Proactiveinvestors Australia Theta Gold Mines Ltd https://www.proactiveinvestors.com.au Proactiveinvestors Australia Theta Gold Mines Ltd RSS feed en Wed, 19 Jun 2019 23:06:15 +1000 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - Theta Gold Mines substantial shareholder boosts interest to 12.23% ]]> https://www.proactiveinvestors.com.au/companies/news/222102/theta-gold-mines-substantial-shareholder-boosts-interest-to-1223-222102.html Theta Gold Mines Ltd (ASX:TGM) substantial shareholder Zenith (HK) Holding Limited has lifted its interest in the South African gold explorer and developer to 12.23%.

The Hong Kong-based investor now holds more than 46.645 million shares which have been accumulated through participation in private placements.

Zenith became a substantial shareholder on January 31, 2019, by purchasing more than 22.2 million shares for a 6.23% interest.

Shares in TGM, which has a market cap of about $57.2 million, last traded at 15 cents.

READ: Theta Gold Mines surpasses 6 million ounces of gold and releases feasibility study

A recently completed feasibility study for the Theta project confirmed positive economics and the project’s commercial viability.

This is supported by a global mineral resource recently updated to 6.026 million ounces grading 4.18 g/t gold within the greater TGME project in South Africa.

The study, which targets a small portion of the Theta Hill deposit, has forecast a bottom-quartile cost open-pit gold operation.

This starter operation has forecast 200,905 ounces to be produced over five years generating free cash flow of US$65.7 million.

Theta Gold’s chairman Bill Guy said: “Despite only a small part of the resource base being converted into a mining reserve, the feasibility study confirms that the project has very favourable economics and viability.

“The remaining unconverted resource will be subsequently drilled out and I expect that further resources will be converted into reserves.

“Furthermore, the high-grade ore deposits at Theta appear to extend to the south into MR341.

“In the near future we expect to drill MR341 and look forward to potentially adding significant additional reserve/resources to the Theta project.”

Theta is initial focus

The company’s core focus within TGME is the Theta project, which hosts an ore reserve and is the subject of the feasibility study.

TGM aims to build a solid production platform starting with this project and based primarily around shallow, open-cut resources.

READ: Theta Gold Mines intersects high-grade gold up to 23.7 g/t at Columbia Hill in South Africa

Guy said: “Theta Gold is fast-tracking the company’s very large mineral resource into an increased ore reserve.

“The historical mining techniques of the mineral field in which we operate has meant the company has traditionally carried a large percentage of its resources in Inferred categories.

“We have shown in a very short period of time that we have the capacity to deliver an initial ore reserve and extra ounces into the Theta Project (Open Cut).

“We are very excited about the potential to follow-up these results with future reserve conversions.”

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Fri, 14 Jun 2019 09:10:00 +1000 https://www.proactiveinvestors.com.au/companies/news/222102/theta-gold-mines-substantial-shareholder-boosts-interest-to-1223-222102.html
<![CDATA[News - Theta Gold Mines surpasses 6 million ounces of gold and releases feasibility study ]]> https://www.proactiveinvestors.com.au/companies/news/220364/theta-gold-mines-surpasses-6-million-ounces-of-gold-and-releases-feasibility-study-220364.html Theta Gold Mines Ltd (ASX:TGM) has increased its total JORC resource to 6.026 million ounces grading 4.18 g/t gold within its greater TGME Gold Project in South Africa.

The core focus within the TGME project is the Theta Gold Project, which hosts an Ore Reserve and is the subject of a feasibility study released today.

The company aims to build a solid production platform from the Theta Gold Project based primarily around shallow, open‐cut resources.

Theta gold’s chairman Bill Guy said: “Theta Gold is fast‐tracking the company’s very large Mineral Resource into an increased Ore Reserve. 

“The historical mining techniques of the mineral field in which we operate has meant the company has traditionally carried a large percentage of its Mineral Resources in Inferred categories. 

“We have shown in a very short period of time that we have the capacity to deliver an initial Ore Reserve and extra ounces into the Theta Project (Open Cut). 

“The results have been as planned and we are very excited about the potential to follow‐up these results with future reserve conversions.”

Next phase of drilling to be revealed shortly

Guy added: “The drill program at the Theta Project increased the Indicated resources to 358 Koz of contained gold, inclusive of the discovery of two Reefs (Shale & Bevetts).

“Theta Gold Mines is pleased to be breathing life into this large goldfield, delivering reserves and making new discoveries. 

“Following this success, the exploration team is now planning the next phase of our drilling program, which we look forward to announcing to shareholders shortly."

Feasibility study confirms commercial viability for open-pit mine

A feasibility study also released today targeting a small portion of the Theta Hill deposit has forecast a bottom-quartile cost open-pit gold operation.

The starter operation has forecast 200,905 ounces to be produced over 5 years generating free cash flow of US$65.7 million.

Guy said: “Despite only a small part of the resource base being converted into a mining reserve, the Feasibility Study confirms that the project has very favourable economics and viability. 

“The remaining unconverted resource will be subsequently drilled out and I expect that further resources will be converted into reserves. 

“Furthermore, the high-grade ore deposits at Theta appear to extend to the south into MR341 (Figure 1). 

“In the near future we expect to drill MR341 and look forward to potentially adding significant additional reserve/resources to the Theta Project.

“The results of the Feasibility Study have confirmed the economic viability of developing an open cut mine at the Theta Project.”

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Thu, 16 May 2019 09:33:00 +1000 https://www.proactiveinvestors.com.au/companies/news/220364/theta-gold-mines-surpasses-6-million-ounces-of-gold-and-releases-feasibility-study-220364.html
<![CDATA[Media files - Theta Gold Mines confirms commercial viability of Theta project with positive feasibility study ]]> https://www.proactiveinvestors.com.au/companies/stocktube/13377/theta-gold-mines-confirms-commercial-viability-of-theta-project-with-positive-feasibility-study-13377.html Wed, 15 May 2019 19:56:00 +1000 https://www.proactiveinvestors.com.au/companies/stocktube/13377/theta-gold-mines-confirms-commercial-viability-of-theta-project-with-positive-feasibility-study-13377.html <![CDATA[News - Theta Gold Mines intersects high-grade gold up to 23.7 g/t at Columbia Hill in South Africa ]]> https://www.proactiveinvestors.com.au/companies/news/219209/theta-gold-mines-intersects-high-grade-gold-up-to-237-gt-at-columbia-hill-in-south-africa-219209.html Theta Gold Mines Ltd (ASX:TGM) has intersected high-grade gold of up to 23.7 g/t from the Columbia Hill project within its broader TGME project in a prolific gold region of South Africa.

A drilling program was completed to enable updated geological modelling and resource estimation to be included in the ongoing feasibility study for the project.

The drilling demonstrated that the resource is open to the west with old workings on the western side remaining untested.

This western side of Columbia Hill will be tested in the coming months, offering potential to further extend the current proposed pit shell.

Distribution of reverse circulation drilling at Columba Hill

READ: Theta Gold Mines drill results exceed expectations at Columbia Hill

Theta chairman Bill Guy said: “The Columbia Hill project is being included as part of the current feasibility study on MR83 and we are pleased to report that the drilling program at Columbia Hill continues to give positive results.

“The team is updating geological models and mineral resource estimations and all indications are that Columbia Hill will be an important part of the company’s future immediate-term focus.

“As previously advised with the Theta feasibility study nearing completion, clear timelines and work schedules are being developed to bring the TGME plant back into production and engineering environmental studies to support the permitting process for open cut development are also well advanced.”

READ: Theta Gold Mines on track to complete Theta Hill feasibility

The second phase of reverse circulation (RC) drilling was completed in late March 2019, drilling a total of 58 RC vertical boreholes totalling 3,554 metres at Columbia Hill.

Follow-up drilling has confirmed more high-grade shallow gold intersections with over 95% of boreholes returning intercepts with gold values of 1 g/t or more.

Highlights include:

1 metre at 9.73 g/t gold from 51 metres; 6 metres at 7.6 g/t from 66 metres, including 2 metres at 18.2 g/t; 2 metres at 5.85 g/t from 58 metres, including 1 metre at 10.7 g/t; 3 metres at 5.3 g/t from 87 metres, including 1 metre at 11.6 g/t; 1 metre at 6.97 g/t from 24 metres; and 5 metres at 3.18 g/t from 45 metres, including 1 metre at 10.7 g/t.

Other assays include 6 metres at 3.79 g/t from 12 metres, including 1 metre at 16.7 g/t and 1 metre at 23 g/t from 68 metres.

The RC rigs have been progressing investigations on satellite opencast targets on MR83 and have now completed phase II at Columbia Hill Mine, which was designed to give intersections within 40 metres of the nearest neighbouring borehole.

Columbia Hill is similar to Theta Mill in mineralisation and geometry, with a thrusted lense package located around the Bevetts unconformity and a flat to shallowly dipping Rho reef system in the malami dolomite footwall.

The Rho Reef mineralisation is hosted in bedding plane shears with the gold associated with quartz and oxidised sulphides.

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Mon, 29 Apr 2019 11:38:00 +1000 https://www.proactiveinvestors.com.au/companies/news/219209/theta-gold-mines-intersects-high-grade-gold-up-to-237-gt-at-columbia-hill-in-south-africa-219209.html
<![CDATA[News - Theta Gold Mines drill results exceed expectations at Columbia Hill ]]> https://www.proactiveinvestors.com.au/companies/news/215658/theta-gold-mines-drill-results-exceed-expectations-at-columbia-hill-215658.html Theta Gold Mines Ltd (ASX:TGM) has received consistent high-grade gold from its recent drilling at Columbia Hill within the Theta Gold Project in South Africa.

The results have exceeded expectations to the point that drilling at Columbia Hill has been extended into March 2019.

The company is continuing to make good progress with ongoing open pit Indicated resource classification drilling. 

Columbia Hill will be included in the feasibility study and mining reserve estimation which is underway.

READ: Theta Gold Mines on track to complete Theta Hill feasibility study

Follow‐up phase II intersections have confirmed more high-grade shallow gold intersections on the Bevetts and Rho reefs.

Notable results included:

• 3 metres at 5.05 g/t gold from 57 metres;
• 6 metres at 2.11 g/t gold from 38 metres;
• 3 metres at 4.82 g/t gold from 33 metres;
• 4 metres at 1.72g/t gold from 25 metres;
• 3 metres at 7.24 g/t gold from 42 metres; and
• 2 metres at 13.52 g/t gold from 60 metres.

Resource estimate work is well advanced

Theta’s chairman Bill Guy said: “The drilling program at Columbia Hill continues to give positive results, and the deposit is being incorporated into the feasibility study for the start-up mining operation.

“The geological modelling and mineral resource estimation work is well advanced, and we are looking forward to the inclusion of a further open pit to the mine development strategy and releasing a maiden resource soon.

“As part of the feasibility study, the TGM board has now developed clear timelines and work schedules to bring the TGME plant back into production.

“Engineering and environmental studies to support the permitting process for open cut development are also well advanced.”

Focused on delivering the Theta Project feasibility

Theta’s chairman Bill Guy added: “The feasibility study is to demonstrate that Western Australia open pit techniques can be used on this large historical goldfield of the East Transvaal.

“Our intention is to prove project economics with initial mine life, then undertake larger drill programs and development work to convert more of the resource into mining reserves.

“Based on the positive drilling results and initial feedback from consultants, we remain confident of being able to deliver a robust low operating cost project.”

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Mon, 04 Mar 2019 11:28:00 +1100 https://www.proactiveinvestors.com.au/companies/news/215658/theta-gold-mines-drill-results-exceed-expectations-at-columbia-hill-215658.html
<![CDATA[News - Theta Gold Mines on track to complete Theta Hill feasibility study ]]> https://www.proactiveinvestors.com.au/companies/news/213992/theta-gold-mines-on-track-to-complete-theta-hill-feasibility-study-213992.html Theta Gold Mines Ltd (ASX:TGM) is on track to release an upgraded resource and reserve statement for its Theta Hill gold project in South Africa along with a feasibility study report.

The company is also focusing on refurbishing the existing TGME CIL plant (downhill from Theta Hill project) with the intention of resuming production.

 

Two private placements worth $6 million were completed last year to fully fund the feasibility study for Theta Hill which has its origins in the company’s larger TGME Gold Project.

As an ASX junior explorer, Theta Gold has one of the largest JORC 2012 resources with 5.75 million ounces of gold at the TGME Gold Project.

A map of Theta Gold Mines’s historic goldfield that hosts the TGME and Theta Hill gold projects in South Africa

Theta Gold Mines’ TGME project is near the heritage town of Pilgrim’s Rest and forestry town of Sabie in Mpumalanga Province, 370 kilometres northeast of Johannesburg.

A scoping study for Theta Hill released in mid-October 2018 delivered a positive result for the shallow, high-grade resource which features 4.5 million tonnes grading 4.14 g/t gold for 600,000 ounces.

Theta Hill scoping study

The scoping study models a 7.6-year, 67,000-ounce-a-year mine operation where 92% of ore is recovered.

Theta Hill mine would take about 10 months to build and 7.4 months to pay back initial capital costs.

Peak capital requirement would be US$16 million, valuing the project at US$152 million, using an after-tax net present value (NPV) calculated with a real 7.5% discount.

The internal rate of return is 132%, with life-of-mine all-in sustaining costs of US$569 an ounce.

READ: Theta Gold Mines high-grade hits likely to boost 5.8 million-ounce TGME gold resource

The company recently received further high-grade gold results from resource infill drilling aimed at boosting the 5.8 million-ounce resource at the TGME project.

Drilling at the Theta Hill, Columbia Hill and Scammells deposits has returned high-grade assays.

