Jasper Hills Scoping Study – Stage 1
Initial 31-month mine inventory of 1.7Mt at 2.0g/t Au recovering 101.1koz generating operating free cash flow of $103.4m
Linden Gold Alliance Limited (Linden or the Company) is pleased to present the summary outcomes of its November 2023 scoping study (Scoping Study) on the recently acquired Jasper Hills Project, which comprises the Fish underground (Fish UG) and Lord Byron open pit (Lord Byron OP) projects (together, the Project).
The Scoping Study evaluates the Project on an ex-mine gate basis with haulage and processing costs included based on conceptual costs based on Linden’s experience in operating on this basis over the past 3 years at its Second Fortune underground mine which has processed 378kt at 3.7g/t at Gwalia via an ore sale arrangement.
KEY HIGHLIGHTS
Physicals
- Mine ready 1.7Mt at 2.0g/t Au delivering 101.1koz over first 31 months.
- Initial low capex, high-grade 4 level underground at Fish UG mining 188kt at 4.4g/t Au
- Concurrent base load ore at Lord Byron open pit Lord Byron OP mining 1.5Mt at 1.7g/t Au
Financials
- Development capital of $9.1m inc. underground development, pit establishment and infrastructure
- First revenue 6 weeks after cutting of portal at Fish UG
- Spot Case operating free cash flow of $103.4m netting project free-cash flow of $88.2m post capex
- Project C1 cash cost of $1,838/oz and All-in sustaining cost (AISC) of $1,984/oz
Resources
- Consistent, well understood orebodies with 4.9Mt at 1.86g/t Au for 292.9koz
- Significant resource expansion upside – both orebodies remain open at depth and along strike.
- Brownfields and Greenfields potential targets on existing and permitted Mining Leases
Development and Mining Program
- Early works, mine definition drilling, permitting revisions, infrastructure – > Dec 23 to Jun 2024
- Potential mine start July 24 subject to Decision to Mine, financial approvals and third-party contracts.
Linden Gold Alliance Managing Director, Andrew Rich commented,
“We are pleased to have completed the Scoping Study on the Jasper Hills project which demonstrated robust economics and excellent returns over a 2-3 year period. The outcomes are incentive for us to advance our development plans for these projects which, in addition to Second Fortune as a base, provides a potential step change in our annual production towards our goal to become a midsize producer in the south Laverton region.”
