Bellevue Gold Ltd (ASX:BGL) has outlined its achievements during the March 2019 quarter during which the Bellevue Gold Project has been established as a large, high-grade WA gold project with significant scope for more growth.
The highlights of the quarter include:
Resource growth
Total inferred resource at the Bellevue Gold Project rose 23% to 6.1 million tonnes at 11.3 g/t for 2.2 million ounces.
The increase stemmed from the maiden resource at the Deacon Lode of 410,000 ounces at 12.3 g/t.
The Deacon Resource covers the central 900 metres of the recently extended 2 kilometres mineralised strike with numerous high-grade intersections still outside the resource awaiting closer-spaced drilling
Infill drilling completed
Bellevue completed the first phase of an infill drilling program ahead of schedule and on budget, putting Bellevue on track for a maiden indicated resource in June.
The infill drilling returned a host of high-grade intersections and supports the existing inferred resource model.
World’s largest resources fund emerges with 10% stake
Bellevue raised $26.5 million from a share placement during the quarter which saw the world’s largest resources fund, Blackrock, emerge with a 10% stake in the company.
The company is well funded with $37.8 million in cash as at March 31, 2020.
Project development
- Strong progress has been made with dewatering of the historic Bellevue underground; this process is on track and within budget.
- Dewatering of the Bellevue underground mine will deliver significant benefits, including:
- Access to +28,000m of existing underground mine development;
- Significantly lower costs for drilling M&I category resources;
- Lower cost and more rapid drilling of Deacon and Mavis Lode discoveries;
- Access for drilling resource extensions to the south and across the project; and
- Development ready for future mining options.
- Desktop studies highlighted the potential for multiple starter open pits which could generate early cashflow based on shallow, high-grade mineralisation.
Exercise of options by managing director
Managing director Steve Parsons exercised 20 million Bellevue options at a total cost of $775,000.
This includes 15 million options with an exercise price of 4 cents and 5 million options with an exercise price of 3.5 cents.
As a result, Parsons now holds 30 million Bellevue shares, making him a top-ten shareholder in the company.
Parsons said he has grown his shareholding to ensure he participated fully in the company’s future growth on the back of the Bellevue Gold Project.