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Aeris Resources (ASX:AIS) updates MRE for Budgerygar deposit

ASX News, Materials
ASX:AIS      MCAP $251.5M
01 December 2021 12:14 (AEST)

Ore Processing. Source: Aeris Resources

Aeris Resources (AIS) has updated the mineral resource estimate for its Budgerygar deposit, located within the Tritton tenement package in New South Wales.

The company completed a resource definition drill program that targeted mineralisation within the upper 250 metres of the known mineralised system.

From this, a total of 76 resource definition drill holes were used to update the geological interpretation and increase the confidence in the resource model.

The results have seen a 15 per cent increase in both tonnage and contained copper
metal at the reported cut-off grade of 0.8 per cent copper.

Aeris has updated the MRE to the indicated category with 2.6 million tonnes at 1.48 per cent copper for 38,700 tonnes of copper metal.

The resource definition drill program is ongoing and is now targeting the deeper
extents of the Inferred Mineral Resource.

The Budgerygar deposit is only 600m from the Tritton underground mine infrastructure and begins 70m below surface, thus the cost and time to put it into production are much lower than for a new stand-alone mine, according to Aeris’ Executive Chairman, Andre Labuschagne.

Mr Labuschagne said the cost and time to bring it into production will be significantly lower compared to a new stand-alone mine.

“Our immediate focus is to continue the resource drilling program over the
remainder of the Inferred Mineral Resource,” he said.

“However, the deposit remains open at depth and in financial year 2023 we intend to drill a couple of deeper holes to get a better understanding of potential continuity of the deposit at depth.”

The company has targeted first development ore for the March quarter of financial year 22, and first ore from stoping targeted in the June quarter.

Shares were trading 4.8 per cent higher at 16.3 cents at 12:10 pm AEDT.

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