Sihayo Gold's Concept Study Results

Sihayo Gold Limited (ASX: $SIH) has completed a Concept Study targeting deeper high-grade mineralisation of the Sihayo Mineral Resource, demonstrating the potential for a viable underground mining operation. The study indicates the technical feasibility of a standalone drift-and-fill operation, offering a potentially viable low CAPEX start-up option. A trade-off study is now required to determine the optimum combination of open pit and underground mining for the project. Mineralisation remains open and untested at depth and to the south of the known deposit.

Executive Chairman's Perspective

The Executive Chairman, Colin Moorhead, highlighted the significance of the underground mining study, stating, 'This most recent underground mining study defines the standalone underground bookend showing that such an option could deliver a low CAPEX and lower risk start-up option with the potential to unlock the underlying potential of the larger Sihayo Mineral Resource.' He also emphasized the need for a trade-off study to determine the optimum combination and scheduling of open pit and underground mining at Sihayo.

Outlook and 2024 Plans

The completion of the Concept Study marks a significant step for Sihayo Gold, showcasing the potential for a low CAPEX start-up option through underground mining. The company's exploration model, based on geologic analogues, continues to be verified, with mineralisation remaining open and untested at depth and to the south. Sihayo plans to pursue a drilling program to upgrade the below-pit resource classification and test for additional extensions to the high-grade mineralisation. The company is also focused on securing future financing to progress the project and continue exploration on the Contract of Work. The outlook for Sihayo Gold remains optimistic, with the potential for significant expansion of the underground gold resource and continued exploration efforts in 2024.