New Talisman raises $4.7m, embarks on bulk sampling programme

5th July 2016 By: Samantha Herbst - Creamer Media Deputy Editor

JOHANNESBURG (miningweekly.com) – ASX-listed junior New Talisman has successfully raised $4.69-million through the issue of about 905-million shares, enabling the miner to transition from explorer to developer as it embarks on a bulk sampling programme at Talisman mine, in New Zealand’s Hauraki goldfield.

“This result is one of the more successful raisings by a junior miner in New Zealand this year and supports the attractiveness of the Talisman project in a very competitive market for investor funds,” said New Talisman CEO Matthew Hill, adding that the completion of the rights issue enabled the company to bring the “historically productive” mine back into production.

Work on the trial mining programme was now under way, starting with the purchase of equipment and the finalisation of the remaining module on health and safety, which was due to be lodged in the coming weeks.

With funding for the project now secured, New Talisman initiated the first steps towards extracting ore from the underground workings of the mine. This ore was planned to be sourced from two of the mines’ most promising mineral resource blocks, namely the Mystery and Dubbo blocks.

These first steps towards mine production involved ensuring safe access for vehicles and personnel to mine the site through implementing the controls set out in the company’s traffic management plan for upgrading the access road.

New Talisman would immediately action the design works with the aim of starting construction in this quarter.

Once the road to the site was upgraded, the company would proceed with securing and equipping the mine site. Services reticulation equipment would be transported to site and installed, along with demountable office accommodation.

Construction of the ventilation lock and primary fan installation would follow, along with the installation of the explosives magazine and the construction of surface-ore handling facilities.

With these in place, the refurbishment of the mine’s tunnels and the installation of underground services could begin.

Refurbishment and equipping was expected to take about six months. During this time, New Talisman would instal modern support systems in a number of areas, construct a series of ventilation controls to manage the flow of air through the mine workings, and construct the underground water handling system.

With these systems in place, production of ore from the Mystery vein through drill and blast methods could start.