Beadell Resources has upgraded its JORC resource at its Tucano project in Brazil by 48 per cent to 4.3 million ounces.
Beadell Resources has upgraded its JORC resource at its Tucano project in Brazil by 48 per cent to 4.3 million ounces.
In a statement to the Australian Securities Exchange, Beadell said the new resource estimate was the result of a 6 month intensive drilling and resource estimation campaign.
"This is a great result for Beadell and exemplifies our belief that the Tucano resource will continue to grow into the future," said Beadell's managing director Peter Bowler.
"We are moving rapidly towards a decision to mine at completion of the DFS at the start of next year and look forward to joining the ranks of mid tier gold producers by early 2012," said Mr Bowler.
Beadell said the global JORC resource for Tucano now totaled 90.4 million tonnes at 1.5 grams per tonne for 4.3 million ounces of gold at 0.5 grams per tonne cut off.
See company statement below:
Beadell Resources Ltd is pleased to announce that JORC resources at the Tucano project have increased by 48 % to 4.3 Moz (Table 1). Global JORC resources for Tucano now total 90.4 Mt @ 1.5 g/t for 4.3 Moz of gold at a 0.5 g/t cut off, comprising 19.5 Mt @ 1.5 g/t gold for 1.0 Moz of oxide which will form the main ore source for the first 3 to 4 years of the operation followed by the primary ore which comprises a resource of 63.6 Mt @ 1.5 g/t for 3.1 Moz of gold.
The global resource comprises Measured Resources from stockpiles of 7.4 Mt @ 0.8 g/t gold for 0.18 Moz. Total Indicated Resources for Tucano are 40.1 Mt @ 1.5 g/t for 2.0 Moz and total inferred resources are 42.9 Mt @ 1.6 g/t for 2.2 Moz.
The new resource estimate is the result of a 6 month intensive drilling and resource estimation campaign completed by Beadell and leading international consulting group SRK Consulting. All resource models have been handed over for mining optimisation work to be completed by the end of this year as part of the Definitive Feasibility Study (DFS), and culminating in the release of a maiden JORC reserve.
Beadell's Managing Director Peter Bowler said "This is a great result for Beadell and exemplifies our belief that the Tucano resource will continue to grow into the future. We are moving rapidly towards a decision to mine at completion of the DFS at the start of next year and look forward to joining the ranks of mid tier gold producers by early 2012"
Urucum - 48.8 Mt @ 1.6 g/t gold for 2.5 Moz
The Urucum deposit is the largest of the known gold deposits at Tucano forming a 3 km long zone of mineralisation hosted in sheared and sulphidised Banded Iron Formation (BIF). Total resources for Urucum are 48.8 Mt @ 1.6 g/t for 2.5 Moz. Urucum has a shallower weathering profile than the other deposits, however significant oxide mineralisation exists along the 3 km strike length totalling 7.7 Mt @ 1.3 g/t for 0.3 Moz. The fresh and free-milling primary ore totalling 41.0 Mt @ 1.6 g/t for 2.2 Moz has been drilled to approximately 500 m below surface where ore grade intercepts remain completely open at depth.
A recently released drill result from the northern end of Urucum of 73.9 m @ 3.9 g/t gold from 114.1 m (see ASX release 5 November 2010) has not been included in the resource estimate highlighting the potential for the resource to increase with ongoing drilling.
Tapereba AB - 25.3 Mt @ 1.5 g/t gold for 1.2 Moz
Taperaba AB is the southernmost deposit along the main 7 km long north-trending mineralized BIF. Total resources for Tapereba AB are 25.3 Mt @ 1.5 g/t for 1.2 Moz of gold. Total oxide resources for Taperaba AB stand at 6.7 Mt @ 1.7 g/t for 0.4 Moz of gold with underlying fresh rock primary resources of 18.6 Mt @ 1.4 g/t for 0.8 Moz of gold.
From south to north over the 2 km strike length, the deposit has been nominally split into 3 zones referred to as Tap AB 1, Tap AB 2 and Tap AB3. A high grade zone referred to as the Trough Zone forms a central lode to the broader deposit where extremely high grade results have been reported recently including 10.4 m @ 25.6 g/t gold and 10.3 m @ 23 g/t gold.
At Tap AB 1 a gently west-dipping lode with very low strip ratio exists where recently reported approximate true width results included 33 m @ 4.3 g/t gold from 4 m and 19 m @ 4.5 g/t gold from 3 m.
Taperaba AB has been drilled to approximately 300 m below surface and remains completely open at depth. The south eastern end of Tapereba AB also remains completely open and is currently being followed up with infill and extensional drilling.
Tapereba C - 6.5 Mt @ 1.2 g/t gold for 0.3 Moz
Taperaba C is located between Taperaba AB to the south and Urucum to the north along the same north-trending BIF unit which forms a continuous mineralised trend over the 7 km length. Total resources for Tapereba C are 6.5 Mt @ 1.2 g/t for 0.3 Moz of gold. The deposit has a deep weathering profile and is dominated by oxide mineralisation.
Tapereba D - 2.4 Mt @ 1.2 g/t gold for 0.1 Moz
Tapereba D is located immediately adjacent to the existing plant site. Mineralisation is hosted in a northwest trending structure splaying off the main northsouth trending BIF that hosts the other deposits. Previous mining of heap leach oxide from Tap D1 and Tap D2 has resulted in remnant mineralisation existing beneath these pits and also in the unmined D3 lode.
Duck Head - 0.1 Mt @ 17.1 g/t gold for 63 koz
The Duck Head deposit is located approximately 6 km southeast of Tapereba AB along the same BIF unit that hosts the gold and also iron ore. The mineralisation is hosted in oxide material and remains open at depth. The extreme high grade nature and the plunging pipe type geometry of the mineralisation highlights the potential for additional extensions and repetitions to be discovered.
Stockpiles - 7.4 Mt @ 0.8 g/t gold for 0.2 Moz
A large inventory of spent ore and low grade stock piles adjacent to the plant site are an important source of ore for future processing. Total resources for spent ore and low grade stock piles are 5.8 Mt @ 0.8 g/t gold for 140 koz and 1.5 Mt @ 0.9 g/t for 44 koz respectively.
Metallurgical testwork completed on these stock piles indicates excellent recoveries averaging 90 % for the spent ore.
