Name of the Project
Warrawoona gold project.

Location
Pilbara, Western Australia.

Project Owner/s
Calidus Resources.

Project Description
The Warrawoona project is a high-margin gold operation, with average gold production estimated at 90 000 oz/y over an initial eight-year mine life.

The project has a global resource of 43.7-million tonnes grading 1.06 g/t gold for 1.5-million ounces.

The project includes a two-million-tonne-a-year conventional carbon-in-leach processing circuit with a single-stage crushing and semiautogenous grinding mill.

Calidus’ acquisition of the high-grade Blue Spec mine provides immediate opportunity to expand production and free cash flow at the project. The proposed expansion could expand production to 130 000 oz/y on construction of a sulphide plant.

The definitive feasibility study and integration plan are being undertaken in parallel with the construction of Warrawoona.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of A$408-million and an internal rate of return of 81%, with a payback of 13 months.

Capital Expenditure
The project has a capital cost of $120-million, including contingency and preproduction mining costs.

Planned Start/End Date
First production started in May 2022.

Latest Developments
Calidus Resources has declared commercial production at Warrawoona.

The processing plant is now operating at nameplate capacity, with the project averaging 235 oz/d for the last third of December.

“We are now focussing on fine-tuning operations to increase throughput rates and production and we look forward to releasing guidance later this month,” Calidus MD Dave Reeves has said.

Warrawoona is expected to produce up to 105 000 oz/y of gold, but could potentially produce up to 139 000 oz/y when the nearby Blue Spec deposit is developed.

Key Contracts, Suppliers and Consultants
Optiro Consultants, Lynn Widenbar and Associates (mineral resource estimate); Rapallo, Biologic, Woodman, Sticks and Stones, Total Heritage, Nyamal Heritage, Bat Call, Graeme Campbell and Associates, Mine Earth, Lloyd George Acoustics (environmental base line studies and project permitting); Peter O’Bryan and Associates, ATC Williams (geotechnical); ATC Williams (tailings storage facility); Groundwater Resource Management, or GRES (hydrology and hydrogeology, and process plant engineering, procurement and construction contract); GR Engineering Services (processing plant); GRES, Metallurgy Management Services, Nagrom, ALS, BV (metallurgy and testwork); GRES, Aerodrome Management Services (infrastructure); Intermine Engineering Consultants, Entech and Galt Mining (mining); Macmahon Holdings (openpit mining and tailings dam); Rangecon (village install); and Telstra (communication).

Contact Details for Project Information
Calidus Resources, email info@calidus.com.au.