Stavely to Assess Potential Low-Cost Copper Production with Scoping Study at Thursday’s Gossan

July 19, 2016

Conceptual study demonstrates positive economic outcome and acceptable rate of return on investment at realistically assumed costs and commodity/currency pricing with a number of areas identified to potentially improve the projected economic outcomes

Highlights

  • Stavely Minerals completes a positive conceptual study to evaluate the potential to unlock the value of the chalcocite-enriched supergene blanket at Thursday’s Gossan, part of its 100%-owned Stavely Copper-Gold Project in Western Victoria.
  • This supergene zone hosts a Mineral Resource containing some 110,000 tonnes of copper in an estimated 28Mt of Inferred Resources averaging 0.4% copper1.
  • The chalcocite blanket is a tabular, flat-lying body of copper sulphide mineralisation, typically of 40m vertical thickness and commencing between 30-40m below surface and extending to some 80m below surface.
  • The conceptual study revisited a 2008 Scoping Study by Beaconsfield Gold NL due to the significant change in the A$/US$ exchange rate since that work was done.
  • The Thursday’s Gossan copper deposit is transected by a regional rail line, which connects it directly to the Victorian port of Portland, and has the benefit of proximity to other well-developed road access and power infrastructure.
  • The conceptual study used updated assumptions to investigate ranges of economic outcomes for the project, in terms of net revenue, Net Present Value and Internal Rate of Return, that are considered to provide sufficient encouragement to progress to a Scoping Study.
  • Areas for investigation which could further enhance the projected economic returns from potential copper concentrate production include:

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