Best results are 11 metres at 2.1 g/t from 8 metres, including 1-metre at 9.5 g/t; and 1-metre at 27.5 g/t from 8 metres; and 2 metres at 5.9 g/t from 24 metres.

The old TGME plant downhill from Theta Hill project

The long-term pipeline strategy

The company’s Theta Hill scoping study has affirmed the belief that historical mines on the 620 square kilometre goldfield could have open-cut oxide gold fundamentals.

Some have called the goldfield South Africa’s new gold province.

Theta Gold chairman Bill Guy noted in days gone past it was a prolific, producing field that returned high grades.

Guy said: “This field itself has produced more than 6 million ounces already, historically, and really all we’re doing is looking for the open-cut potential as part of that process.

“The team came up with the concept well why isn’t it at the surface, why can’t you open-cut this instead of going underground?”

The engineering team’s efforts were successful, finding the field project could also be open-cut.



Forty-three highlighted operations, including four Pan African Resources plc sites

Theta Gold also has dozens more projects it could apply a similar approach to, acknowledges the company’s chairman.

Guy said: “Theta really is a proof-of-concept for us, so now we can take that model, the exploration, and the evaluation approach to the other 43 historical mines on our ground.”

Theta Gold is calling the project its long-term pipeline strategy.

Planned layout of upgraded facilities

Theta Gold Mines managing director Rob Thomson acknowledged the company could take its open-cut approach to other projects to define new oxide open-cut resources, saying: “We’ve identified a lot of other open-cut potential.

“But it’s got to be systemic, methodical, get-going, nice operations close to TGME (carbon-in-leach) plant.”

Theta Gold Mines plans to truck ore 1.5 kilometres down the hill to the TGME plant to produce gold, then expand by opening up additional open-cut operations.

Multiple open‐cut drilling targets

The company acknowledges there are more reserves underground but it plans to look at this opportunity down the track.

For now, it’s focused on finishing the Theta Hill feasibility study within the current quarter.

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Wed, 06 Feb 2019 08:08:00 +1100 https://www.proactiveinvestors.com.au/companies/news/213992/theta-gold-mines-on-track-to-complete-theta-hill-feasibility-study-213992.html
<![CDATA[News - Theta Gold Mines high-grade hits likely to boost 5.8 million-ounce TGME gold resource ]]> https://www.proactiveinvestors.com.au/companies/news/212915/theta-gold-mines-high-grade-hits-likely-to-boost-58-million-ounce-tgme-gold-resource-212915.html Theta Gold Mines Ltd (ASX:TGM) has received further high-grade gold results from resource infill drilling aimed at boosting the 5.8 million-ounce resource at the TGME project in South Africa.

Drilling at the Theta Hill, Columbia Hill and Scammells deposits has returned high-grade assays.

The company is on track to release an upgraded resource and reserve statement early this year together with a feasibility study.

Encouraging assays

First-phase drilling at Theta Hill is nearing completion with encouraging assays returned from the December quarter program.

Chairman Bill Guy said: “The last of 2018 drill assays for Theta Hill are showing continued good grades which is causing much excitement in the team.”

Best results are 11 metres at 2.1 g/t from 8 metres, including 1-metre at 9.5 g/t; and 1-metre at 27.5 g/t from 8 metres; and 2 metres at 5.9 g/t from 24 metres.

Other results are 1-metre at 5.2 g/t from 57 metres; 8 metres at 1.8 g/t from 22 metres; and 3 metres at 3.4 g/t from 84 metres, including 1-metre at 8.3 g/t.

These are expected to contribute to an increase in indicated and measured resources at Mining Right MR83, which includes Theta Hill, Columbia Hill/Iota and Scammells targets.

Locality of open-cast targets on 83 MR.

READ: Theta Gold Mines appoints Finn Behnken as director

The company drilled more than 7,400 metres during the December quarter of 2018 with the reverse circulation (RC) infill program at Theta Hill completed.

Theta Hill’s geological model is being updated and incremental resources estimated.

The in-country team is using two RC drill rigs that worked up to Christmas, with one being recommissioned on Columbia Hill.

Investigating satellite targets

This rig has been progressing investigations on satellite open-cast targets on 83MR with the phase II program at Columbia Hill underway after 1,216 metres was completed last month over 17 holes.

Guy said: “Just 3km to the west of the TGME plant, Columbia Hill continues to show good potential, so much so that additional drilling is now underway to build up the geological model for that deposit.”

Satellite deposits within a few kilometres of the TGME CIL plant.

The Iota (Rho Reef) underground workings are on the eastern extension at this target and the RC drilling is targeting ground peripheral to these zones.

High grades at Columbia Hill

Results to date have confirmed more high-grade shallow gold intersections on the Bevetts and Rho reefs.

They include 1-metre at 10.1 g/t from 18 metres, 1-metre at 5.6 g/t from 68 metres, 1-metre at 7.5 g/t from 31 metres and 10 metres at 1.9 g/t from 36 metres.

Columbia Hill continues to demonstrate good potential as a satellite open-cast resource, particularly with the mineralisation style and intersections all above 80 metres below surface.

Initial resource estimations are expected to be completed next month.

Scammells drilling

Phase I drilling has also been completed at the Scammells target with best results of 1-metre at 5.6 g/t from 18 metres and 1-metre at 13.8 g/t from 20 metres.

A number of boreholes still require deepening to reach the target.

READ: On track for open-cut production from Theta Hill gold project in South Africa

TGM is focusing on the planned refurbishment of the existing CIL plant at TGME and nearby mines/prospects with the intention of resuming production.

It is considering open pit mining where it has identified mineral resources amenable to open pit production.

Location of Theta Gold Mines’ projects northeast of Johannesburg.

The company is concluding a detailed feasibility study and is also seeking approvals for open pit mining on the existing mining licences held.

“As part of the feasibility study, the TGM board will develop more clearly delineated timelines and work schedules to bring the existing TGME plant back into production,” Guy said.

“The on-site team is back at work and the 2019 work program has begun with environmental studies to support the permitting process for open cut developments.”

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Mon, 21 Jan 2019 11:58:00 +1100 https://www.proactiveinvestors.com.au/companies/news/212915/theta-gold-mines-high-grade-hits-likely-to-boost-58-million-ounce-tgme-gold-resource-212915.html
<![CDATA[Media files - Theta Gold Mines’ name change reflects focus on first gold at South African open cut project ]]> https://www.proactiveinvestors.com.au/companies/stocktube/11654/theta-gold-mines-name-change-reflects-focus-on-first-gold-at-south-african-open-cut-project-11654.html Wed, 19 Dec 2018 12:04:00 +1100 https://www.proactiveinvestors.com.au/companies/stocktube/11654/theta-gold-mines-name-change-reflects-focus-on-first-gold-at-south-african-open-cut-project-11654.html <![CDATA[News - Theta Gold Mines appoints Finn Behnken as director ]]> https://www.proactiveinvestors.com.au/companies/news/211442/theta-gold-mines-appoints-finn-behnken-as-director-211442.html Theta Gold Mines Ltd (ASX:TGM) has appointed Finn Behnken to its board of directors as the company focuses on starting gold production at its Theta Hill Open Cut Project in South Africa.

The company is undertaking drilling to upgrade its resource to the indicated and reserve categories as well as refurbishing Theta Hill's processing plant to operational readiness.

Theta Hill is in a world-renowned gold field that has historically produced over 6.7 million ounces of gold.

Theta chairman Bill Guy said Behnken had a proven track record as a South African mine developer, extensive networks within Africa and a strong financial background.

Behnken is a mining engineer and has South African operational experience as the chief executive officer of Tshipi é Ntle Manganese Mining (Pty) Limited during the construction and initial production phase of its Tshipi Borwa Manganese Mine.

Prior to this Behnken was an investment banker with South Africa-based Nedbank and has served as a non-executive director of various mining companies, including the then AIM-listed Gemfields plc.

He is currently the South African representative of Auramet International, a US-based precious metals merchant and mine financier.

READ: Theta Gold Mines receives more positive drill results from Theta Hill

Guy said: “Finn and I briefly worked together at Jupiter Mines during a period of strong growth.

“Finn as CEO of Tshipi é Ntle took the mine from commencement to over 500 employees and was involved in all aspects of the project from financing, construction and initial profitable production.

“As a resident of South Africa, mining engineer and banker, Finn’s appointment will further strengthen the board in preparation for the planned development phase of the TGME project in 2019.

“The board now has a more complete and diversified skill set.”

READ: Theta Gold Mines on track for open-cut production from Theta Hill gold project in South Africa

A scoping study for Theta Hill released in mid-October 2018 modelled a 7.6-year, 67,000-ounce-a-year mine operation where 92% of ore is recovered.

Theta Hill’s shallow resource features 4.5 million tonnes at 4.14 g/t for 600,000 ounces.

The updated resource has been estimated within the confines of an open-pit shell with a maximum depth of 100 metres.

Theta Hill mine would take about 10 months to build and 7.4 months to pay back initial capital costs.

Peak capital requirement would be US$16 million, valuing the project at US$152 million, using an after-tax net present value (NPV) calculated with a real 7.5% discount.

The internal rate of return is 132%, with life-of-mine all-in sustaining costs of US$569 an ounce.

The company hopes to make its final investment decision after receiving its feasibility study due in the March 2019 quarter and start building in the June 2019 half, so it can produce gold within nine months.

A map of the historic goldfield that hosts the TGME and Theta Hill gold projects in South Africa

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Tue, 18 Dec 2018 20:41:00 +1100 https://www.proactiveinvestors.com.au/companies/news/211442/theta-gold-mines-appoints-finn-behnken-as-director-211442.html
<![CDATA[News - Stonewall Resources receives more positive drill results from Theta Hill ]]> https://www.proactiveinvestors.com.au/companies/news/210166/stonewall-resources-receives-more-positive-drill-results-from-theta-hill-210166.html Stonewall Resources Ltd (ASX:SWJ) has received assays from ongoing reverse circulation (RC) drilling at Theta Hill within the TGME Project in South Africa.

Drilling continues towards delineating additional Indicated resources, following the recent maiden resource estimate and a positive scoping study on Theta Hill.

Latest results include 3 metres at 19.4 g/t from 2 metres and 3 metres at 3.6 g/t from 10 metres.

Drilling is also being complete at nearby potential satellite deposits Columbia Hill Mine and Day Mine with results including 16 metres at 3.27 g/t gold from 43 metres.

READ: Stonewall Resources on track for open-cut production from Theta Hill gold project in South Africa

Stonewall’s chairman Bill Guy said: “The team is pushing hard before year’s end, as work concentrates on producing Indicated resources for conversion to reserves (expected late first quarter 2019). 

“Columbia Hill drilling is just to the west of the TGME Plant and has produced good gold hits and intercept widths from this program and previous drilling, confirming it has potential to add ounces into the mine schedule.

Theta Hill and other potential satellite deposits nearby to the TGME plant

“At Theta Hill, drilling has also delineated thick high-grade zones of near-surface gold mineralisation.

“This shallow material has potential to be the first mill feed.  It is clear that the shallow oxide gold potential of the Goldfield has been demonstrated through sustained drilling.

Drilling results to be fed into resource models

“The assay results and geological data are a continuous feed into the resource models. 

“In each gold cycle in Western Australia, the historical underground mines are tested and mined for shallow open cut oxide gold. 

“This cycle of exploration and development simply has not occurred in this part of South Africa yet.”

Fineway Creation Limited becomes major shareholder

As a result of the recent private placement, Fineway Creation Limited has become a substantial shareholder in the company with a 19.92% stake.

Notably, All 665.15 million of Fineway’s shares are subject to voluntary escrow until 23 November 2019.

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Thu, 29 Nov 2018 09:41:00 +1100 https://www.proactiveinvestors.com.au/companies/news/210166/stonewall-resources-receives-more-positive-drill-results-from-theta-hill-210166.html
<![CDATA[News - Stonewall Resources on track for open-cut production from Theta Hill gold project in South Africa ]]> https://www.proactiveinvestors.com.au/companies/news/209801/stonewall-resources-on-track-for-open-cut-production-from-theta-hill-gold-project-in-south-africa-209801.html Stonewall Resources Ltd (ASX:SWJ) is on track to start construction at its flagship Theta Hill open-pit gold project in South Africa next year with the aim of beginning production in 2020.

The company has signalled its commitment to the project and plans a name change to Theta Gold Mines (ASX:TGM).

Investors will vote on the proposal to change its name to align with its flagship project at its annual general meeting in Sydney on Friday, November 30.

READ: Stonewall Resources gets support from Chinese billionaire to raise $6 million from private placement

A positive scoping study has been prepared for the open‐cut project, with a fully-funded feasibility study in the works.

Stonewall chairman Bill Guy told Proactive Investors the company hoped to release a feasibility study for the project in the March 2019 financial quarter.

Two private placements worth $6 million were completed earlier this month to fully-fund the study for the project which has its origins in the company’s larger TGME Gold Project.

A map of Stonewall’s historic goldfield that hosts the TGME and Theta Hill gold projects in South Africa

Major shareholder Fineway Creation Limited subscribed for $1.5 million of shares while Hong Kong-based billionaire business magnate Mingliang Zhu subscribed for $4.5 million of shares.

In August 2010 Stonewall picked up the historic mining company TGME, established in 1883 and once called Transvaal Gold Mining Estates Ltd.

The company also grabbed TGME’s long-time subsidiary Sabi Mining (Ptd) Ltd (formerly Glynn’s Lydenburg Ltd.) which was established in 1898.

