estimated at 283 000 oz of gold and 236 000 t of copper in concentrate, or 426 000 oz gold equivalent.

The project currently has a resource estimate of some 90.0-million tonnes, grading 0.35 g/t gold and 0.10% copper.

The scoping study revealed that the Radu Kuning deposit would require a capital spend of $56-million to build a second-hand plant and associated infrastructure.

Edited by Creamer Media Reporter

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