- Hillgrove Resources (HGO) lifts the copper mineral resource estimate (MRE) for the Kavanagh deposit located at Kanmantoo in South Australia
- The MRE has been increased 13 per cent to 61,000 tonnes at 1.1 per cent copper, reflecting assays from the 2021-2022 drilling program at Kavanagh
- Hillgrove says the updated MRE continues to confirm the economic potential for an underground mine
- The company will now complete an updated economic assessment based on this updated resource and will continue drilling to expand the mineral resource
- Hillgrove was in the grey and trading at 6.6 cents per share
Hillgrove Resources (HGO) has lifted the copper mineral resource estimate (MRE) for the Kavanagh deposit located at Kanmantoo in South Australia.
The MRE has been increased by 13 per cent to 61,000 tonnes at 1.1 per cent copper.
According to the company, 77 per cent of the Kavanagh Resources are now classified as measured and indicated, including 14 per cent of the minerals resource now classified as measured.
The new update includes the results from the 2021-2022 drilling program at the deposit.
“The latest drilling has increased the Kavanagh MRE in both size and geological confidence. We expect the mining inventory to grow as these results are incorporated into the mine plan,” CEO and Managing Director Lachlan Wallace said.
“The upgrade in resource classification reflects the increased drill hole density in the upper levels of Kavanagh. Increasing the geological confidence in this area is a noteworthy achievement as these levels are mined early in the plan and determine the recommencement of processing and early cash generation.”
Hillgrove said the updated MRE continues to confirm the economic potential for an underground mine.
The company will now complete an updated economic assessment based on the 2022 resource estimate and will continue to drill to expand the mineral resource.
On the market, Hillgrove was trading 1.52 per cent higher at 6.7 cents per share at 12:27 pm AEST.