Intermin Resources Limited (ASX:IRC) has commenced a 55,000-metre drill program at its 100%-owned gold projects in the Kalgoorlie region of Western Australia.
Key aspects of the fully funded $4 million program include:
• Program split circa 50% on new discovery and 50% on resource growth;
• Focused on three core project areas: Teal, Anthill and Blister Dam;
• Resource expansion drilling at Teal, Jacques Find, Peyes Farm and Anthill testing extensions along strike and at depth outside current resource envelopes; and
• New discovery drilling at Blister Dam, Teal, Fire Ant and Anthill Extended targeting high-grade open cut and underground orebodies.
Jon Price, managing director, said: “With the significant free cash flow that has been generated from our first mining project at Teal, our focus now turns to exploration success as we kick off the largest drill program in Intermin’s history.
“The Western Australian goldfields is a world-class gold producing region with significant discoveries still being made through modern systematic exploration and investment in deeper drilling.
“We look forward to the first drilling results and adding our own chapter to the rich mining history of the Western Australian Goldfields.”
The company mined a record 65,200 tonnes of ore grading 3.53 g/t gold for 7,400 ounces during the December 2017 quarter at its Teal Gold Mine in Western Australia.
Significantly, Intermin produced 5,214 ounces of gold at C1 costs of A$680/ounce and an all-in cost (AIC) of A$1,292/ounce.
Given the success of the Teal open cut, the company is targeting additional supergene oxide and transitional material at Jacques Find, Teal Extended and Peyes Farm to add to the production pipeline.
Drilling is underway at the Jacques Find discovery with first results expected early in the June quarter 2018.