READ: Stonewall Resources to consolidate shares and change its name to Theta Gold Mines

Stonewall’s TGME project is near the heritage town of Pilgrim’s Rest and forestry town of Sabie in Mpumalanga Province, 370 kilometres northeast of Johannesburg.

The company has reduced debt in the past 12 months by $4.9 million, retiring convertible note securities as reported in the most recent quarterly.

A scoping study for Theta Hill gold project released on October 15, 2018

A scoping study for Theta Hill released in mid-October 2018 delivered a positive result for the shallow, high-grade resource which features 4.5 million tonnes grading 4.14 g/t gold for 600,000 ounces.

The updated resource has been estimated within the confines of an open-pit shell with a maximum depth of 100 metres.

 

The scoping study models a 7.6-year, 67,000-ounce-a-year mine operation where 92% of ore is recovered.

Theta Hill mine would take about 10 months to build and 7.4 months to pay back initial capital costs.

Peak capital requirement would be US$16 million, valuing the project at US$152 million, using an after-tax net present value (NPV) calculated with a real 7.5% discount.

The internal rate of return is 132%, with life-of-mine all-in sustaining costs of US$569 an ounce.

The company hopes to make its final investment decision after receiving its feasibility study due in the March 2019 quarter and start building in the June 2019 half, so it can produce gold within nine months.

READ: Stonewall Resources Theta Hill scoping study supports open-cut gold mine

Stonewall chairman Bill Guy and managing director Rob Thomson spoke to Proactive Investors last month about the project and its location in the gold-mining nation of South Africa.

Chairman Guy said: “It’s been a fantastic year for Stonewall, essentially this year we’ve increased the resource space by over 2-million ounces, we’ve come out with a positive scoping study.

“We’re moving now into a feasibility stage, we’re garnishing support in the market, it’s all very rosy.”

Stonewall’s managing director signalled the company was undergoing transformative change.

Thomson said: “For people who have followed us, look at the scoping studies, look at our announcements (of the second half of October), you’ll see the change of the company that’s happening right now and we’re seriously excited.”

The old TGME plant downhill from Theta Hill project

Both Guy and Thomson praised the quality of South Africa, where Theta Hill project is located, calling the nation a gold-mining jurisdiction.

Thomson said: “South Africa is a fantastic gold nation (and) the company has a history there.

“It’s operated … the TGME gold plant (which) is connected to water power, ready to go with some really modest capital refurbishment.”

The carbon-in leach plant is about 1.5 kilometres from Theta Hill and would cost about $11 million to refurbish, according to company estimates.

Chairman Guy noted South Africa was still among the world’s top 10 gold-producing nations.

The long-term pipeline strategy

Stonewall’s Theta Hill study has affirmed people’s belief the historical mines on its 620 square kilometre goldfield could have open-cut oxide gold fundamentals.

Some have called the goldfield South Africa’s “new” gold province.

The TGME field that is 100% Stonewall acreage takes in the Sabie Mines/Pilgrim’s Rest area and runs 75 metres north-to-south and 25 kilometres east-to-west.

Stonewall chairman Guy noted in days gone past it was a prolific, producing field that returned high grades.

Guy said: “This field itself has produced more than 6 million ounces already, historically, and really all we’re doing is looking for the open-cut potential as part of that process.

“The team came up with the concept well why isn’t it at the surface, why can’t you open-cut this instead of going underground?”

The engineering team’s efforts were successful, finding the field project could also be open-cut.

Thomson said: “Very interestingly, our neighbour company, Pan African, very successful, is doing exactly the same on its underground operations, with also great success.”

Forty-three highlighted operations, including four Pan African Resources plc sites

Shareholders visited the site last month, expressing their support for the company’s project.

MD Thomson said: “We’ve got everyone focused on delivering what we’ve been looking for.

“We went looking for this new concept, open cut, we’ve found it, now we've got to deliver.”

Stonewall also has dozens more projects it could apply a similar approach to, acknowledges the company’s chairman.

Guy said: “Theta really is a proof-of-concept for us, so now we can take that model, the exploration, and the evaluation approach to the other 43 historical mines on our ground.”

Stonewall is calling the project its long-term pipeline strategy.

The company holds the entire Transvaal gold belt and has a current global JORC resource of 5.75 million ounces, contained in 39.15 million tonnes grading 4.6 g/t gold.

The Rietfontein mine in the southern part of TGME contains a JORC resource of 2.55 million tonnes grading 11 g/t for 905,000 ounces of gold.

The specifics of a share consolidation investors will vote on this week at the company’s AGM

A completed scoping study indicated a potentially low-cost, 60,000 ounces a year underground development with a net direct (C1) cash cost of US$417 an ounce.

The goldfield was the site of South Africa’s very first gold rush after the first payable goldfield was discovered in the Sabie area on what’s now known as South Africa’s Eastern Gold-Fields, 300 kilometres from what would become Witwatersrand.

Historically, 6 million ounces were produced on the gold belt, mostly before World War II.

Thomson acknowledged the company could take its open-cut approach to other projects to define new oxide open-cut resources, saying: “We’ve identified a lot of other open-cut potential.

“But it’s got to be systemic, methodical, get-going, nice operations close to TGME (carbon-in-leach) plant.”

Stonewall plans to truck ore 1.5 kilometres down the hill to the TGME plant to produce gold, then expand by opening up additional open-cut operations.

The company acknowledges there are more reserves underground but it plans to look at this opportunity down the track.

For now, it’s focused on finished its Theta Hill feasibility study by first quarter next year.

Stonewall Resources will hold its AGM this Friday, November 30 at 11am AEDT at Boardroom Pty Ltd, 225 George Street, Sydney where shareholders will vote on a name change and a 10-to-one share consolidation.

— With Tharun George, Danielle Doporto

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Sun, 25 Nov 2018 16:30:00 +1100 https://www.proactiveinvestors.com.au/companies/news/209801/stonewall-resources-on-track-for-open-cut-production-from-theta-hill-gold-project-in-south-africa-209801.html
<![CDATA[News - Stonewall Resources gets support from Chinese billionaire to raise $6 million from private placements ]]> https://www.proactiveinvestors.com.au/companies/news/208967/stonewall-resources-gets-support-from-chinese-billionaire-to-raise-6-million-from-private-placements-208967.html Stonewall Resources Ltd (ASX:SWJ) has entered into two subscription agreements for a combined $6 million private placements, with all shares subject to voluntary escrow of up to 12 months.

The placements are at market prices, $4 million to be issued at an effective price of 9 cents per share post consolidation and $2 million at the 20 days VWAP (volume weighted average price) at the time of issue. 

The funds raised will be used to complete the feasibility study on its Theta Hill open‐cut gold project in South Africa and for general working capital. 

READ: Stonewall Resources Theta Hill scoping study supports open cut gold mine

Stonewall’s existing major shareholder, Fineway Creation Limited, will subscribe for $1.5 million and a new investor, Hong Kong based Chinese business magnate Mingliang Zhu, will subscribe for $4.5 million.

Zhu is a self‐made billionaire with global interests in China, Hong Kong, North America and Asia Pacific.

His entities have significant interest in two of the twelve non‐state owned commercial banks in China, and with operations in property development, construction, renewable energy and in the last five years, in base metal and gold/silver mines.

 

Stonewall chairman Bill Guy said: “The company is pleased with the strong support from the major shareholder and new investor following the recent site visit in South Africa with their technical teams.  

“The $6 million placements are set at market prices; two‐thirds at the closing price of 9 cents per share prior to the trading halt on 7 November 2018 and one‐third at a 20‐Days‐VWAP at end of January 2019 with no discounts applied.  

“All shares issued under the placements will be voluntarily escrowed until November/December 2019.

READ: Stonewall Resources to consolidate shares and change its name to Theta Gold Mines

“The funds will allow the company to complete the Theta Hill open‐cut feasibility study and strengthen the company’s financial position.

“The 2018 year has been a significant year with two resource upgrades, a positive scoping study, debt reduction, and board changes. 

“The company is planning ahead with strong news flow through 2019 as the feasibility study and reserve drilling progress.

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Mon, 12 Nov 2018 12:31:00 +1100 https://www.proactiveinvestors.com.au/companies/news/208967/stonewall-resources-gets-support-from-chinese-billionaire-to-raise-6-million-from-private-placements-208967.html
<![CDATA[News - Stonewall Resources granted trading halt ahead of capital raising ]]> https://www.proactiveinvestors.com.au/companies/news/208780/stonewall-resources-granted-trading-halt-ahead-of-capital-raising-208780.html Stonewall Resources Ltd (ASX:SWJ) has been granted a trading halt by the ASX pending the release of an announcement regarding a capital raising.

The halt will remain in place until the earlier of the start of normal trading on Monday, November 12, or when the announcement is released to the market.

READ: Stonewall Resources to consolidate shares and change its name to Theta Gold Mines

In mid-October 2018, Stonewall received positive scoping study results from Theta Hill which has a shallow, high-grade resource of 4.5 million tonnes at 4.14 g/t gold for 600,000 ounces.

Theta Hill is a near-term open-pit gold mine opportunity and the resource has been estimated within the confines of an open pit shell with a maximum depth of 100 metres.

The scoping study indicates a net present value (NPV) of US$152 million, 7.6-year mine life operation, capital cost of US$16 million and gold production of 67,000 ounces per year.

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Thu, 08 Nov 2018 09:13:00 +1100 https://www.proactiveinvestors.com.au/companies/news/208780/stonewall-resources-granted-trading-halt-ahead-of-capital-raising-208780.html
<![CDATA[News - Stonewall Resources to consolidate shares and change its name to Theta Gold Mines ]]> https://www.proactiveinvestors.com.au/companies/news/207979/stonewall-resources-to-consolidate-shares-and-change-its-name-to-theta-gold-mines-207979.html Stonewall Resources Ltd’s (ASX:SWJ) shareholders will vote at the AGM on November 30, 2018  to consolidate its shares and options on a 10:1 ratio and to change company name to Theta Gold Mines.

The re‐branding is in line with Stonewall’s strategy to focus on start-up gold mining at its Theta Hill Open‐cut Project in South Africa.

READ: Stonewall Resources Theta Hill scoping study supports open cut gold mine

Stonewall recently received positive scoping study results from Theta Hill which has a shallow, high-grade resource of 4.5 million tonnes at 4.14 g/t gold for 600,000 ounces.

Theta Hill is a near-term open-pit gold mine opportunity and the resource has been estimated within the confines of an open pit shell with a maximum depth of 100 metres.

The scoping study indicates a net present value (NPV) of US$152 million, 7.6-year mine life operation, capital cost of US$16 million and gold production of 67,000 ounces per year.

 

The company is now drilling for reserves to get the impetus for production.

Stonewall expects to complete funding and to take a decision to mine in 2019.

Relative valuation

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Mon, 29 Oct 2018 12:55:00 +1100 https://www.proactiveinvestors.com.au/companies/news/207979/stonewall-resources-to-consolidate-shares-and-change-its-name-to-theta-gold-mines-207979.html
<![CDATA[Media files - Stonewall Resources' scoping study envisages Theta Hill open pit gold mine ]]> https://www.proactiveinvestors.com.au/companies/stocktube/10934/stonewall-resources-scoping-study-envisages-theta-hill-open-pit-gold-mine-10934.html Sun, 21 Oct 2018 05:15:00 +1100 https://www.proactiveinvestors.com.au/companies/stocktube/10934/stonewall-resources-scoping-study-envisages-theta-hill-open-pit-gold-mine-10934.html <![CDATA[News - Stonewall Resources Theta Hill scoping study supports open cut gold mine ]]> https://www.proactiveinvestors.com.au/companies/news/207025/stonewall-resources-theta-hill-scoping-study-supports-open-cut-gold-mine-207025.html Stonewall Resources Ltd (ASX:SWJ) has received positive scoping study results from the Theta Hill prospect within the TGME Project in South Africa.

The scoping study indicates a net present value (NPV) for the proposed open-pit gold mine of US$152 million.

The 7.6-year mine life operation has an estimated capital cost of US$16 million and will average 67,000 ounces of gold production per year.

READ: Stonewall Resources reveals maiden resource at Theta Hill

Stonewall’s managing director Rob Thomson comments “Our team in South Africa and Australia has been diligently working on this open‐cut vision, as the first stage of a planned series of open‐cut and underground developments to transform the company into a low‐cost gold producer.

“We look forward to continuing to deliver on our stated commitment of delineating high-grade open‐cut gold deposits which can be brought into production at low cost.”

READ: Stonewall Resources closes loan facility ahead of resource upgrade

The scoping study has determined that the Theta Hill open‐cut development represents a potentially robust mine with low technical risk.

It involves in‐pit waste emplacement and strip‐style mining of three gold‐bearing seams.

The site is situated within two kilometres by road of the existing, fully permitted CIL plant.

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Mon, 15 Oct 2018 10:56:00 +1100 https://www.proactiveinvestors.com.au/companies/news/207025/stonewall-resources-theta-hill-scoping-study-supports-open-cut-gold-mine-207025.html
<![CDATA[News - Stonewall Resources granted ASX trading halt ahead of scoping study release ]]> https://www.proactiveinvestors.com.au/companies/news/206845/stonewall-resources-granted-asx-trading-halt-ahead-of-scoping-study-release-206845.html Stonewall Resources Ltd (ASX:SWJ) has been granted a trading halt by the ASX pending the release of results from the company’s Theta Hill scoping study.

The halt will remain in place until the start of normal trading on Monday, October 15, or when an announcement is released to the market.

READ: Stonewall Resources closes loan facility ahead of resource upgrade

Stonewall is focused on developing underground and open pit mines within its South African TGME project which contains Theta Hill.

The company declared a maiden JORC resource of 4.48 million tonnes grading 4.14 g/t gold for 600,000 ounces gold at Theta Hill last month.

