JSE- and ASX-listed Orion Minerals has reported an increase in the mineral resource estimates for three deposits that form part of the Okiep copper project (OCP), located in the Northern Cape province of South Africa, following a detailed review of the geology and remodelling of the deposits.
A review of the geological interpretation at Flat Mine North, Flat Mine East and Flat Mine South has resulted in improved definition of the mineralised zones, together with an increase in the total mineral resources.
Mineral resources at Flat Mine North, Flat Mine East and Flat Mine South now total 9.3-million tonnes at 1.3% copper for 130 000 t of contained copper including a measured and indicated resource of 7.4-million tonnes at 1.4% copper.
In addition to the previously announced mineral resource of 2.5-million tonnes at 1.4% copper at Flat Mine (Nababeep), Jan Coetzee mine and Nababeep Kloof mine, this brings the total mineral resources within the Flat Mines area of the OCP to 12-million tonnes at 1.4% copper for 160 000 t of contained copper.
Other historical mines and prospects are currently being modelled, with the potential to deliver further growth in the OCP mineral resource.
“Following a detailed geological review, we have been able to deliver an increase in the total mineral resource for the Flat Mines Area and, more importantly, greater confidence in the resource model.
This is a very positive result which has now been incorporated in the bankable feasibility study (BFS) for the OCP,” says MD and CEO Errol Smart.
Orion has now concluded the main body of work for the BFS and is in the process of handing the study to the independent technical expert appointed by the debt adviser for the project on behalf of the Industrial Development Corporation of South Africa and debt financiers who have expressed an interest in funding the project.
The BFS outcomes will be released to the market once the independent technical assessment has been completed.
“While this initial resource has been utilised to support a foundation-stage BFS and economic assessment of the OCP, we are confident in the potential to expand these resources with future drilling into the mineralised envelopes.
“We see outstanding potential to further grow and upgrade the mineral resources with in-fill drilling into areas with low drill density as well as drilling potential plunge and strike extensions of the known deposits,” Smart highlights.
“Most importantly, we are pleased to have concluded the tailings facility design, together with completion of water management plans in order to submit an application for an integrated water use licence. This element of the BFS work has proven to be the most time-consuming due to Orion’s focus on high environmental, social and governance standards,” he adds.