Join our daily newsletter At The Bell to receive exclusive market insights
- Xanadu Mines (XAM) updates its copper-gold resource estimate at the Mongolian-based Kharmagtai mine to 1.1 billion tonnes
- XAM updated the previously recorded figures from 2018 and increased the estimate for copper by roughly 50 per cent and gold by 80 per cent
- Since the 2018 estimate, the company has conducted a total of 120 diamond drill holes to the depth of 69 479, growing the average resource estimate by 11Mt of CuEq per month
- XAM claimed a strong exploration upside remains because only 30 per cent of the eight-kilometre long Kharmagtai Intrusive Complex has been surveyed
- Xanadu shares are up by 3.85 per cent and are trading at 2.7 cents apiece
Xanadu Mines (XAM) has updated its copper-gold resource estimate at the Mongolian-based Kharmagtai mine to 1.1 billion tonnes.
XAM updated the previously recorded figures from 2018 and increased the estimate for copper by roughly 50 per cent and gold by 80 per cent.
According to XAM, the material upgrade of the high-grade core to 100 megatons at 0.8 per cent copper equivalent (CuEq) at a 0.55 per cent CuEq cut off.
Since the 2018 estimate, the company has conducted a total of 120 diamond drill holes to the depth of 69 479 metres which grew the average resource estimate by 11Mt of CuEq per month.
XAM claimed a strong exploration upside remains because only 30 per cent of the eight-kilometre long Kharmagtai Intrusive Complex has been surveyed.
“This is a major milestone for Xanadu and positions Kharmagtai as one of the largest undeveloped copper and gold resources on ASX, and one of the biggest globally,” CEO Dr Andrew Stewart said.
“A significant increase in gold to copper ratios has resulted in a greater than 80 per cent increase in contained gold, which means higher by-product credits that will be reflected in lower all-in sustaining costs.
“The high-grade core and high gold to copper ratios of the Kharmagtai system are likely to be very important to future project economics, as they provide a degree of optionality for mine development that is not often seen in mining projects of this nature”.
Xanadu shares have raised 3.85 per cent and were trading at 2.7 cents apiece at 12:52 pm AEDT.
