OceanaGold Corp reports an update on exploration activity at its Haile gold mine in South Carolina, USA. Selection of significant drill results within and/or adjacent to pit designs
• 46.6 m @ 4.93 g/t between Ledbetter and Snake
• 32.3 m @ 10.14 g/t at Mill Zone
• 77.7 m @ 4.04 g/t at upper Ledbetter
• 21.3 m @ 4.51 g/t at Red Hill
• 45.1 m @ 1.17 g/t between Mill Zone and Mustang.
Mick Wilkes, President and CEO of OceanaGold said, “I am very pleased to announce the results of brownfields drilling at Haile over the past nine months that are expected to add more low-cost ounces to our reserves. These results demonstrate the potential for additional mineralisation close to surface between current pit designs and at depth. Comprehensive geological reassessment from mapping and core logging has identified important structural controls that are being applied to our 3D models which will play a critical role in ongoing and future target generation. Haile’s exploration team is also driving innovative modelling for emerging geophysical targets that will be pursued in 2019.
“Since acquiring the Haile mine in late 2015, we have delivered a 70% increase in reserves and, through our exploration program, we continue to learn more about the genesis of the mineralisation. Through this greater understanding, we are improving our mine planning and design which fits well with our continued focus on improving productivities and reducing costs.
“In addition to exploration, the company continues to advance the expansion of the process plant with the pebble crusher now fully constructed and commissioned. The Tower and Isa Mills, critical processing equipment for the expansion and recovery enhancement, are scheduled for completion in the first quarter of 2019.”
Since the last exploration update on November 8, 2017, the company has drilled 100 drill holes for a combined 26,149 m at Haile using four surface diamond drills. Resource infill and extension drilling has targeted low-cost reserve growth areas in and around the Ledbetter, Mustang, Mill Zone, Snake, Red Hill, and Haile deposits.
Favourable extension drill results are expected to add ore-grade mineralisation between pit designs at low strip ratios. Pit designs will likely be merged between the Mill Zone/Mustang (e.g. DDH0715: 45.1 m @ 1.17 g/t from 91.9 m) and Ledbetter/Snake pit designs (e.g. DDH0669: 46.6 m @ 4.93 g/t from 243.8 m). Drilling below the northwest wall of the Mill Zone Phase 1 pit returned positive results and a Phase 2 layback design is in progress (e.g. DDH0736: 32.3 m @ 10.14 g/t from 59.6 m).
Infill and delineation drilling continue to support models and robust mineralisation, notably in the upper Ledbetter area (e.g. DDH0678: 77.7 m @ 4.04 g/t from 173.2 m and DDH0771: 75.9 m @ 1.57 g/t from 203.1 m). Shallow, medium-grade drill intercepts have been confirmed in diamond holes at Red Hill which is scheduled for mining in 2019 (e.g. DDH0805: 21.3 m @ 4.51 g/t from 54.0 m). An 18-hole diamond drill program was conducted outside the reserve pit design at the Snake West extension and returned positive results (e.g. DDH0755: 64.8 m @ 0.97 g/t from 198 m). Further drilling is planned in the second half of 2018 at Ledbetter, Mill Zone and Snake.
Assays received from delineation drilling continue to validate high-grade, continuous mineralisation at the Horseshoe underground deposit (e.g. DDH0609: 233.5 m @ 2.87 g/t from 168.6 m).
All drill hole data and additional information in relation to the Haile Gold Mine can be found on the company’s website .
OceanaGold is a mid-tier, high-margin, multinational gold producer with assets located in the Philippines, New Zealand and the USA. The assets encompass the Didipio gold-copper mine located on the island of Luzon in the Philippines. On the North Island of New Zealand, it operates the high-grade Waihi gold mine while on the South Island of New Zealand, the company operates the largest gold mine in the country at the Macraes Goldfield which is made up of a series of open pit mines and the Frasers underground mine. In the US there is Haile, a top-tier, long-life, high-margin asset. OceanaGold also has a significant pipeline of organic growth and exploration opportunities in the Americas and Asia-Pacific regions.
In 2018, the company expects to produce 500,000 to 540,000 oz of gold and 15,000 to 16,000 t of copper with All-In Sustaining Costs that range from $725 to $775/oz sold.