Theta Hill is a near-term open-pit gold mine opportunity and the resource has been estimated within the confines of an open pit shell with a maximum depth of 100 metres.

Notably, the new 600,000-ounce gold resource expands the global gold resource to 5.75 million ounces grading 4.57 g/t gold.

The company aims to upgrade further resources to the indicated category ahead of converting the resources to ore reserve status for mining.

A feasibility study is planned for Theta Hill to be delivered in the March quarter of 2019, which will incorporate a maiden ore reserve estimate.

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Wed, 10 Oct 2018 22:53:00 +1100 https://www.proactiveinvestors.com.au/companies/news/206845/stonewall-resources-granted-asx-trading-halt-ahead-of-scoping-study-release-206845.html
<![CDATA[News - Stonewall Resources closes loan facility ahead of resource upgrade ]]> https://www.proactiveinvestors.com.au/companies/news/206439/stonewall-resources-closes-loan-facility-ahead-of-resource-upgrade-206439.html Stonewall Resources Ltd (ASX:SWJ) has fully repaid its convertible security with the Australian Special Opportunity Fund (ASOF), an entity managed by Lind Partners.

Stonewall had entered into the convertible security funding agreement, with a face value of $2.52 million in January 2017.

READ: Stonewall Resources reveals maiden resource at Theta Hill

Stonewall chairman Bill Guy said: “The company secured the 27-month loan facility from ASOF in January 2017 and I am pleased that it has been repaid ahead of time, in line with the new board policy of debt reduction.

“Together with the Tasman convertible note retired last month, this has furthered strengthened the company’s financial position.”

The ASOF convertible security was repayable in 24 equal monthly cash instalments of $130,000. 

During 2017, the security was substantially reduced by cash repayments by Stonewall and voluntary conversions by Lind.

Lind voluntarily converted a total of $800,000 into shares in Stonewall at the fixed conversion price of 1.9 cents per share.

READ: Stonewall Resources strengthens balance sheet and appoints new chairman

Stonewall retired $4.6 million of debt in the past 12 months, which is part of the company’s balance sheet repair strategy.

The debt was in the form of a convertible note held by Tasman Funds Management, which elected to convert the note to shares.

Stonewall issue 251.4 million shares to settle the note and these are subject to voluntarily escrow for 12 months through to September 4, 2019.

READ: Stonewall Resources closing in on mining its 5+ million ounce gold resources

Stonewall is focused on developing underground and open pit mines within its flagship TGME project in South Africa.

As of August 2018, the project’s global resource totalled 34.7 million tonnes grading 4.62 g/t gold for 5.15 million ounces, of which 24% is in the measured and indicated categories.

The company aims to upgrade further resources to the indicated category ahead of converting the resources to ore reserve status for mining.

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Thu, 04 Oct 2018 21:44:00 +1000 https://www.proactiveinvestors.com.au/companies/news/206439/stonewall-resources-closes-loan-facility-ahead-of-resource-upgrade-206439.html
<![CDATA[News - Stonewall Resources reveals maiden resource at Theta Hill ]]> https://www.proactiveinvestors.com.au/companies/news/205696/stonewall-resources-reveals-maiden-resource-at-theta-hill-205696.html Stonewall Resources Ltd (ASX:SWJ) has declared a maiden JORC resource of 4.48 million tonnes grading 4.14 g/t gold for 600,000 ounces gold at Theta Hill within the TGME Project, South Africa.

Theta Hill is a near-term open-pit gold mine opportunity and the resource has been estimated within the confines of an open pit shell with a maximum depth of 100 metres.

Notably, the new 600,000-ounce gold resource expands the global gold resource to 5.75 million ounces grading 4.57 g/t gold.

READ: Stonewall Resources strengthens balance sheet and appoints new chairman

Stonewall’s chairman Bill Guy said: “We are pleased to announce the maiden JORC resource at Theta Hill, which has been delivered in line with our expectations of a high grade open‐cut opportunity.

“The scoping study is nearing completion and we look forward to articulating to the market how we intend to bring this resource into reserves, and provide early feed for an upgraded CIL plant, planning for which is well underway.

“When I joined Stonewall earlier this year, I was excited by the resource potential, and having spent a lot of time on the ground since, continue to believe that this large goldfield will deliver new high grade mining opportunities as work continues.”

Theta Hill resource does not include recent drill results

Notably, this maiden resource estimate excludes assays and drilling at Theta Hill from 4 September 2018, which is ongoing.

As well as adding extra ounces, the aim of the current drilling at Theta Hill is to grow the Indicated resource to support feasibility studies and planning for a declaration of reserves.   

Scoping study due shortly

A Theta Hill scoping study is expected shortly, which will consider a two-year open cut mine and estimate project economics.

A feasibility study is planned for Theta Hill to be delivered in the March quarter of 2019, which will incorporate a maiden Ore Reserve estimate.

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Wed, 26 Sep 2018 10:43:00 +1000 https://www.proactiveinvestors.com.au/companies/news/205696/stonewall-resources-reveals-maiden-resource-at-theta-hill-205696.html
<![CDATA[News - Stonewall Resources strengthens balance sheet and appoints new chairman ]]> https://www.proactiveinvestors.com.au/companies/news/204313/stonewall-resources-strengthens-balance-sheet-and-appoints-new-chairman-204313.html Stonewall Resources Ltd (ASX:SWJ) has appointed Bill Guy, who was first appointed to the board as a director in March this year, as chairman of the board.

Guy is a professional geologist with over 25 years’ experience in exploration and resource development in Asia, Australia, and Europe.

His appointment is part of Stonewall’s strategy to develop a strong technical board.

Guy’s most recent appointment was as managing director of Longford Resources Ltd (ASX:LFR).

READ: Stonewall Resources closes in on updated resource at Theta Hill

Stonewall’s chairman Bill Guy said: “Stonewall’s exploration ground position and current resource base are unique for a junior explorer.

“I was attracted by the geology and the scalability of the project. The multiple flat lying high-grade gold seams offer excellent drill targets.

“The lack of modern exploration in goldfields this size would simply not happen in Australia.

“Stonewall is at the beginning of exploring a long life asset with numerous historical mines untested by drilling.”

Stonewall gets rid of more debt from its balance sheet

Stonewall has also retired $4.6 million of debt in the past 12 month, which is part of the company’s balance sheet repair strategy.

The debt was in the form of a convertible note held by Tasman Funds Management, who elected to convert the note to shares.

Stonewall issue 251.4 million shares to settle the note, which are subject to voluntarily escrow for 12 months through to 4 September 2019.

Guy added: “I am pleased to inform shareholders that the Tasman convertible note retired this week, significantly strengthening the company’s financial position.”

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Thu, 06 Sep 2018 16:21:00 +1000 https://www.proactiveinvestors.com.au/companies/news/204313/stonewall-resources-strengthens-balance-sheet-and-appoints-new-chairman-204313.html
<![CDATA[News - Stonewall Resources closes in on updated resource at Theta Hill ]]> https://www.proactiveinvestors.com.au/companies/news/203643/stonewall-resources-closes-in-on-updated-resource-at-theta-hill-203643.html Stonewall Resources Ltd (ASX:SWJ) has received more positive results from its resource drilling at the Theta Hill open pit prospect within the TGME Project in South Africa.

Recent results including 16 metres at 7.36 g/t from 38 metres will feed into a JORC resource upgrade expected to be delivered next month.

The JORC resource upgrade will feed into Theta Hill’s scoping study also due in September 2018.

READ: Stonewall Resources closing in on mining its 5+ million ounce gold resources

Stonewall’s managing director Rob Thomson said: “The resource evaluation work at Theta Hill continues to provide evidence of a high-grade open‐cut opportunity.

“The drilling continues to deliver very positive grades and confirms the thesis of shallow, widespread gold mineralisation at this location, adjacent to the existing permitted CIL plant.

“We have been working behind the scenes reassessing the quantum and viability of all our mineral resources, including modelling preliminary opencut mining scenarios.

“This work has given the confidence to drilling to Indicated status at Theta North and DG4.  

“We intend to publish an updated Mineral Resource and Scoping Study in September 2018.”

Recent drilling at DG4 and Theta North

The recent drilling at DG4 has focused on Indicated resource infill drilling for the Lower Theta and Beta Reefs, as well as shallow depth evaluation of the mineralised trenches.

The two reverse circulation (RC) drilling rigs are now infill drilling back at the Theta North prospect to upgrade the resource to the Indicated category.

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Tue, 28 Aug 2018 09:46:00 +1000 https://www.proactiveinvestors.com.au/companies/news/203643/stonewall-resources-closes-in-on-updated-resource-at-theta-hill-203643.html
<![CDATA[News - Stonewall Resources receives Spec Buy from Pac Partners ]]> https://www.proactiveinvestors.com.au/companies/news/200994/stonewall-resources-receives-spec-buy-from-pac-partners-200994.html Stonewall Resources Ltd (ASX:SWJ) has received a Speculative Buy rating from Pac Partners’ equity research division.

The key points in the research report titled ‘Cheap but need to hit targets to restore confidence’ are:

• The potential continues to grow for SWJ at their TGME gold Project, South Africa. With 5.15 million ounces gold (34.7 million tonnes at 4.62 g/t gold) and work continuing on adding more shallow high grade (~15 g/t) ounces. At a market cap of only $34 million SWJ is trading at a steep discount to peers. 
• The question remains when will SWJ see reward for delivering their planned exploration and development programs. It is likely to be when the pathway to production becomes simpler and clearer.
• Confidence in the ability of SWJ to restart production and source project financing needs to be shown following a pullback in the share price.

Pac Partners stated it is looking for resource upgrades and completion of the definitive feasibility study (DFS) to act as possible catalysts.

No price target, peer comparison suggests $6.50

While the Speculative Buy research report has no 12-month price target for the 1.3 cent stock, it did comprise a peer evaluation section as follows.

In determining relevant peer group to SWJ we have selected companies that have resources and are progressing towards production. 

Whilst peer comparisons can be subjective and open to debate the underlying fact remains that SWJ is trading at a significant discount to the peer average.

On the group we have selected the peer average is $58 on a EV/resource ounce basis, SWJ is currently trading at $6.50. 

READ: Stonewall Resources appoints Brett Tang to board

Earlier this month, Stonewall boosted its board with the appointment of Guyang (Brett) Tang as a director of the company.

Tang is a director at Tasman Funds Management, Stonewall’s largest shareholder, and a director and founding partner of China-based VC fund China Nanjing Venture Capital Ltd.

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Wed, 18 Jul 2018 10:41:00 +1000 https://www.proactiveinvestors.com.au/companies/news/200994/stonewall-resources-receives-spec-buy-from-pac-partners-200994.html
<![CDATA[News - Stonewall Resources appoints Brett Tang to board ]]> https://www.proactiveinvestors.com.au/companies/news/200083/stonewall-resources-appoints-brett-tang-to-board-200083.html Stonewall Resources Ltd (ASX:SWJ) has boosted its board with the appointment of Guyang (Brett) Tang as a director of the company.

Tang is a director at Tasman Funds Management, Stonewall’s largest shareholder, and a director and founding partner of China-based VC fund China Nanjing Venture Capital Ltd.

Expertise in mining investment

Between 2013 and 2015 he was a director of Ao-zhong Mining Pty Ltd, an investment and operating arm of East China Non-Ferrous Exploration Corporation.

East China Corporation is a Chinese specialised mining and exploration corporation with a history of mining investments in Australia.

From 2007 to 2013 Tang was executive director at Yunnan Gold Mountain Ltd, a joint venture company with a Chinese mining state-owned enterprise, which grew to a 20,000 ounce per annum gold producer from horizontal adit-entry type mines.

READ: Stonewall Resources now has three rigs at Theta Hill to delineate gold resources

Stonewall is a gold development company that holds a range of prospective gold assets in South Africa’s gold mining region.

Its core project is TGME, near the historical gold mining town of Pilgrim’s Rest.

The company is focusing on the planned refurbishment of the existing CIL plant and proximate mines and prospects at TGME.

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Wed, 04 Jul 2018 12:43:00 +1000 https://www.proactiveinvestors.com.au/companies/news/200083/stonewall-resources-appoints-brett-tang-to-board-200083.html
<![CDATA[News - Stonewall Resources now has three rigs at Theta Hill to delineate gold resources ]]> https://www.proactiveinvestors.com.au/companies/news/198988/stonewall-resources-now-has-three-rigs-at-theta-hill-to-delineate-gold-resources-198988.html Stonewall Resources Ltd (ASX:SWJ) is set to boost gold ounces at Theta Hill as resource drilling continues to provide encouraging results.

New assays on the Lower Theta Reef include: 0.9 metres at 9.3 g/t gold from 18.6 metres; 2 metres at 4.9 g/t gold from 32 metres; 1 metre at 5.3g/t gold from 6 metres and 4 metres at 3.3 g/t gold from 26 metres.

Currently two diamond rigs are drilling, and a reverse circulation rig has now been deployed.

The additional rig will accelerate the drilling program which is aiming to delineate indicated resources and ultimately reserves to underpin funding of CIL plant refurbishment.

Theta Hill is part of Stonewall's TGME Gold Project in South Africa which currently hosts a 5.15 million ounce gold resource.

Rob Thomson, managing director, commented:

"The reintroduction of the reverse circulation rig with certain modifications is assisting penetration to Lower Theta target depths in the difficult ground conditions.

"The drilling continues to deliver positive grades and confirms the thesis of shallow, widespread gold mineralisation at this location, right next to the processing plant.

"The recent focus on the DG’s, particularly DG4, should add to the ultimate ounces which form part of the mineral inventory we are currently targeting to underpin a resumption of gold production at the project as soon as possible."

