Nagambie Resources Limited (ASX: NAG) is thrilled to report a significant update to the JORC Inferred Resource at its high-grade gold-antimony Nagambie Mine. The revised figures showcase a dramatic enhancement in both resource quantity and grade, underpinned by a robust pricing environment for both gold and antimony.
Substantial Resource Enhancement
The updated resource estimation reflects a 110% increase in gold equivalent ounces, totaling 322,000 AuEq oz, and a remarkable 61% rise in average grade to 18.6 g/t AuEq. This substantial uplift is primarily due to recent spikes in commodity prices and a re-evaluation of the mine’s cut-off grade, now set at 4.0 g/t AuEq, a decrease of 20% from previous estimates.
Exploration and Drilling Outlook
Following these promising updates, Nagambie is set to commence an aggressive drilling program targeting the western end of the N1 lode, identified as a high-potential area with good geological continuity. This program aims to expand the known resource vertically and horizontally, exploring the potential at depths comparable to neighboring mines like Fosterville and Costerfield, which have reached depths of around 1,000m.
Comments from Chairman Kevin Perrin:
Kevin Perrin, Chairman of Nagambie, expressed enthusiasm about the updated resource figures, stating, “These results are extremely exciting for Nagambie. The significant increases in resource size and grade not only enhance the project’s economics but also underline the underappreciated value of our stock. We anticipate that the forthcoming drilling program will further demonstrate the robustness of our asset base.”
Geological Significance and Next Steps
The Nagambie Mine, part of the broader Melbourne Structural Zone, is noted for its significant gold and antimony mineralization, akin to the nearby Costerfield Mine. Antimony, often found in the form of stibnite, is increasingly in demand for high-technology and decarbonization applications, adding further strategic importance to Nagambie’s assets.
As the company prepares for its next phase of exploration, the focus will be on detailed geological mapping and further resource modeling to optimize mining strategies and enhance shareholder value in light of these highly encouraging resource updates.
