Classic leaps final hurdle in race to WA gold production

Gold-focused Classic Minerals has cleared the final hurdle in its race to develop the Kat Gap gold mine after receiving regulatory approval for its mining operations. With its mining proposal and closure plan now given the green light Classic can progress to full-scale mining.

In addition to the essential mining approval, the company says aboriginal heritage and native vegetation requirements have also been approved by the relevant bodies.

The company is continuing with the mining of a 49,000-tonne bulk sample that commenced last year. Importantly, the work is considered a vital step in pre-production and will allow the company to tweak the operation of its mobile Gekko gold processing plant.

The Kat Gap project has an inferred resource of nearly one million tonnes at a respectable grade of 2.96 grams per tonne gold, containing almost 93,000 ounces of the precious metal.

Classic Minerals Chairman, John Lester said: “…Securing the necessary approvals will enable full-scale construction and mining activities to begin.”

In the second half of 2021, the explorer drilled 24 reverse circulation holes for 3,359m across its Western Australian gold portfolio.

Notably, the Kat Gap project captured the bulk of the exploration activity, producing solid results that increased Classic’s desire to mine there.

By stepping out at Kat Gap and plunging 11 holes in search of extensions, Classic earned itself bonus results including a one metre hit going 44.34 grams per tonne gold within a larger intercept of 6m at 8.94 g/t gold from 151m downhole.

Another significant strike gave up 1m running 41.6 g/t within 3m going 15.66 g/t gold from 142m downhole.

The exploration was focused on testing extensions to the high-grade gold at depth and along strike. The campaign also aimed to provide more detailed resource model data for the final open pit design work, according to the company.

Classic enjoyed success from the remaining 13 reverse circulation holes drilled at its proximal Forrestania gold project. Better results from that program include 1m going 74.8 g/t gold within a solid 5m at 27.76 g/t gold from 101m. Another significant intercept of 2m running 14.27 g/t gold from 110m was tabled in the latest set of results.

The company says the results will feed into resource upgrade work.

The resources from the Forrestania project bring Classic’s total mineral resource to 8.2 million tonnes grading 1.52 g/t gold for 403,906 ounces of gold.

Transforming to a producer is a major milestone for any explorer and even though Classic’s initial campaign will be more of a pre-curser than full scale mining, it nonetheless still has the potential to significantly bolster its bank account if the company can get the financial parameters right.

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