Trenching at DG4

The DG4 area of the Theta Hill project is situated within 700 metres of the existing and fully permitted TGME processing plant and tailings dam, and trenching in the area is targeting the previously unrecognised Bevett’s mineralisation.

Bevett’s mineralisation is variably exposed at surface over a large area.

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Mon, 18 Jun 2018 12:21:00 +1000 https://www.proactiveinvestors.com.au/companies/news/198988/stonewall-resources-now-has-three-rigs-at-theta-hill-to-delineate-gold-resources-198988.html
<![CDATA[News - Stonewall Resources deploys third rig as it seeks to add to TGME 5.15 million ounce gold bounty ]]> https://www.proactiveinvestors.com.au/companies/news/197406/stonewall-resources-deploys-third-rig-as-it-seeks-to-add-to-tgme-515-million-ounce-gold-bounty-197406.html Stonewall Resources Ltd (ASX:SWJ) has deployed a third drilling rig to the Theta Hill area of its TGME Gold Project in South Africa as it seeks to add to the 5.15 million ounce gold resource.

The reverse circulation (RC) rig has been brought back to progress resource drilling on the DG4 area of Theta Hill.

It has been modified to improve on previous drilling performance in order to rapidly progress the development of a resource in this area.

Improvements build on lessons learned from the last round of RC drilling.

READ: Stonewall Resources closing in on mining its 5+ million ounce gold resources

Managing director Rob Thomson said: “Given the challenging drilling conditions experienced on Theta Hill it is encouraging to see the ongoing close relationship between the onsite staff and the contractors as they work to resolving problems and improving efficiencies.”

After recently upgrading the resource from open pit and underground deposits at the historical TGME project, Stonewall is focused on delineating further resources at the DG4 and Theta North areas.

READ: Stonewall Resources upgrades gold resource to over 5 million ounces

The project’s global resource totals 34.7 million tonnes grading 4.62 g/t gold of which 24% is in the measured and indicated categories.

Stonewall is developing the fully permitted TGME project in a world-renowned gold mining region 370 kilometres northeast of Johannesburg.

Refurbishing CIL plant

This process includes refurbishing an existing CIL plant as well as nearby mines and prospects with the intention of resuming gold production.

Stonewall has access to more than 43 historical mines and prospect areas that can be accessed and explored, with over 6.7 million ounces of historical production recorded.

Dewatering Rietfontein

Current mine refurbishment is focused on Rietfontein, which is being dewatered to enable access for underground drilling for resource estimation purposes.

The dewatering is taking place below four level via gravity decant to allow for access via this footwall drive where better conditions are expected.

Dewatering is progressing at the Rietfontein mine.

This will allow drill rig access into deeper parts of the mine for metallurgical sampling and will help determine potential locations for underground resource drilling.

The water level is now 1‐1.5 metres below the hanging wall of 4 level adit.

Historical mining area

TGME is near the towns of Pilgrim’s Rest and Sabie in Mpumalanga Province.

Pilgrim’s Rest is considered to be the site of the first official gold rush in South Africa in 1873.

At one point more than 1,500 panners descended on Pilgrim’s Rest before the hard‐rock reefs were discovered, leading to underground exploitation.

Supporting panning championships

As such, the area hosts the annual South African Gold Panning Championships, which marks its 21st anniversary this year.

Stonewall is proud to provide sponsorship for the event which attracts hundreds of competitors and spectators.

The 2018 event will be held in October on Stonewall’s mining leases at TGME and more than 700 are expected to compete.

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Tue, 22 May 2018 09:38:00 +1000 https://www.proactiveinvestors.com.au/companies/news/197406/stonewall-resources-deploys-third-rig-as-it-seeks-to-add-to-tgme-515-million-ounce-gold-bounty-197406.html
<![CDATA[News - Stonewall Resources closing in on mining its 5+ million ounce gold resources ]]> https://www.proactiveinvestors.com.au/companies/news/197243/stonewall-resources-closing-in-on-mining-its-5-million-ounce-gold-resources-197243.html Stonewall Resources Ltd (ASX:SWJ) is focused on developing both underground and open pit mines within its flagship TGME project in South Africa.

At August 2018, the project’s global resource totalled 34.7 million tonnes grading 4.62 g/t gold for 5.15 million ounces of which 24% is in the measured and indicated categories.

Stonewall’s focus is on upgrading resources to the indicated category ahead of converting the resources to reserve status for mining.

READ: Stonewall Resources receives Spec Buy from Pac Partners Restarting gold production within TGME project

Stonewall is developing the fully permitted TGME Gold Project near the towns of Pilgrims Rest and Sabie in Mpumalanga Province, 370 kilometres northeast of Johannesburg.

Theta Hill discovery has Stonewall’s attention

During the June quarter, the TGME gold project continued to progress towards development, with ongoing drilling at Theta Hill.

Drilling and trenching work was completed, confirming the open cut potential of the project.

At August 2018, a scoping study was underway into the Theta Hill open‐cut mine with further drilling and engineering studies ongoing.

Drilling is working towards a maiden JORC resource at Theta Hill.

Refurbishing the existing processing plant

Following small-scale production from 2012 to 2015, Stonewall aims to refurbish the existing CIL plant and nearby mines with the intention of resuming gold production.

The company aims to build a solid production platform to over 100,000 ounces per annum based primarily around shallow, adit-entry hard rock mining sources.

Stonewall has access to over 43 historical mines and prospect areas that can be accessed and explored, with historical production of about 6.7 million ounces recorded in the tenement areas.

Theta Hill discovered late 2017

Exploration has been ongoing since late 2017 at and nearby to the Theta Hill discovery of high-grade, shallow gold within the TGME project.

Importantly, targets within Theta Hill such as DG4 are located as close as 700 metres to the existing and fully permitted TGME processing plant and tailings dam.

Trenching and drilling results continue to build the case for an open cut gold mine.

Stonewall’s strategy is to generate initial resources with the plan to declare open‐cut reserves later in 2018.

READ: Stonewall Resources’ drilling delivers 126 g/t gold at Theta Hill in South Africa

Notably, diamond drilling from May 2018 at the Theta Hill project delivered results of up to 1 metre at 126 g/t gold within 33.1 metres and 1 metre at 17.9 g/t gold from 10 metres.

This builds on trenching results from April 2018 that featured 122 metres at 1.3 g/t gold.

This exploration data will be used in estimating a maiden resource at Theta Hill.

Scoping study completed on Rietfontein underground mine

The Rietfontein mine in the southern part of TGME contains a JORC resource of 2.55 million tonnes grading 11 g/t for 905,000 ounces of gold.

A completed scoping study indicated a potentially low cost, 60,000 ounces per year underground development with a C1 cash cost of US$417 per ounce.

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Fri, 18 May 2018 12:51:00 +1000 https://www.proactiveinvestors.com.au/companies/news/197243/stonewall-resources-closing-in-on-mining-its-5-million-ounce-gold-resources-197243.html
<![CDATA[News - Stonewall Resources’ drilling delivers 126 g/t gold at Theta Hill in South Africa ]]> https://www.proactiveinvestors.com.au/companies/news/196693/stonewall-resources-drilling-delivers-126-gt-gold-at-theta-hill-in-south-africa-196693.html Stonewall Resources Ltd’s (ASX:SWJ) follow-up diamond drilling at the Theta Hill project is continuing to deliver impressive results, including 1 metre at 126 g/t gold from 33.1 metres and 1 metre at 17.9 g/t gold from 10 metres.

Positive trench results have been received from the DG4 area at Theta Hill as well, with 38 metres at 1.28 g/t gold.

The company is expecting a third drilling rig to arrive at Theta Hill to complement the recent work to delineate a maiden open-cut resource.

READ: Stonewall Resources upgrades gold resource to over 5 million ounces

Stonewall managing director Rob Thomson said: “The resource evaluation work at Theta Hill, whilst being challenging due to difficult ground conditions, continues to deliver very positive grades and confirms the thesis of shallow, widespread gold mineralisation at this location.

“The recent focus on the DG’s, particularly DG4, should add to the ultimate ounces which form part of the mineral inventory we are currently targeting to underpin a resumption of gold production at the project as soon as possible.”

READ: Stonewall Resources raising $5 million to advance gold reserve drilling in South Africa

The company had entered into a share subscription agreement last week with a global investment house to raise $5 million to complete the reserve drilling at Theta Hill and Vaalhoek.

Theta Hill and Vaalhoek are part of Stonewall’S TGME gold project in South Africa, where the company is progressing towards its goal of restarting gold production at the earliest opportunity.

DG4 area of Theta Hill to add to existing resource

Following the resource upgrade announced on May 1, a further upgrade is due following completion of the current work program at Theta Hill.

A maiden resource on DG4 is pending evaluation of the data and calculations from drilling planned during May 2018.

The DG4 area of the Theta Hill project is strategically located within 700 metres of the existing and fully permitted TGME processing plant and tailings dam.

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Thu, 10 May 2018 11:32:00 +1000 https://www.proactiveinvestors.com.au/companies/news/196693/stonewall-resources-drilling-delivers-126-gt-gold-at-theta-hill-in-south-africa-196693.html
<![CDATA[News - Stonewall Resources raising $5 million to advance gold reserve drilling in South Africa ]]> https://www.proactiveinvestors.com.au/companies/news/196392/stonewall-resources-raising-5-million-to-advance-gold-reserve-drilling-in-south-africa-196392.html Stonewall Resources Ltd (ASX:SWJ) has entered into a share subscription agreement with a global investment house to raise $5 million to complete the reserve drilling at Theta Hill and Vaalhoek.

Theta Hill and Vaalhoek are part of Stonewall’S TGME gold project in South Africa, where the company is progressing towards its goal of restarting gold production at the earliest opportunity.

READ: Stonewall Resources upgrades gold resource to over 5 million ounces

Managing director Rob Thomson said: “With this very favourable placement coupled with the new multi-million ounce global resource, the company now is well positioned to complete resource/reserve drilling for Theta Hill and other surrounding opencut targets, complete feasibility studies and secure the required funding for commencement of gold production.”

Two-tranche placement

Stonewall is raising $5 million from the global investment house on the following terms:

• Tranche 1 share placement of $2 million at an issue price of 1.1 cents per share within 30 days; and
• Tranche 2 share placement of $3 million is subject to shareholder approval and will be issued at a price equal to the 20 days VWAP (volume weighted average price) before the allotment.

The investor has agreed that all shares will be escrowed for 12 months from the completion date.

READ: Stonewall Resources assays support open cut gold potential at Theta Hill area

Stonewall’s exploration programs in South Africa will now be fully funded to complete the reserve drilling at Theta Hill and Vaalhoek.

The funds will also be allocated to environmental/ engineering studies.

A second resource upgrade is expected in coming months when the Theta Hill drilling is completed, adding to the recent 5.1 million ounce gold resource upgrade for the TGME gold project.

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Fri, 04 May 2018 12:42:00 +1000 https://www.proactiveinvestors.com.au/companies/news/196392/stonewall-resources-raising-5-million-to-advance-gold-reserve-drilling-in-south-africa-196392.html
<![CDATA[News - Stonewall Resources upgrades gold resource to over 5 million ounces ]]> https://www.proactiveinvestors.com.au/companies/news/196095/stonewall-resources-upgrades-gold-resource-to-over-5-million-ounces-196095.html Stonewall Resources Ltd (ASX:SWJ) has increased its global JORC resource 39% to 5.15 million ounces within its TGME Project in South Africa.

The resource stands at 34.7 million tonnes grading 4.62 g/t gold for 5.15 million ounces of which 24% is in the Measured and Indicated categories.

Notably, the resource increase excludes the focus of current drilling at Theta Hill, which is expected to further expand the global resource.

The focus is now on upgrading resources to the Indicated category ahead of converting the resources to Reserves status.

READ: Stonewall Resources assays support open cut gold potential at Theta Hill area

Stonewall’s managing director Rob Thomson said: “This latest Mineral Resource upgrade has added a further 1.43 million ounces to our Mineral Resource base, with numerous targets identified for follow-up drilling and evaluation for additional Project Bentley open-cut targets as well as new underground opportunities.

“We expect this Mineral Resource to grow further in coming weeks with the inclusion of maiden Mineral Resources at the high-grade Theta Hill open cut and we continue to progress towards our goal of restarting gold production at the earliest opportunity.”

Drilling is ongoing with up to three rigs at Theta Hill and neighbouring areas.

March quarter focused on Theta Hill

The March quarter saw an increase in activities at the TGME gold project in South Africa, following the successful discovery of high-grade, shallow gold reef at Theta Hill.

Discovery of widespread, oxidised gold‐bearing reef at shallow depth was confirmed at both Theta Hill and Columbia Hill.

READ: Stonewall Resources gets closer to gold production in South Africa

Work on underground refurbishment and access at Rietfontein is ongoing, including dewatering to enable underground resource drilling and metallurgical sampling in due course.

Drilling at Theta Hill continues, with aim of both generating initial resources with the plan to declare open‐cut reserves later in 2018.

Additional open‐cut targets in close proximity to the TGME CIL plant have also been identified and will be articulated in due course.

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Tue, 01 May 2018 09:34:00 +1000 https://www.proactiveinvestors.com.au/companies/news/196095/stonewall-resources-upgrades-gold-resource-to-over-5-million-ounces-196095.html
<![CDATA[News - Stonewall Resources assays support open cut gold potential at Theta Hill area ]]> https://www.proactiveinvestors.com.au/companies/news/195516/stonewall-resources-assays-support-open-cut-gold-potential-at-theta-hill-area-195516.html Stonewall Resources Ltd (ASX:SWJ) has received more positive exploration results from drilling and trenching at Theta Hill within its TGME Project in South Africa.

