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Castle Hill delivers more resource for Phoenix

11th September 2013

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Junior Phoenix Gold has reported a 75% increase in the mineral resource of its Stage 1 project at Castle Hill, in Western Australia.

The Stage 1 project was now estimated to contain some 21.79-million tonnes of ore, grading 1.6 g/t for 1.13-million ounces of contained gold. Phoenix noted that over 70% of the contained metal was in the indicated category.

The combined resource for the Castle Hill project now stood at 30.95-million tonnes, grading 1.6 g/t for 1.6-million ounces of gold. This was a 37% increase on the previous contained metal estimate, with 52% of the resource classified as measured and indicated.

MD Jon Price said on Wednesday that the resource update clearly demonstrated the robust nature of the mineralisation that was conducive to large-scale, low-cost opencut mining from surface.

“As we continue to grow the resource, along strike and at depth, of Stage 1, Stage 2 and beyond, the updated geological model will be the subject of an independent openpit reserve study,” said Price.

He added that this would deliver an updated reserve position, mining schedule and development plan as part of the definitive feasibility study, that was due for completion in December this year.

Edited by Creamer Media Reporter

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