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Torian Resources Ltd

Torian Resources' scoping study outlines viable open pit gold mining at Mt Stirling project in WA

The company’s project is about 10 kilometres northeast of Red 5’s King of the Hills gold deposit.

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The scoping study was managed by Minecomp Pty Ltd with inputs from BM Geological Services Pty Ltd and Torian

Torian Resources Ltd (ASX:TNR) has outlined a viable open pit mining scenario in a recently completed scoping study for its Mt Stirling Gold Project near Leonora in Western Australia.

The study focused solely on open pit mining of the project’s existing inferred resource, amounting to 981,000 tonnes at 1.6 g/t across both Mt Stirling and Mt Stirling Well deposits and containing a total of 50,300 ounces of gold.

“Clear potential for significantly increased cash flow”

Torian managing director Mark Borman said the scoping study results, using reasonable assumptions, were highly encouraging.

He said: “The project currently shows a relatively short open pit mine life, but there is clear potential for significantly increased cash flow through increases in mine life, which we expect to achieve through the company’s future resource definition programs.

“Further substantial upside could be unlocked by improved mine scheduling, increased economies of scale, inclusion of low capital cost heap leaching of low-grade mined material and potentially improved recoveries within the sulphide material.”

Results justify next stage of development

The scoping study assumes a conventional truck and excavator operation mining open pits to a maximum depth of 40 metres, a gold price of $1,700 and trucking to a nearby third-party plant for processing through a tradition carbon-in-pulp circuit.

Torian believes the positive Mt Stirling scoping study results justifies committing to the next stage of its exploration and development program.

Multiple options to monetise the project are being investigated by the gold developer, including potential funding avenues, joint venture opportunities and an outright sale.

Value-add work programs

Further work programs being planned at Mt Stirling are expected to add value to the project by defining additional resources and including them in the proposed mine schedule.

Value will also be added by confirming and optimising metallurgical characteristics and Torian plans to assess other value-add opportunities including:

  • Inclusion of low-cost heap leach processing of low-grade mined material;

  • Addition of new resources;

  • Ore sorting trials to upgrade ore prior to dispatch to milling facility; and

  • Longer-term open cut and underground mining.

Quick facts: Torian Resources Ltd

Price: $0.02

Market: ASX
Market Cap: $5.05 m
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