Exploration has been ongoing since late 2017 and latest results from the DG4 area at Theta Hill continue to build the case for an open cut gold mine.

Highlights from trenching include 122 metres at 1.3 g/t gold and drill assays featured 4 metres at 4.3 g/t gold.

700 metres from the fully permitted TGME process plant

Stonewall’s managing director Rob Thomson said: “Slower than expected drilling conditions at Theta Hill are part of the reason such large amounts of high-grade gold reef were left behind by past underground miners who simply could not safely extract these near surface, oxidised, broken up reefs in these areas.

“We are confident with modern open‐cut mining techniques we will be able to recover much of this material left behind.

“We remain committed to rapid delineation of high-grade gold reserves to underpin a re‐start of the TGME plant in the quickest time possible and thank shareholders for their ongoing patience and support of our strategy”.

The DG4 area is only 700 metres from the fully permitted TGME CIL process plant.

READ: Stonewall Resources gets closer to gold production in South Africa

Recent trenching results at the DG4 target area have added further positive results to the Theta Hill open cut area.

The gold mineralisation can potentially provide an early opportunity for open pit mining.

The target gold zone at the DG4 target has a low strip‐ratio and represents the first possible mill‐feed target ahead of pre‐stripping activities being considered at Theta Hill.

JORC 2012 upgrade ongoing

A full JORC review and upgrade of Stonewall’s mineral resources is continuing.

At this stage, the work remains on schedule for the end of April 2018.

This JORC work excludes all the Theta Hill project areas and a maiden resource at Theta will be compiled separately using recent and ongoing drill results. 

Drilling continues at Theta North target, where a reverse circulation (RC)rig has completed phase II and a diamond rig has been commissioned to progress phase III to upgrade the resource.

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Mon, 23 Apr 2018 11:35:00 +1000 https://www.proactiveinvestors.com.au/companies/news/195516/stonewall-resources-assays-support-open-cut-gold-potential-at-theta-hill-area-195516.html
<![CDATA[News - Stonewall Resources gets closer to gold production in South Africa ]]> https://www.proactiveinvestors.com.au/companies/news/193745/stonewall-resources-gets-closer-to-gold-production-in-south-africa-193745.html Stonewall Resources Ltd (ASX:SWJ) is accelerating the mine planning work at the TGME gold project in South Africa, ahead of the company’s aim to declare a maiden open‐cut reserve in 2018.

The diamond drilling at the Theta Hill open cut project within TGME is expected to be completed in late April 2018, with a second diamond rig expected to arrive on site in early April 2018.

READ: Stonewall Resources has diamond drill bit spinning at South African open-cut gold project

An open-cut resource estimate at Theta Hill would be the company’s second at TGME after revealing a maiden open-cut resource at the Vaalhoek deposit earlier this month.

READ: Stonewall Resources discovers third open‐cut gold target in South Africa

The maiden open‐cut resource of 0.62 million tonnes at 16.9 g/t gold for 335,000 ounces has been included into the overall Vaalhoek resource upgrade of 2.68 million tonnes at 5.3 g/t gold for 457,000 ounces.

Stonewall’s delineation of open-cut resources at TGME is part of its Project Bentley initiative with Columbia Hill likely to be the third resource.

Rietfontein mine planning activities 

Meanwhile, pre‐feasibility study (PFS) activities are continuing at the Rietfontein mine to include extending access to the mine Level 4 adit for sampling and bulk metallurgical samples.

Stonewall’s aim is to develop this resource towards production in a complementary process to the potential open cut activities.

Project areas covered by mining rights

Onsite legal and environmental planning work has been ongoing for the last 18 months, as part of converting the remaining prospecting rights (PR) to mining rights (MR).

All of the company’s core projects such as the Project Bentley open cut areas at Theta Hill and Columbia Hill and the Rietfontein and Beta underground projects are already covered by MR except for Vaalhoek.

The Vaalhoek PR to MR conversion process is proceeding well.

TGME plant refurbishment

Stonewall has had several engineering contractors visit the fully permitted TGME CIL (carbon in leach) plant to complete a review of expected cost and timeline to bring the plant back into operation.

The objective is to have a low capital cost and short timeline refurbishment approach to accommodate oxide ores from the Project Bentley open cut mines.

Stonewall expects to have this review completed in the second quarter of 2018

WATCH: Stonewall Resources excited by open-cut potential at TGME gold project

Stonewall managing director Rob Thomson said: “We have been increasing the level of activities at the TGME project in recent months, with an acceleration of mine planning work ahead of our aim to declare maiden open‐cut reserves in 2018.

“With all mine approvals expected to be granted, and detailed costs estimates prepared, we are removing impediments to a quick resumption of gold production for the group.”

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Mon, 26 Mar 2018 11:27:00 +1100 https://www.proactiveinvestors.com.au/companies/news/193745/stonewall-resources-gets-closer-to-gold-production-in-south-africa-193745.html
<![CDATA[News - Stonewall Resources has diamond drill bit spinning at South African open-cut gold project ]]> https://www.proactiveinvestors.com.au/companies/news/193114/stonewall-resources-has-diamond-drill-bit-spinning-at-south-african-open-cut-gold-project-193114.html Stonewall Resources Ltd (ASX:SWJ) has the diamond drill bit spinning at its Theta Hill Gold Project in South Africa as it prepares to calculate a maiden open-cut resource.

Contractor OMT Exploration Drilling started the drilling this week with diamond tails to be completed on 20-25 holes and additional holes planned.

The program is expected to be completed by the end of April with assay results to start flowing from late March.

WATCH NOW: Stonewall Resources excited by open-cut potential at TGME gold project

A reverse circulation rig is continuing to test targets at Theta Hill, which is part of Stonewall’s broader TGME project in a world‐renowned South African gold mining region.

Results from the drilling programs will be used in planning for potential open-cut resource calculations and for feasibility work this year.

READ: Stonewall Resources discovers third open‐cut gold target in South Africa

An open-cut resource estimate at Theta Hill would be the company’s second at TGME after announcing a maiden open-cut resource at the Vaalhoek deposit last week.

This resource comprises 620,000 tonnes at 16.9 g/t gold for 335,000 ounces with 88% within the inferred category.

Stonewall’s delineation of open-cut resources at TGME is part of its Project Bentley initiative with Columbia Hill likely to be the third resource.

Cost advantages over other producers

The TGME assets include several surface and near‐surface high‐grade gold projects, which provide cost advantages relative to other gold producers in the region.

Stonewall’s targets within the TGME project near Pilgrim’s Rest.

TGME is near the historical gold mining town of Pilgrim’s Rest, in Mpumalanga Province, 370 kilometres east of Johannesburg by road.

Refurbishing CIL plant

Following small-scale production from 2011 to 2015, Stonewall is focusing on the refurbishment of an existing CIL plant and nearby mines with the intention of resuming gold production.

It aims to build a solid production platform to more than 100,000 ounces annually based primarily on shallow, adit‐entry hard rock mining sources.

The company has access to more than 43 historical mines and prospect areas that can be accessed and explored.

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Wed, 14 Mar 2018 11:08:00 +1100 https://www.proactiveinvestors.com.au/companies/news/193114/stonewall-resources-has-diamond-drill-bit-spinning-at-south-african-open-cut-gold-project-193114.html
<![CDATA[News - Stonewall Resources discovers third open‐cut gold target in South Africa ]]> https://www.proactiveinvestors.com.au/companies/news/192892/stonewall-resources-discovers-third-opencut-gold-target-in-south-africa-192892.html Stonewall Resources Ltd (ASX:SWJ) has identified an open‐cut gold target at the historical Vaalhoek Mine in South Africa.

This is the company’s third open‐cut target after Theta Hill and Columbia Hill.

The maiden open‐cut resource of 0.62 million tonnes at 16.9 g/t gold for 335,000 ounces has been included into the overall Vaalhoek resource upgrade of 2.68 million tonnes at 5.3 g/t gold for 457,000 ounces.

WATCH: Stonewall Resources excited by open-cut potential at TGME gold project

Rob Thomson, managing director, said: “This maiden high‐grade open‐cut resource demonstrates the potential for multiple open cut mines in the area.

“With an additional open cut resource expected within the coming weeks from the Theta Hill drilling currently underway, the company is starting to build towards multiple high-grade, low capital intensity open‐cut deposits and we plan to be in a position to begin plant refurbishment and submit mine plans in 2018.”

READ: Stonewall Resources progressing towards a high-grade gold resource at Theta Hill

Prior underground mining was carried out between 1910 and 1956 at Vaalhoek, with 1.3 million tonnes extracted at an estimated head grade of 11.7 g/t gold and production of 473,000 ounces.

The new maiden open‐cut resource at Vaalhoek forms part of Stonewall’s Project Bentley to identify high-grade open‐cut opportunities with near-term production potential.

Regional aerial photo showing the location of Vaalhoek Mine

This resource upgrade is part of an overall annual JORC review of all project areas and completion of this work is anticipated by the end of April 2018.

Further positive news anticipated

Stonewall is now planning infill drilling at Vaalhoek to allow for preliminary mine scheduling as part of its ongoing project development work.

Rob Thomson added: “We expect further positive news flow, including further increases to our resource base and the development of reserves to underpin re‐development of the TGME project.

“These plans are complementary to our ongoing plans to re‐open the Rietfontein Mine”

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Fri, 09 Mar 2018 11:24:00 +1100 https://www.proactiveinvestors.com.au/companies/news/192892/stonewall-resources-discovers-third-opencut-gold-target-in-south-africa-192892.html
<![CDATA[News - Stonewall Resources appoints experienced geologist as director ]]> https://www.proactiveinvestors.com.au/companies/news/192805/stonewall-resources-appoints-experienced-geologist-as-director-192805.html Stonewall Resources Ltd (ASX:SWJ) has appointed experienced geologist Bill Guy as a director of the company.

Guy was recently the managing director of Longford Resources (ASX:LFR) and previously served as exploration manager of Jupiter Mines.

He has over 25 years’ experience in exploration and resource development in Asia, Australia and Europe.

Stonewall is currently drilling the Theta Hill prospect, part of its flagship TGME gold project in South Africa.

WATCH: Stonewall Resources excited by open-cut potential at TGME gold project

Rob Thomson, managing director, said: “As a mining engineer and a project developer and operator, I welcome Bill and his complementary geological and corporate expertise both to the Stonewall Board and to work with us in developing our gold projects, including the re‐commencement of gold production through the TGME processing plant. 

“Bill will be a valuable addition to Stonewall’s team bringing added capabilities in exploration, mining and project delivery.”  

READ: Stonewall Resources progressing towards a high-grade gold resource at Theta Hill ]]>
Thu, 08 Mar 2018 12:08:00 +1100 https://www.proactiveinvestors.com.au/companies/news/192805/stonewall-resources-appoints-experienced-geologist-as-director-192805.html
<![CDATA[News - Stonewall Resources on track to repay convertible security funding ]]> https://www.proactiveinvestors.com.au/companies/news/192638/stonewall-resources-on-track-to-repay-convertible-security-funding-192638.html Stonewall Resources Limited (ASX:SWJ) is on track to repay the convertible security funding from The Australian Special Opportunity Fund, LP, an entity managed by Lind Partners, LLC.

At the current repayment rate of $130,000 per month, the convertible security is expected to be repaid in full by October 2018.

READ: Stonewall Resources progressing towards a high-grade gold resource at Theta Hill

The company is continuing to receive positive drilling results from the Theta Hill prospect, part of its TGME gold project in South Africa.

Importantly, assays continue to indicate that a high-grade, oxide gold resource will be established.

South Africa was recently named by Goldman Sachs as the best emerging market story of 2018, with the election of president Cyril Ramaphosa seen as a major positive for the economy.

Convertible security funding

Stonewall had entered into the convertible security funding agreement, with a face value of $2,520,000, in January 2017.

The convertible security is repayable in 24 equal monthly cash instalments of $130,000.  

During 2017, the convertible security was substantially reduced by cash repayments by Stonewall and voluntary conversions by Lind. 

Lind voluntarily converted a total of $800,000 into shares in the company at the fixed conversion price of $0.019 per share.

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Tue, 06 Mar 2018 12:33:00 +1100 https://www.proactiveinvestors.com.au/companies/news/192638/stonewall-resources-on-track-to-repay-convertible-security-funding-192638.html
<![CDATA[News - Stonewall Resources progressing towards a high-grade gold resource at Theta Hill ]]> https://www.proactiveinvestors.com.au/companies/news/192307/stonewall-resources-progressing-towards-a-high-grade-gold-resource-at-theta-hill-192307.html Stonewall Resources Ltd (ASX:SWJ) is continuing to receive positive drilling results from the Theta Hill prospect, part of its TGME gold project in South Africa.

Importantly, assays continue to indicate that a high-grade, oxide gold resource will be established.

READ: Stonewall Resources excited by open-cut potential at TGME gold project

Rob Thomson, managing director, said: “Based on the confidence we are gaining on the likelihood of declaring open cut reserves later in 2018, we are accelerating development plans for the TGME project, with a number of activities underway including drilling, engineering assessment and progressing of approvals.

“We are aiming to be in a position, subject to financing, to be able to commence plant refurbishment and submit mine plans for approval in 2H 2018.”

Maiden open‐cut resource estimation work planned

Since the recommencement of drilling at Theta Hill in January 2018, a total of 20 out of a planned 27 holes have been drilled.

Encouraging assays received to date include:

• 1 metre at 11 g/t gold from 29 metres;
• 1 metre at 9.2 g/t gold from 23 metres; and
• 1 metre at 10.4 g/t gold from 51 metres.

