Develop Global (ASX:DVP) has delivered a 40% resource increase for its Woodlawn Copper and Zinc Mine in New South Wales.
The $621 million market capitalisation company reports that the updated Woodlawn Mineral Resource Estimate (MRE) now sits at 10.3 million tonnes (Mt) @ 1.8% copper (Cu), 6.1% zinc (Zn), 2.2% lead (Pb), 47.2g/t silver (Ag), and 0.5g/t gold (Au).
This updated MRE largely stems from Develop’s exploration and drilling program that discovered new lenses of mineralisation, which means Woodlawn now has ‘substantial’ scale with ‘outstanding’ potential for further growth.
Develop notes this expanded resource has also paved the way for an increase in Woodlawn’s mine life from 7 years to more than 10 years.
This is based on the existing processing throughput capacity of 850,000 tonnes per annum (tpa).
Commenting on Woodlawn’s new MRE, Develop Managing Director Bill Beament says this demonstrates Woodlawn is well on track to becoming a ‘significant’ producer of copper and zinc.
“This increased mine life will be a key feature of the new mine plan, which is set for release in the March 2024 quarter.
With 7.2Mt of the increased resource now in the higher geological confidence category of Measured and Indicated, we are well on track to increasing the reserves, mine life, and overall returns at Woodlawn.”
“With 7.2Mt of the increased resource now in the higher geological confidence category of Measured and Indicated, we are well on track to increasing the reserves, mine life, and overall returns at Woodlawn”
Beament adds that the company is now focused on completing the remaining drillholes from its infill drilling campaign.
This current campaign is aimed to drive further increases in Woodlawn’s resources, reserves, and mine life.
Woodlawn’s updated MRE included drill results from up to 30 June 2023. Results from a more recently completed drill program, along with the current infill campaign, are expected to be fed into the next updated MRE.
The next Woodlawn MRE update is slated for the March quarter 2024.
Develop says the resource remains open along strike to the north and south and is completely untested down-plunge.
The Woodlawn mine is located in the Lachlan Fold belt in New South Wales, 250km southwest of Sydney. The company believes Woodlawn has growth potential, having been historically under-explored and untested at depth.
Develop Global is focused on producing clean metals used in sustainable energy generation and storage. The company’s projects include the Sulphur Springs, Whim Creek joint venture, and Woodlawn projects.
As of 30 June 2023, the company had $21.769 million cash and cash equivalents at hand and $36.304 million in unused financing facilities, according to its latest quarterly report. In July, Develop raised $50 million through a share placement and entitlement offer.
Write to Aaliyah Rogan at Mining.com.au
Images: Develop Global
