Burraga Project

EL6463

Consists of approximately 84 square kilometres (28 units) and has within its boundaries the village of Burraga, which is a short distance from the Lloyd’s Copper Mine. The Lucky Draw Gold Mine is located in the north-east sector of the tenement.

The Lloyds Copper Mine produced 19,443 tons of Copper from 469,626 tons of ore implying a recovered grade of 4.14% Cu, between 1880 and 1920, then intermittently up to 1961. The initial focus for copper exploration is the confirmation of extensions to the original Lloyds Mine ore body—see details on Base Metals page.

Historical-Production 1880-1972
Burraga Copper Mine production table from 1880 to 1972

As a result of mining at the Lloyds Mine, and to a lessor extent at nearby mines, there now exists a tailings dump and two slag dumps of up to 350 Kt. The tailings resource contains a drill proven 234Kt @ 1.2% Cu. Metallurgical testing of the tailings confirms a greater than 70% recovery rate from processing of the tailings. The scoping study commissioned assesses the commercial potential of reprocessing the tailings, slag and minor hard rock resources from the surface of Lloyds Mine, and concludes that such a project, subject to further testing and financial investigation, is financially and commercially viable with start-up capital expenditure estimated at $10.8 million, generating a net profit of $75 million over 4.4 years of operation.

The main gold mining production, within EL6463 occurred at the Lucky Draw Gold Mine discovered by Renison Goldfields Consolidated Ltd in 1980 where it mined 1.41 million tonnes of ore at an average grade of 4.2 g/t Gold in the early 1990’s.

Further assessment will be undertaken of the un-mined portion of the Lucky Draw Gold Mine as well as the Hackney's Creek Project. The Company is targeting >500,000 Au ounces at these two locations and repeats of similar style mineralisation elsewhere on the Burraga Granite perimeter. See Gold page.

EL 6874

Consists of approximately 24 square kilometres (8 units) and is located to the east of EL6463. The geological setting of EL6874 is characterised by the Burraga Granite and Rockley Volcanics. Preliminary geophysics and surface geochemistry sampling on the Burraga Granite contact is planned to establish drill-ready targets for Lucky Draw style mineralisation.

EL 7975

Consists of approximately 75 square kilometres (25 units) and is located to the east of EL6874. The western portion of EL7975 covers the eastern portion of the Burraga Granite and Rockley Volcanic intrusions. Preliminary geophysics and surface geochemistry sampling on the Burraga Granite contact is planned to establish drill-ready targets for Lucky Draw style mineralisation.