Sunshine Metals (ASX:SHN) has upgraded its mineral resource estimate (MRE) for its Liontown Project in North Queensland, after incorporating recent grade-control drilling and metallurgical results.
Liontown’s total resource now sits at 7.27 million tonnes (Mt) @ 3.19 grams per tonne gold equivalent (AuEq) for 745,000 ounces AuEq recoverable, or 10.9% zinc equivalent (ZnEq).
Managing Director Damien Keys says the company’s recent drilling efforts, along with improved gold recoveries from metallurgical test work, have “laid a platform to upgrade the Liontown resource”.
“The new resource has increased gold and silver content in the shallow, open pit accessible horizons and improved confidence in the resource in proposed mining areas,” Keys says.
The gold-dominant portion of the Liontown resource has been optimised in the Liontown mining study, and has increased by 13% contained gold (Au), 21% contained silver (Ag), and 28% in overall tonnage.
The Liontown gold study resource only covers around 14% of the total Liontown resource tonnage, accounting for around 36% of contained gold.
With 75% of the Liontown gold study resource sitting in the measured or indicated classification, Sunshine says resource confidence has increased for the project.
The Liontown gold study resource totals 1.02Mt @ 3.75g/t Au and 29.9g/t Ag for 122,600 ounces Au and 975,000 ounces Ag.
By using gravity and conventional bottle roll leaching tests, metallurgical test work on open pit mineralisation returned an average overall recovery of 92.3%.
The total Ravenswood Consolidated Project resource is now 8.36Mt @ 3.47g/t AuEq for 931,000 ounces AuEq recoverable, or 11.8% ZnEq. The total resource is inclusive of the Waterloo and Orient prospects.
“We are incorporating the upgraded resource into a Liontown mining study update, which will also recognise the upside of owner-operator milling through our recently acquired Mt Moss Processing Facility. We expect to commence milling Liontown ore at Mt Moss in mid-2027,” Keys adds.
The updated Liontown mining study is expected to be completed in August 2026.
The company will be attending the Noosa Mining Investor Conference, held from 22–24 July, at Peppers Noosa Resort, Noosa Heads, Queensland.
Mining.com.au is an official media partner of this year’s conference.
Write to Maddison Elliott at Mining.com.au
Images: Sunshine Metals
