PERTH (miningweekly.com) – The Northern Territory government has green-lit the Fountain Head gold project.
ASX-listed PNX Metals on Friday reported that the Northern Territory’s Minister for Environment, Climate Change and Water Security had granted environmental approval for the development of the Fountain Head project, allowing the company to submit a mining management plan to the Department of Industry, Tourism and Trade for assessment.
The submission is expected during March this year.
“The grant of environmental approval for the Fountain Head gold project is the culmination of a significant body of work, and a milestone event in PNX’s Pine Creek integrated development strategy,” said PNX MD James Fox.
“The project team is now focused on completing and submitting Mine Management Plans, and progressing approvals for the Hayes Creek zinc/gold/silver project. Near-mine and regional exploration will re-start shortly with a focus on two newly identified highly prospective ‘gold’ corridors containing multiple high-priority drill targets on our northern leases.”
A 2021 prefeasibility study into the Fountain Head and Hayes Creek projects estimated that the project development would cost A$46-million. The study envisaged an initial gold mining and processing operation at Fountain Head, which would be followed by a gold/silver/zinc operation at Hayes Creek.
The study estimated that revenues of A$972-milion would be generated over a mine life of ten years, with the project’s pretax net present value estimated at A$171-million and its internal rate of return at 63%.