Resource Statement
In May 2010, in conjunction with the announcement of the Feasibility Study, the Runruno resource was updated to 1.42Moz of gold, and 25.6Mlb of molybdenum, with 900,000oz gold reporting to the Measured and Indicated categories and 780,000oz gold within the Mining Proven & Probable Reserve category. For the first time the Company is able to announce a proven and probable mining reserve. This resource estimate was updated in April to include all drill holes completed and assays returned by the end of February 2010, comprising 741 drill holes for a total of 104,718m. The combined Measured and Indicated resource containing 900,000oz gold now comprises 63% of the total resource.
In addition to the 2P reserves the Company has included a further 5.5 Mt @ 1.81 g/t Au; 0.034% Mo of inferred mineral resource in the mine schedule after applying the same mining parameters inclusive of dilution and mine recovery used in estimating the mining reserve.
April 2010 Mining Reserve and Schedule Resource for the Runruno Gold Project
| Reserve | Ore | Gold | Molybdenum |
Category
|
Mt |
g/t |
M Oz
|
ppm
|
M lb
|
| Proven |
8.7 |
1.94
|
0.54
|
657 |
12.6 |
| Probable |
3.9
|
1.89
|
0.24
|
406 |
3.5 |
| 2P Reserves |
12.6 |
1.93
|
0.78
|
579 |
16.1
|
| Additional Inferred Resource in-pit |
5.5 |
1.81
|
0.32
|
338 |
4.1
|
April 2010 Mineral Resources for the Runruno Gold Project
| Reserve | Ore | Gold | Molybdenum |
Category
|
Mt |
g/t |
M Oz
|
ppm
|
M lb
|
| Measured |
9.9 |
1.89
|
0.60
|
626 |
13.7 |
| Indicated |
5.4
|
1.74
|
0.30
|
387 |
4.6 |
| Inferred |
10.0 |
1.59
|
0.51
|
327 |
7.2
|
| |
|
|
|
|
|
| Total |
25.4 |
1.74 |
1.42 |
457 |
25.6 |