- 18 per cent increase in its Mt Gibson Gold Project’s Mineral Resource Estimate, reaching an impressive 3.24 million ounces
- Ongoing drilling efforts have contributed to the growth
- Further expansions planned
- “3.2 million ounces is a fantastic validation of the quality of the project”
- CMM last traded at $4.63 at 11:00am AEDT
Capricorn Metals shares are reflecting modest gains in the second hour of trade as it increases its gold mineral resource estimate by 18 per cent to 3.24 million ounces (Moz) of gold.
That figure grows what was formerly a 2.75Moz resource.
The company’s drilling efforts at MGGP since obtaining tenure in December 2021 have led to 1.16 million ounces of gold increase – that’s 56 per cent growth in just two years.
Futher expansion tipped
The updated MRE shows 2,655,000 ounces of gold now classified in the mid-confidence level Indicated ranking, reflecting a 26 per cent boost from the November 2022 MRE.
This development sets the stage for an update to Capricorn’s 1.45Moz Ore Reserve Estimate in FY24.
The MRE’s average vertical depth of 170 metres leaves room for further resource expansion and conversion of Inferred resources through continued drilling along the 8km resource strike.
New mining camp on cards
Regulatory approval has been secured for a new mining camp, prompting the order of 400 accommodation units and associated infrastructure, aligning with an existing DFS estimate of $30 million.
“The increase in the Mt Gibson gold resource to 3.2 million ounces is a fantastic validation of the quality of the project we acquired just over two years ago,” Capricorn Executive Chairman Mark Clark said.
“This move accelerates project design alongside the receipt of permits, optimising the overall development timeline.”
CMM last traded at $4.63 at 11:00am AEDT