Perth-based Batavia Mining Ltd's announcement of a 130 per cent increase in the size of its Gullewa Gold-Copper project in Western Australia has seen the diversified resources company's share price soar.
Perth-based Batavia Mining Ltd's announcement of a 130 per cent increase in the size of its Gullewa Gold-Copper project in Western Australia has seen the diversified resources company's share price soar.
The company's shares were trading up as much as two cents or 50 per cent to six cents on the back of the news.
Below is the full announcement:
Diversified resource group Batavia Mining Ltd (ASX: BTV) has taken a further step towards the
development of its 100 per cent owned Gullewa Gold-Copper Project in Western Australia with the
announcement today of a significantly upgraded classified mineral resource estimate for the
main Deflector deposit.
The new resource calculation, prepared by Snowden Mining Industry Consultants, follows completion of
a deep drilling program at the Deflector deposit during the second half of 2005, including testing down
dip extensions to the West and Central lodes, and estimates the total resource for the Deflector gold-
copper project at 2.65 million tonnes at 6.04 g/t gold and 1.23 per cent copper containing 775,000 gold
equivalent ounces.
The new estimate represents a 130 per cent increase in total mineral resource tonnes and a
140 per cent increase in gold equivalent ounces when compared with the previous estimate of 1.14 million
tonnes at 6.2g/t Au and 1.3 per cent Cu containing 322,000 gold equivalent ounces prepared in February 2005
by Snowden.
Batavia's managing director Greg Durack said this was an outstanding result with the 140 per cent
increase in gold equivalent ounces from 322,000 ounces to 775,000 ounces, with a corresponding 130 per cent
increase in resource tonnes.
"The recently completed drill program successfully tested resource extensions to 300 metres vertical
depth with the West and Central lodes remaining open," he said. "A metallurgical testwork program on
the oxide and transitional material from the Deflector Gold-Copper Project, is now nearing completion
with a definitive outcome expected to be announced in the near future."
"The necessary mining and economic studies will follow with Batavia committed to bringing the
Deflector Gold-Copper Project into production as soon as possible" Mr Durack added.
Batavia is also progressing its Exploration Licence applications over advanced identified uranium targets
east-northeast of Alice Springs in the Northern Territory having recently finalized a $2.7 million rights
issue to underpin its exploration and development programs for the next 24 months.
