PERTH (miningweekly.com) – ASX-listed Grange Resources will spend A$15-million on an exploration decline at its Savage River iron-ore project, in Tasmania, to allow for diamond drilling of the North Pit as part of its A$3.5-million prefeasibility study.
The exploration decline will be 5.5m wide and 5.8 m high, and would be some 1 300 m long.
“The commencement of the exploration decline represents a significant milestone in the development of the substantial mineral resource at Savage River,” said Grange CEO Honglin Zhao.
“Our hope is this will provide adequate information to allow us to form a view of the potential of future underground mining below the openpit. While still in the feasibility study stage, these works provide exciting opportunities for the workforce and our community as we look to secure the long-term future of the Savage River operation.”
In addition to the A$15-million spend on the exploration decline, the Grange board has also approved up to A$8-million for the next phase of underground drilling, which will include 19 holes for a planned advance of around 8 800 m.
This drilling programme will start from the exploration decline once it has been sufficiently progressed, in the second quarter of 2019.