JOHANNESBURG (miningweeekly.com) – Gold junior Empire Resources has signed a memorandum of understanding (MoU) with Golden Mile Milling for the toll treatment of ore from its Penny’s Find gold deposit, in Western Australia.
The ore would be processed at Golden Mile’s Lakewood mill, located on the southern outskirts of Kalgoorlie Boulder and about 63 km by road from Penny’s Find, Empire reported on Tuesday.
The MoU, which outlined industry standard terms and conditions for the batch treatment of ore, was still nonbinding, but ASX-listed Empire said that it was intended to form the basis of a formal binding agreement.
A bankable feasibility study for the Penny’s Find project was expected to be completed by mid-June, after which Empire would finalise negotiations with mining contractors.
Last month, the Western Australian government gave its approval for mining to start at Penny’s Find.
The project currently has an ore reserve of 146 000 t, grading 4.62 g/t gold for 21 700 oz and a resource estimate of 470 000 t, grading 4.42 g/t gold for 66 800 oz.