MT GUNSON – RESOURCES AND RESERVES

The currently contemplated mining strategy for MG14 and Windabout mineral deposits is based on the shallow depth, free dig overburden, and their sheet-like and sub-horizontal structure. The MG14 orebody would likely be mined first due to its higher grades and shallow depth while Windabout, with a lower head grade, longer life, and higher stripping ratio would likely be mined subsequently.

The MG14 deposit is a concealed, flat lying body of disseminated copper sulphide mineralisation at 25m depth. It is oriented east-west and is approximately 1,400 m long by 400 m wide with a varying thickness between 3 to 8 m. A JORC 2012 compliant resource was estimated by T. Callaghan in June 2013 with a cut-off grade of 0.5% Cu and an average specific gravity of 2.5.

The Windabout deposit is similar in style to MG14 with copper sulphide mineralisation dipping approximately 5° to the north-east and varying in depth from 55m to 80m. The deposit is elongated east-west and is approximately 2,000 m long by 1,000m wide with varying thickness between 3 to 8 metres.

 

The MG14 deposit has a 2012 JORC resource classification [1]

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The Windabout deposit has a 2004 JORC resource classification which will require updating to comply with 2012 JORC standards [2]

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Mt Gunson mineral deposit competent person statements