PERTH (miningweekly.com) – Gold miner Evolution Mining has reported a 40% increase in the ore reserve at its recently acquired Cowal mine, in New South Wales.
Evolution on Wednesday released an ore reserve estimate of 72.58-million tonnes, grading 0.93 g/t gold for 2.18-million ounces of contained gold. This was up by some 630 000 oz of gold compared with ore reserve estimates made by previous owner Barrick Gold.
Evolution took ownership of the Cowal mine in a $550-million deal in July.
“The potential to increase resources and reserves at Cowal was one of a number of compelling value-enhancement opportunities that attracted us to acquire this world-class asset. The application of Evolution’s gold price assumption of A$1 350/oz has contributed to a significant 40% increase in ore reserves to 2.18-million ounces,” said Evolution executive chairperson Jake Klein.
“By incorporating our gold price and mining cost assumptions, we have also lifted mineral resources by close to 50%.”
The mineral resource at the Cowal mine was now estimated to be some 162.87-million tonnes, grading 0.97 g/t gold for 5.09-million ounces of contained gold.
“Cowal is a high-quality asset and an exceptional cornerstone on which to grow our business. We see potential for future mineral resource and ore reserve upside at Cowal with the application of our exploration expertise to near-mine and regional opportunities,” Klein added.