Bardoc Gold Ltd (ASX:BDC) chief executive officer Robert Ryan outlined the company's next steps and path towards production in a presentation to investors at the Resources Rising Stars Virtual Investor Lunch Series.
The company is developing the +3 million-ounce Bardoc Gold Project in WA’s eastern Goldfields.
A pre-feasibility study (PFS) released in March 2020, forecast average annual production of 135,000 ounces at an AISC of $1,220 per ounce over an initial 8-year mine life.
Bardoc Gold has reported global mineral resources for the project of 49.9 million tonnes at 1.9 g/t gold for 3.02 million ounces of contained gold.
Ryan drew a comparison to peers including Breaker Resources NL (ASX:BRB), Ora Banda Mining Ltd (ASX:OBM) and Kin Mining NL (ASX:KIN) on an enterprise value (EV) per resource and reserve ounce scale, highlighting a substantial opportunity to grow the mining reserves and mineral resources and through ongoing exploration.
Currently, Bardoc Gold is focused on completing the definitive feasibility study (DFS) by the first quarter of 2021 with the aim of beginning mining and construction in quarter three of 2021.
A comprehensive timeline has been established with key highlights and milestones:
Mining consultants Entech Pty Ltd have been engaged to complete further optimisations of the Excelsior, Zoroastrian and Aphrodite pits.
The optimisations were conducted using the updated costs included in the recently released PFS as well as testing variances in gold prices at A$2,000 and A$2,500 per ounce.
Ryan said: “With optimisation also to be conducted on our key satellite deposits, the Bardoc Gold Project has all the ingredients to be a truly long-life mining operation.”
Additional open pit and underground studies will be conducted over the coming months to increase the ore reserves within the current 3-million-ounce mineral resource.
Ryan highlighted the ongoing geophysical groundwork activities at North Kanowna Star and Mayday North as well as the finalisation of assays from a recent diamond core drilling program at Zorastrian.
He said metallurgical test work was progressing well for Aphrodite ores and the evaluation of optimisation work and further mining studies were continuing.
In terms of discovery, the company holds a 250 square kilometre land package with little modern expansion – resource extension drilling will continue at May North and North Kanowna Star and geophysical surveys are also underway.
Ryan said merger and acquisition opportunities still existed with the potential to add quality ounces within economic haulage distance to the Bardoc Gold Project.
Discussions to secure binding finance proposals prior to the final investment decision also continue to progress.