The remaining holes are expected to be completed within the next two weeks.

A diamond drilling rig is currently mobilising to the Theta Hill site, ahead of Stonewall’s planned maiden open‐cut resource estimation work.

Scoping and feasibility work in 2018

Stonewall is engaging with a number of groups with the aim of facilitating the commencement of production.

READ: Stonewall Resources' testwork indicates feasibility of carbon in leach gold processing

This included site visits from process engineering firms to assess the condition of the CIL (carbon in leach) plant for refurbishment and upgrade.

The assessment of open‐cut feasibility is also being carried out, in preparation for scoping and feasibility work planned in 2018.

Preparing for underground sampling and drilling

At the Rietfontein Gold Mine within the TGME gold project, a decision has been taken to dewater the mine below Level 4 and access the mine via the footwall drive.

This should reduce the timeline to access the deeper parts of the mine for metallurgical sampling, and review of potential locations for underground resource drilling.

Stonewall’s new approach is expected to establish underground fan drilling locations instead of drilling from surface and improve on reserve drilling costs.

Renewed investor interest towards South Africa

South Africa was recently named by Goldman Sachs as the best emerging market story of 2018, with the election of president Cyril Ramaphosa seen as a major positive for the economy.

Rob Thomson added: “Given the encouraging developments and progress and the renewed investment interest in South African under new President Cyril Ramaphosa, we believe now is the time to ramp‐up our activities to the next level orientated towards re‐establishing gold production”.

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Wed, 28 Feb 2018 11:28:00 +1100 https://www.proactiveinvestors.com.au/companies/news/192307/stonewall-resources-progressing-towards-a-high-grade-gold-resource-at-theta-hill-192307.html
<![CDATA[News - Stonewall Resources director lifts indirect interest through off-market purchase ]]> https://www.proactiveinvestors.com.au/companies/news/191813/stonewall-resources-director-lifts-indirect-interest-through-off-market-purchase-191813.html Stonewall Resources Ltd (ASX:SWJ) non-executive director Bill Richie Yang has increased his indirect interest in the company through an off-market purchase of shares.

The 720,000 shares valued at $14,820 were purchased by a family trust of which Yang is a director.

The trust now holds 900,000 fully paid ordinary shares.

Trevor Fourie, non-executive director and chairman, decreased his indirect interest through the on-market sale of 500,000 shares for a total value of $7,500.

The indirect interest is held through an investment trust, which retains almost 24.8 million shares.

WATCH NOW: Stonewall Resources excited by open-cut potential at TGME gold project

Stonewall has kicked off a second round of exploration at its TGME Gold Project in South Africa.

It aims to complete phase II drilling at the Theta Hill prospect by mid‐March with further drilling then expected to take place at the Columbia Hill prospect.

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Mon, 19 Feb 2018 14:53:00 +1100 https://www.proactiveinvestors.com.au/companies/news/191813/stonewall-resources-director-lifts-indirect-interest-through-off-market-purchase-191813.html
<![CDATA[Media files - Stonewall Resources excited by open-cut potential at TGME gold project ]]> https://www.proactiveinvestors.com.au/companies/stocktube/8734/stonewall-resources-excited-by-open-cut-potential-at-tgme-gold-project-8734.html Mon, 12 Feb 2018 11:46:00 +1100 https://www.proactiveinvestors.com.au/companies/stocktube/8734/stonewall-resources-excited-by-open-cut-potential-at-tgme-gold-project-8734.html <![CDATA[News - Stonewall Resources turns to second drilling round at South African gold prospect ]]> https://www.proactiveinvestors.com.au/companies/news/191189/stonewall-resources-turns-to-second-drilling-round-at-south-african-gold-prospect-191189.html Stonewall Resources Ltd (ASX:SWJ) has the drill bit turning in a follow-up program at Theta Hill prospect, which is part of the TGME Gold Project in South Africa.

The second program will comprise reverse circulation drilling of 20-30 holes for circa 1,500 metres.

It is following up a high-grade gold reef discovered at shallow depth in a phase I campaign at Theta Hill completed in December 2017.

“Push towards maiden resource”

Rob Thomson, managing director, said: “We look forward to delivering further positive news flow in coming weeks as the drilling campaign progresses at the TGME project.

“Shallow, oxide gold has been demonstrated at Theta Hill and Columbia Hill and the next step is to push ahead towards a maiden resource calculation as soon as possible, followed by submission of mine plans.”

Phase II program

Stonewall aims to complete the phase II drilling at Theta Hill by mid‐March 2018 with first assay results expected to begin arriving towards the end of February.

Further drilling at the Columbia Hill prospect is then expected to take place.

The company is also planning diamond drilling to confirm reef thickness and to enable completion of a maiden JORC resource estimate for the two prospects later in 2018.

READ: Stonewall Resources hits shallow high grade gold in South Africa

Stonewall recently announced the results of drilling at Columbia Hill which revealed shallow high grade gold material.

Additional assays have been received from this program and are being interpreted.

READ: Stonewall Resources' testwork indicates feasibility of carbon in leach gold processing

Encouraging preliminary metallurgy for Theta Hill has showed an average of 95.7% recovery from Beta Reef and 95.7% recovery from Lower Theta Reef.

Both prospects form part of Stonewall’s open pit strategy at TGME, which is in a world‐renowned South African gold mining region.

TGME is near the historical gold mining town of Pilgrim’s Rest in Mpumalanga province, circa 370 kilometres east of Johannesburg by road.

CIL plant being refurbished

Ore from the open pits would be processed at the existing CIL plant at TGME which is being refurbished by Stonewall.

The TGME project contains 26.6 million tonnes grading 4.34 g/t gold for 3.7 million ounces of gold.

Stonewall aims to build a solid production platform to more than 100,000 ounces annually based primarily around shallow hard rock mining sources.

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Tue, 06 Feb 2018 14:53:00 +1100 https://www.proactiveinvestors.com.au/companies/news/191189/stonewall-resources-turns-to-second-drilling-round-at-south-african-gold-prospect-191189.html
<![CDATA[News - Stonewall Resources' testwork indicates feasibility of carbon in leach gold processing ]]> https://www.proactiveinvestors.com.au/companies/news/190501/stonewall-resources-testwork-indicates-feasibility-of-carbon-in-leach-gold-processing-190501.html Stonewall Resources Ltd’s (ASX:SWJ) preliminary metallurgical testwork from drilling at its Theta Hill prospect support management’s plans to recommence gold production.

Theta Hill and Columbia Hill are part of the company’s TGME Gold Project located in South Africa.

Average recovery from bottle‐roll cyanidation tests of 94.9% from eight samples indicates the mineralisation is suitable for processing in a carbon in leach (CIL) plant.

Management expects to be able to feed high-grade oxidised ore from its nearby Theta Hill and Columbia Hill prospects into the existing CIL plant.

Processing strategy provides quick transition to production

The current focus is to delineate a high grade oxide resource, in close proximity to the plant, in order for an early low‐capital start‐up option.

Stonewall has had early success on this front.

READ:Stonewall Resources hits shallow high grade gold in South Africa

Boosting the volume of ore throughput would justify using most of the capital being invested into plant refurbishment as opposed to underground development.  

Management looking to establish reserves in 2018

Rob Thomson, managing director, said: “These preliminary metallurgical tests from the recent drilling at Theta Hill show excellent recoveries for conventional milling with cyanide extraction.

“They fit with our plans to recommence gold production using the existing CIL plant fed with high grade, oxidised ore, and we are very encouraged by the high grade drill results and testwork.

“We look forward to continued drilling and establishing an ore reserves in 2018, along with expanding our resource base as new discoveries continue to be made.”

Further commitments for placement

From a funding perspective, the company has received further positive news with commitments for the placement under the share purchase plan shortfall offer.

Proceeds from the placement and attaching options will be used to advance the company’s gold project, as well as covering corporate costs and working capital.

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Wed, 24 Jan 2018 11:18:00 +1100 https://www.proactiveinvestors.com.au/companies/news/190501/stonewall-resources-testwork-indicates-feasibility-of-carbon-in-leach-gold-processing-190501.html
<![CDATA[News - Stonewall Resources raising funds for South African gold projects ]]> https://www.proactiveinvestors.com.au/companies/news/190338/stonewall-resources-raising-funds-for-south-african-gold-projects-190338.html Stonewall Resources (ASX:SWJ) shares been placed in a trading halt pending the release of information regarding a capital raising.

The trading halt will remain in force until the earlier of commencement of normal trading on Wednesday, January 24, 2018 or the release of details regarding the capital raising.

Stonewall has a resource base of 700,000 ounces of gold across its South African projects.

Financing could be applied to a mix of infrastructure development and exploration

The next 12 months is expected to be a year in which it performs background work for future production as well as conducting exploration.

Regards the former, the company plans to work towards establishing infrastructure at its TGME project required to produce at a rate of 100,000 ounces per annum.

Exploration will continue at its Columbia Hill Project, also in Africa, which could be assisted by additional financing.

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Mon, 22 Jan 2018 11:14:00 +1100 https://www.proactiveinvestors.com.au/companies/news/190338/stonewall-resources-raising-funds-for-south-african-gold-projects-190338.html
<![CDATA[News - Stonewall Resources hits shallow high grade gold in South Africa ]]> https://www.proactiveinvestors.com.au/companies/news/190057/stonewall-resources-hits-shallow-high-grade-gold-in-south-africa-190057.html Stonewall Resources Ltd (ASX:SWJ) has received shallow high grade results from first drilling at the Columbia Hill target within its TGME Gold Project in South Africa.

Assay results have confirmed the company’s low capital, open cut strategy for shallow high grade resources at TGME.

The shallow, flat lying reef revealed by the drilling returned results of up to 1 metre at 20.4 g/t gold within an intersection of 8 metres at 4.34 g/t from 23 metres.

Other results include 1 metre at 9.61 g/t from 11 metres and 2 metres at 4.95 g/t from 22 metres.

READ: Stonewall Resources to begin drilling at Columbia Hill target in South Africa

Stonewall has completed 12 reverse circulation holes for 496 metres at Columbia Hill with further assays expected by the end of the month.

After all assays have been received the geological model will be reviewed to integrate all the available information and assist with planning the next stage of work.

This is likely to include diamond drilling to provide greater confirmation for geological modelling and determining a mineral resource estimate.

READ: Stonewall Resources’ drilling reveals gold mining potential at Theta Hill

The Columbia Hill program followed drilling at the nearby Theta Hill target which also confirmed a high grade, gold‐bearing reef at shallow depth.

After estimating resources, Stonewall aims to progress to mine planning and scheduling with a view to potential open cut mining in the shortest possible timeframe.

Within world-renowned gold region

Both targets form part of the open pit strategy at TGME, which is in a world‐renowned South African gold mining region.

TGME is near the historical gold mining town of Pilgrim’s Rest in Mpumalanga province, circa 370 kilometres east of Johannesburg by road.

Existing CIL plant being refurbished

Ore from the open pits would be processed at the existing CIL plant at TGME.

Stonewall is focusing on refurbishing the plant and a number of fully permitted high grade mines at TGME, including Rietfontein and Beta.

Rob Thomson, managing director, said: “2017 was a pivotal year for Stonewall, with an increase in our resource base by over 700,000 ounces, the completion of a scoping study on Rietfontein and Beta mines, and commencement of drilling on our open‐cut strategy.

“We expect 2018 to be equally as exciting for shareholders as we progress our near‐term production plans through a low‐capital, open‐cut strategy.”

The TGME project contains 26.6 million tonnes grading 4.34 g/t gold for 3.7 million ounces of gold.

Stonewall aims to build a solid production platform to more than 100,000 ounces annually based primarily around shallow, adit‐entry hard rock mining sources.

Stonewall assets at TGME project

The company has access to more than 43 historical mines and prospect areas that can be accessed and explored.

Assets at the TGME project include:

• Existing CIL plant and facilities;
• Rietfontein gold deposit (905,000 ounces grading 11 g/t gold);
• Beta gold deposit (1 million ounces grading 6.6 g/t gold);
• Other gold resources to be further developed; and
• Theta Hill/Browns Hill and Columbia Hill exploration targets.

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Tue, 16 Jan 2018 13:40:00 +1100 https://www.proactiveinvestors.com.au/companies/news/190057/stonewall-resources-hits-shallow-high-grade-gold-in-south-africa-190057.html
<![CDATA[News - Stonewall Resources has drill core on the table from Columbia Hill ]]> https://www.proactiveinvestors.com.au/companies/news/189916/stonewall-resources-has-drill-core-on-the-table-from-columbia-hill-189916.html Stonewall Resources Ltd (ASX:SWJ) has material news pending, with the ASX granting the company a trading halt this morning.

Stonewall requested the halt to reveal gold drilling results at Columbia Hill in South Africa, with the program designed to investigate the open cut potential.

Columbia Hill is located immediately to the north of the existing TGME processing plant.

The halt will remain in place until the opening of trade on Tuesday 16th January 2018, or earlier if an announcement is made to the market.

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Fri, 12 Jan 2018 10:35:00 +1100 https://www.proactiveinvestors.com.au/companies/news/189916/stonewall-resources-has-drill-core-on-the-table-from-columbia-hill-189916.html
<![CDATA[News - Stonewall Resources’ drilling reveals gold mining potential at Theta Hill ]]> https://www.proactiveinvestors.com.au/companies/news/189135/stonewall-resources-drilling-reveals-gold-mining-potential-at-theta-hill-189135.html Stonewall Resources Ltd (ASX:SWJ) has confirmed high-grade gold at shallow depths from its first round of drilling at the Theta Hill project in South Africa.

