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- Regis Resources (RRL) has updated its mineral resource estimate for the Tropicana joint venture in Western Australia
- The project’s mineral resource estimate now sits at 6.95 million ounces (Moz), with an ore reserve estimate of 2.38Moz
- The company says delivery of the maiden reserve at Tropicana is a particular source of excitement, as the momentum growing production and extending the life of the mine continues to build
- Regis says near mine and regional exploration programs are set to continue around Tropicana to unlock new discoveries and mine life extensions across this Tier 1 ore body
- Regis Resources last traded at $1.97 on February 22
Regis Resources (RRL) has updated its mineral resource estimate for the Tropicana joint venture in WA.
Regis acquired a 30 per cent Tropicana in May 2021 from fellow ASX-listed, IGO (IGO).
The project is situated on the western edge of the Great Victoria Desert and is 70 per cent owned by ASX-listed AngloGold Ashanti (AGG).
Tropicana’s mineral resource estimate now sits at 6.95 million ounces (Moz), with an ore reserve estimate of 2.38Moz.
Regis’ 30 per cent share of Tropicana’s mineral resource estimate is 38 million tonnes (Mt) 1.7 grams of gold per tonne (g/t) for 2.09Moz as at December 31, 2021.
Regis Resources’ share of the ore reserves estimates sits at 13Mt at 1.7 g/t gold for 9.71Moz.
The additional 250 thousand ounce (koz) – or 75Koz as per Regis’ 30 per cent share – of new mineral resources was offset by the 2021 depletion of 420Koz, and increases in cost assumptions for mining and processing by 540koz.
The company said delivery of the maiden reserve at Tropicana is a particular source of excitement, as the momentum growing production and extending the life of the underground mines continues to build.
“Following these Resource and Reserve additions we continue to view Tropicana as a world class asset in a Tier 1 location that will continue to grow and be a long life, low cost producer for the next 10+ years,” said Regis Managing Director and CEO Jim Beyer.
“Today’s update reinforces that Tropicana has the orebody to underpin strong financial returns and deliver on our strategic objectives.
“Regis continues to be excited to invest with AngloGold Ashanti in this underexplored greenstone belt to identify new discoveries and unlock a long future of production at the operation.”
The news follows the gold miner’s announcement yesterday that it would not declare an interim dividend following a 69 per cent drop in first-half profit to $26.5 million.
Regis said near mine and regional exploration programs are set to continue around Tropicana to unlock new discoveries and mine life extensions across this Tier 1 ore body.
Regis Resources last traded at $1.97 on February 22.
