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WPG upgrades Tunkillia resource

4th February 2015

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – A review of ASX-listed WPG Resources’ Tunkillia gold project, in South Australia, has resulted in an enhanced resource estimate that would allow for a greater degree of flexibility when considering development options.

WPG noted that, as part of its review, the company recast the resource estimate using a more realistic cutoff grade, which, as expected, reduced the tonnage but increased the average grade.

A previously published resource estimated that the 223 deposit at the Tunkillia project hosted some 26.3-million tonnes, grading 1.04 g/t gold, using a 0.5 g/t cutoff grade.

Following the review, the deposit was now estimated to host some 12.32-million tonnes, grading 1.41 g/t gold. WPG noted that the total estimated resource grade was now some 36% higher than previously reported.

The ASX-listed company told shareholders that it would now conduct an in-depth review of the potential development scenarios, including optimisation studies.

The results of these studies would set the platform for WPG to redefine the project parameters and to advance a new exploration and development strategy for the Tunkillia project.

Edited by Creamer Media Reporter

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