Highlights include 2 metres at 16.5 g/t gold from 25 metres, 16 metres at 2 g/t gold from 22 metres and 5 metres at 6 g/t gold from 11 metres.

READ: Stonewall Resources starts drilling gold reefs in South Africa

Rob Thomson, managing director, said: “The initial results at Theta Hill are highly encouraging, with shallow, high grades confirmed validating our geological modelling.

“The focus here is on potential open‐ cut, oxide gold resources adjacent to the CIL plant, which may be developed quickly, providing cashflow for development of our underground mines such as Rietfontein.

“We look forward to conducting further drilling and work on mine planning into 2018, and will update the market on this strategy further in coming weeks”

Focus on growing the high-grade gold resource at TGME

Theta Hill is part of Stonewall’s TGME project which contains 26.6 million tonnes grading 4.34 g/t gold for 3.7 million ounces of gold.

The company’s focus at TGME is growing the high-grade resource base with forecast gold production from fully permitted mines to begin within 12-18 months of project financing.

READ: Stonewall Resources taps market for near-term gold production

A total of 613 metres were recently drilled for 11 holes aimed to intersect the Bevett’s, Upper Theta, Lower Theta and Beta Reefs.  

The assay results from the first 10 holes have confirmed high‐grade, gold‐bearing reef at shallow depth.

Potential open‐cut mining of shallow high-grade resources

Stonewall is planning to follow‐up the intercepts with diamond drilling to better ascertain the true reef grades and widths along with conducting metallurgical testwork.

Overall, the results from the preliminary drilling is encouraging, with numerous holes intersecting the primary Lower Theta reef target with potential true reef grades of up to 55 g/t gold postulated.

A review of the geological model, following assay results, is underway to integrate all the available information and assist with planning the next stage of work.

Stonewall’s follow‐up drilling is aimed at an updated JORC resource, and ultimately, mine planning and scheduling with a view to potential open‐cut mining of shallow high grade resources.

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Thu, 21 Dec 2017 15:34:00 +1100 https://www.proactiveinvestors.com.au/companies/news/189135/stonewall-resources-drilling-reveals-gold-mining-potential-at-theta-hill-189135.html
<![CDATA[News - Stonewall Resources to begin drilling at Columbia Hill target in South Africa ]]> https://www.proactiveinvestors.com.au/companies/news/188489/stonewall-resources-to-begin-drilling-at-columbia-hill-target-in-south-africa-188489.html Stonewall Resources Ltd (ASX:SWJ) is starting a reverse circulation drilling program at the Columbia Hill target of its TGME Gold Project in South Africa.

The seven-hole program is due to start today with first results expected by the end of December.

Columbia Hill represents a potential high-grade, open‐cut resource, in close proximity to the TGME carbon-in-leach plant at Pilgrim’s Rest.

Potential for bulk mining operations

Field work has noted the existence in old workings of ‘lense’ style mineralisation that has potential to be bulk mined.

This deposit, along with nearby Theta Hill, are some of South Africa’s shallowest gold targets.

READ: Stonewall Resources starts drilling gold reefs in South Africa

At Theta Hill the company is adopting a phased approach to evaluation of the area’s open‐cut potential.

A phase I 11-hole reverse circulation program has been completed with first results expected next week.

The aim is to confirm the concept of a potential open‐cut resource.

Stonewall plans to follow up this program with infill diamond drilling to more accurately record the respective reef width and grades.

It also hopes to progress towards a maiden JORC resource, and ultimately, feasibility studies.

READ: Stonewall Resources taps market for near-term gold production

As part of a prefeasibility study program, Stonewall has also started underground exploration at the old Rietfontein mine.

This includes resource definition and metallurgical investigation work ahead of planned diamond infill drilling.

The company has secured a second access to the ore body which is expected to enhance the gathering of samples.

These will be used for geological and metallurgical purposes.

Plan to resume underground mining

Stonewall’s work has revealed that conditions underground are generally good despite the mine having been closed since the early 1950s.

The team will work their way into deeper parts of the mine to evaluate the work required to re‐establish mining operations.

Drilling is planned at Rietfontein in early 2018, initially from surface, followed by later underground drilling, where appropriate.

The company has also completed 34 auger boreholes to assess the potential of producing gold in the near-term from the TGME Tailings Dam.

Results are pending and will be incorporated in a TGME prefeasibility study.

WATCH: Stonewall Resources opens a share purchase plan to push ahead with South African gold projects

Stonewall’s TGME assets include:

- Existing CIL plant and facilities;

- Rietfontein gold deposit (905,000 ounces grading 11 g/t gold);

- Beta gold deposit (1.0 million ounces grading 6.6 g/t gold);

- Other gold resources to be further developed (3.7 million ounces of gold);

- Theta Hill/Browns Hill exploration targets; and

- Columbia Hill exploration target.

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Fri, 08 Dec 2017 15:25:00 +1100 https://www.proactiveinvestors.com.au/companies/news/188489/stonewall-resources-to-begin-drilling-at-columbia-hill-target-in-south-africa-188489.html
<![CDATA[News - Stonewall Resources starts drilling gold reefs in South Africa ]]> https://www.proactiveinvestors.com.au/companies/news/187616/stonewall-resources-starts-drilling-gold-reefs-in-south-africa-187616.html Stonewall Resources Ltd (ASX:SWJ) has commenced drilling at its Theta Hill project in South Africa, targeting multiple level gold reefs.

Theta Hill is part of Stonewall’s TGME project which contains 26.6 million tonnes grading 4.34 g/t gold for 3.7 million ounces of gold.

The company’s focus at TGME is growing the high-grade resource base with forecast gold production from fully permitted mines to begin within 12-18 months of project financing.

READ NEXT: Stonewall Resources taps market for near-term gold production

In September, Stonewall revealed an exploration target of 3.4 - 5.6 million tonnes at Theta Hill, including a target for the Lower Theta seam of 1.0 - 1.7 million tonnes at 16.6 - 26.6 g/t gold.

Drilling gold reefs to test for open cut mining potential

Stonewall is initially planning 20 reverse circulation (RC) holes for a total of 1,000 metres on the northern portion of Theta Hill. 

This campaign is expected to be completed by mid‐December, with the first assay results anticipated before Christmas.  

Following this first phase of the drilling campaign, the RC rig is scheduled to move to Columbia Hill to complete another 20 holes.

The first phase of drilling at Theta Hill is targeting shallow, high grade gold reefs, which have not had any drilling conducted on them in several decades.

The drilling will target multiple level gold reefs from surface down to between 50 metres and 150 metres, testing for open cut mining potential

Stonewall’s drilling at Columbia Hill is also designed to investigate open cut potential and expedite further investigation and development should initial results warrant progression. 

Both areas offer some of the shallowest gold targets in South Africa today. 

TGME: well-established portfolio of gold assets

Stonewall has a well-established portfolio of gold assets in South Africa. The TGME assets can be divided as follows:

- Existing CIL plant and facilities;
- Rietfontein gold deposit (905,000 ounces grading 11 g/t gold);
- Beta gold deposit (1.0 million ounces grading 6.6 g/t gold);
- Other gold resources to be further developed (3.7 million ounces of gold);
- Theta / Browns Hills exploration targets; and
- Columbia Hills exploration target.

Consulting geologist Phil Bentley appointed as project manager

Phil Bentley has been engaged as the project manager to oversee the drilling program with assistance from the company’s independent geological consultants Minxcon.

Between 1986 and 1995 Bentley worked with Randgold Resources (LON:RRS) and Rand Mines as chief geologist covering the TGME gold fields.

His most recent role was executive (geology and resources), for Asanko Gold Inc (TSE:AKG), responsible for strategic exploration and resource growth for the 200,000 ounces per annum Asanko open cut gold mine in Ghana.

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Wed, 22 Nov 2017 11:57:00 +1100 https://www.proactiveinvestors.com.au/companies/news/187616/stonewall-resources-starts-drilling-gold-reefs-in-south-africa-187616.html
<![CDATA[News - Stonewall Resources taps market for near-term gold production ]]> https://www.proactiveinvestors.com.au/companies/news/186313/stonewall-resources-taps-market-for-near-term-gold-production-186313.html Stonewall Resources (ASX:SWJ) has secured $2.5 million through a share placement to sophisticated and institutional investors based in Australia, the U.S, Singapore and Hong Kong.

131.57 million shares priced at $0.019 and 131.57 million attaching listed options exercisable at $0.03 expiring on October 31, 2020 will be issued.

Funds raised will be used to strengthen the balance sheet and accelerate drilling within the flagship TGME gold project in South Africa.

The focus at TGME is growing the high-grade resource base with forecast gold production from fully permitted mines to begin within 12-18 months of project financing.

In May 2017, a scoping study into the combined development of the Rietfontein and Beta gold mines demonstrated that up to 100,000 ounces per annum gold production is achievable.

TGME contains multiple assets

The TGME project overall contains 26.6 million tonnes grading 4.34 g/t gold for 3.7 million ounces of gold.

The project’s assets can be divided as follows:

- Existing CIL plant and facilities;
- Rietfontein gold deposit (905,000 ounces grading 11 g/t gold);
- Beta gold deposit (1.0 million ounces grading 6.6 g/t gold);
- Other gold resources to be further developed (3.7 million ounces of gold); and
- Exploration targets for open-cut mining.

The Theta Hill and Columbia Hill open pit targets are known as Project Bentley and will be the target of resource definition drilling.

Rietfontein is the most advanced asset

At 11 g/t gold grade resource, Rietfontein is a globally comparable high grade gold asset.

A pre-feasibility study has commenced and a reserve definition drilling program is planned for the current December quarter.

The May 2017 scoping study established Rietfontein with a net present value (NPV) of US$166 million.

READ NOW: Stonewall Resources to open SPP for Rietfontein Gold Mine

The study forecast C1 cash cost estimates of <US$500 per ounce and a low capex cost of US$29 million at peak funding requirement.

Exploration upside opportunities

Stonewall’s pipeline within the TGME project offers good opportunities for upside:

- Rietfontein Mine: High-grade gold deposit, PFS underway;
- Beta Mine: Pre-PFS phase 1 million ounce gold deposit, production targeted in 2 years;
- Glynns, TGME Tailings, Theta: Resource expansion and scoping studies on 1.8 million ounces; and
- Rietfontein extended and other open-pit targets: drilling to target maiden resources.

Drilling is planned for the current December quarter at Project Bentley.

READ NOW: Stonewall Resources' shares rally on low cost, open cut gold mining potential Undervalued compared to its peers

Stonewall Resources is trading at a discount to its ASX listed peers from an enterprise value (EV) per JORC resource valuation.

The company trades at circa A$16 per JORC-compliant gold ounce making it one of the cheapest ASX-listed gold developers using this valuation method.

Comparable peers are trading at circa A$30-$60 per JORC-compliant gold ounce.

WATCH NOW: Stonewall Resources opens a share purchase plan to push ahead with South African gold projects ]]>
Fri, 27 Oct 2017 13:17:00 +1100 https://www.proactiveinvestors.com.au/companies/news/186313/stonewall-resources-taps-market-for-near-term-gold-production-186313.html
<![CDATA[News - Stonewall Resources to lift funds for South African gold ]]> https://www.proactiveinvestors.com.au/companies/news/186142/stonewall-resources-to-lift-funds-for-south-african-gold-186142.html Stonewall Resources Ltd's (ASX:SWJ) core focus is the TGME project in South Africa, which is located in a gold-rich region and has past historical production records.

TGME has an existing CIL plant which is under refurbishment, and the nearby mines such as Rietfontein provide the pathway to gold production potentially in 2018.

Stonewall is now heading to market with a capital raising, and the ASX has granted a trading halt to prepare.

The halt will remain in place until the opening of trade on Friday 27th October 2017, or earlier if an announcement is made to the market.

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Wed, 25 Oct 2017 09:28:00 +1100 https://www.proactiveinvestors.com.au/companies/news/186142/stonewall-resources-to-lift-funds-for-south-african-gold-186142.html
<![CDATA[News - Stonewall Resources outlines revised SPP timeline for South African gold ]]> https://www.proactiveinvestors.com.au/companies/news/185461/stonewall-resources-outlines-revised-spp-timeline-for-south-african-gold-185461.html Stonewall Resources Ltd (ASX:SWJ) is set to lift its cash balance through a Share Purchase Plan (SPP) to advance its South African gold assets.

The company has revised the timeline of the SPP, and a prospectus with all of the details will be dispatched on the 23rd October 2017.

The offer will open the same day as the prospectus is sent to eligible shareholders, and is scheduled to close on the 23rd November 2017, with shares to be issued a week later.

Use of funds

The funds raised will be applied towards the pre-feasibility study for the Rietfontein Gold Mine, as well as drilling across multiple projects.

Stonewall's core focus is the TGME project, which is located in a gold-rich region and has historical production records.

TGME has an existing CIL plant which is under refurbishment, and the nearby mines such as Rietfontein provide the pathway to gold production potentially in 2018.

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Thu, 12 Oct 2017 09:37:00 +1100 https://www.proactiveinvestors.com.au/companies/news/185461/stonewall-resources-outlines-revised-spp-timeline-for-south-african-gold-185461.html
<![CDATA[Media files - Stonewall Resources opens a share purchase plan to push ahead with South African gold projects ]]> https://www.proactiveinvestors.com.au/companies/stocktube/8123/stonewall-resources-opens-a-share-purchase-plan-to-push-ahead-with-south-african-gold-projects-8123.html Fri, 22 Sep 2017 18:19:00 +1000 https://www.proactiveinvestors.com.au/companies/stocktube/8123/stonewall-resources-opens-a-share-purchase-plan-to-push-ahead-with-south-african-gold-projects-8123.html