Sign up Australia
Proactive Investors - Run By Investors For Investors

Adelaide Resources Ltd study firms up gold potential at Eyre Peninsula

Adelaide Resources Ltd study firms up gold potential at Eyre Peninsula

Adelaide Resources Ltd (ASX:ADN) could be sitting on a proverbial gold mine at the Barns gold deposit in the Eyre Peninsula gold project, South Australia, based on promising results from an updated scoping study.

At an A$1,500 per ounce gold price and based on operating cost, capital and recovery assumptions, the study indicates positive economic potential.

It also identifiee the improvements necessary to generate robust economics.

The company undertook an in-house revision of the 3-D mineralisation model for Barns revealing two flat lying supergene gold zones overlying stacked sub-parallel primary lodes.

Independent experts have completed 3-D block modelling and estimated a non-JORC mineral inventory which supports the potential for gold mining operations.

Significantly, a first pass pit optimisation run assuming A$1,500 per ounce gold price and reasonable capital and operating costs, indicated a positive economic potential for the project.

While this scoping study is at a very high level, the results provide confidence for Adelaide Resources to advance the project.

In October 2015, Adelaide Resources had announced a combined exploration target for the Barns, White Tank and Baggy Green prospects between 2.5 and 3.5 million tonnes grading 1.3g/t to 2.0g/t gold.

The company aims to establish a gold resource for the Eyre Peninsula gold project comparable to other South Australian deposits, including Havilah Resources Ltd’s (ASX:HAV) operating Portia Gold Mine.

Adding interest, Adelaide Resources is exploring the Eyre Peninsula for lithium as well, where the company holds granted exploration tenures over two salt lakes prospective for lithium.

The share price of Adelaide Resources has surged by about 90% during the last three months.


Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong / China.

View full ADN profile View Profile

Andromeda Metals Ltd Timeline

Related Articles

The company is hoping to mine its graphite flake, see it turned into concentrate, then produce spherical graphite to supply Korean lithium-ion battery-makers.
periodic table
September 10 2018
W Resources should be in production from La Parrilla next year
Picture of timetable for Wolfsberg project
March 13 2018
Chairman Tony Sage says the key number in the prefeasibility study will be the net present value.

No investment advice

The information on this Site is of a general nature only. It does not take your specific needs or circumstances into consideration, so you should look at your own financial position, objectives and requirements and seek financial advice before making any financial decisions. You acknowledge and understand that neither the Company, its related bodies corporate, the information providers or their affiliates will advise you personally about the nature, potential value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter. You should read our FSG and any other relevant disclosure documents and if necessary seek persona advice prior to making any investment decision.

You understand and agree that no Content (as defined below) published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person.

You understand that in certain circumstances the Company, its related bodies corporate, the information providers or their affiliates may have received, or be entitled to receive, financial or other consideration in connection with promoting, and providing information about, certain entities on the Site and in communications otherwise provided to you.

You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate. From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Before you act on any general advice we provide, please consider whether it is appropriate for your personal circumstances.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use