Welcome to GME Resources Limited - an emerging Australian nickel company
NiWest Nickel-Cobalt Project Mineral Resource Update (JORC 2012)
81 million tonnes at 1.03% Nickel and 0.06% Cobalt (0.8% Nickel Cut off Grade)
GME Resources Limited (“GME”) is pleased to advise that an updated Mineral Resource Estimate, compliant to JORC 2012 has been completed for GME’s 100% owned NiWest Nickel-Cobalt Project.
The resource update highlights the significance of the NiWest Project which is estimated to contain 830,000 tonnes of nickel metal and 52,000 tonnes of cobalt. The project is at an advanced stage and hosts one of the largest undeveloped Nickel and Cobalt resources in Australia.
GME Resources is a Perth-based nickel exploration company focused on the development of its 100%-owned NiWest Nickel-Cobalt Project, located in the Leonora district of Western Australia.
The NiWest Project is located adjacent to Glencore’s Murrin Murrin Nickel operations in the North Eastern Goldfields of WA. The project is situated in a semi arid region that is well serviced with existing infrastructure such as rail, gas pipeline, optic fibre communications, arterial bitumen roads and nearby established mining towns.
The Mineral Resource Estimate completed in February 2017 highlights the significance of the NiWest Project, which is estimated to contain 830,000 tonnes of nickel metal and 52,000 tonnes of cobalt. The project is at an advanced stage and hosts one of the largest undeveloped Nickel and Cobalt resources in Australia.
GME and its subsidiary Golden Cliffs NL own a number of prospective gold projects in the Leonora–Laverton region which have potential to provide near term cash flow.
After completing a Trial pit at the company's 100% owned Devon Gold Mine, expansion of the mine design was approved in the March 2016 quarter, with the first batch or ore processed 11th April.
Steady progress has been made over the June 2016 quarter. To date, approximately 75% of the total volume (450,000 bank cubic metres - inclusive of waste & ore) has now been mined. Four batches of ore totalling 28,100 wet tonnes (42% of total ore) have been processed through the Saracen’s Carosue Dam processing facility.
Sale of gold ore from Batches 1 through 4 have been finalised. The gold price applicable to respective ore sales is determined by the monthly average price as set by the DMP mineral royalties division. The average gold price for the months of April and May were AUD$1620.46 and AUD$1721.36 respectively. Funds from these sales have been received and are included in the financial results reported for the quarter and reflect the positive influence that the Devon mining operation is having on the Company.
By the end of the June quarter significant waste material had been removed from the western wall of the pit down to the main pit floor currently at 23.5 metres below surface (i.e. 374 mRL). For the remainder of the campaign at Devon the strip ratio has reduced significantly allowing access to the remaining higher grade ore and the further development of the pit to its maximum depth of 45 metres.
At the end of June approximately 55,000 BCM’s (roughly 148,570 tonnes) in total remain to be mined from the pit and includes a forecasted 25,000 wet tonnes of high grade ore averaging 6.3 g/t.
Mining of the Devon pit is expected to be completed by mid August with all ore planned to be processed by the end of the September Quarter.
At the end of the quarter four batches of ore have been processed at Saracen’s Carosue Dam processing plant. A total of 26,300 dry tonnes have been treated – the final agreed tonnes and grade of the individual batches are listed below: -
- Batch 1 – 5,832 dry tonnes averaging 4.14 g/t April – Gold Sale Price $1621.46
- Batch 2 – 9,633 dry tonnes averaging 3.61 g/t April – Gold Sale Price $1621.46
- Batch 3 – 6,244 dry tonnes – averaging 6.26 g/t May – Gold Sale Price $1721.36
- Batch 4 – 4,579 dry tonnes – averaging 6.43 g/t May – Gold Sale Price $1721.36
Processing recoveries, determined from metallurgical testwork minus a processor’s deduction, for ore batches have been extremely good ranging from 90.1 to 94.2%.
Review of Gold Assets
GME has commenced reviewing the potential of its gold prospects outside of Devon, in particular within the, Abednego, Laverton Downs Project and Hawks Nest areas. In addition to current Project areas GME will also be pursuing other opportunities within the North-eastern Goldfields of WA. Post the end of the quarter, GME has entered into an agreement with Zeta Resources.