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.