Name and Location
Thunderbox gold project, Australia.

Client
Saracen Mineral Holdings.

Project Description
A feasibility study on Stage 1 of the Thunderbox operations has shown robust economics over an initial 4.5-year mine life. It further envisages the development of a large openpit on the Thunderbox deposit, delivering 597 000 oz.

The start of mining will coincide with the completion of the Whirling Dervish openpit, allowing for a seamless integration between operations.

Several opportunities exist to extend the project life beyond Stage 1, including a bulk underground mine at Thunderbox and satellite openpit opportunities.

Stages 2 and 3 could potentially extend production to more than one-million ounces over an eight-year mine life at an average production rate of 126 000 oz/y.

Net Present Value/Internal Rate of Return
Stage 1 has a net present value, at an 8% discount rate, of A$120-million and an internal rate of return of 59%.

Value
A$65-million.

Duration
The project was slated to produce its first gold in June 2016.

Latest Developments
Commissioning of the 2.5-million-tonne-a-year processing facility at the Thunderbox gold project has started.

The first ore has been introduced into the grinding circuit, after the refurbishment of all key areas of the processing plant, crushing, grinding and classification, leaching and adsorption.

“We remain positioned to complete commissioning and ramp-up to steady-state output ahead of the schedule and budget outlined in our March 2015 feasibility study,” MD Raleigh Finlayson has said.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
The project is ahead of schedule and within budget.

Contact Details for Project Information
Saracen Mineral Holdings, tel +61 8 6229 9100 or fax +61 8 6229 9199.