Blackham Resources Ltd ("Blackham" or "the Company") (ASX:BLK) (OTCMKTS:BKHRF) has pleasure in announcing the successful results of the Expansion Preliminary Feasibility Study (PFS) on its 100% owned Matilda & Wiluna Gold Operation ("Operation"). The PFS demonstrates robust economics and improved economies of scale supporting the Operation's expansion. Historically, over the last 20 years, the Operation has relied predominately on underground feed. Blackham's comparative advantage to previous operators is the 15Mt @ 2.3g/t Au (85% at Reserve classification) in open pit feed, which is included in the Expansion PFS Mine Plan.

Blackham's principal success to date has been identifying, consolidating and defining orebodies all within 20kms of the existing Wiluna Gold Plant. From the large existing Resource base of 61Mt @3.1g/t for 6.2Moz Au, the Expansion PFS brings into Reserves 1.2Moz (15Mt @ 2.5g/t) - an increase of 116% in 1 year.
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Expansion PFS Highlights 

- Initial Gold Production       1.47Moz Au over initial 9 years 

- Open Pit Mining Inventory     15Mt @ 2.3g/t for 1.1Moz 

- Underground Mining Inventory  4Mt @ 4.7g/t for 608koz 

- Expanded processing capacity  up to 3.3Mtpa 

- Gold Production average      207,000ozpa (first 6 yrs after expansion) 

- LOM All in sustaining costs   A$1,058/oz or US$836/oz 

- Project cash flows $571M*     Initial Capex $114M 

- NPV8%*             $360M*     IRR*    123% 

* assumes A$1,600/oz gold price and before corporate and tax 
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- Oxide reserves currently 3.5 years

- Opportunity to grow open pit reserves from Matilda, Lake Way, Wiluna North and Regent resources and targets

- Wiluna underground has 20Mt @ 4.8g/t for 3.0Moz of Mineral Resources outside the mine plan with the economics still to be fully evaluated which will include assessing bulk mining opportunities

- Expansion Definitive Feasibility Study (Expansion DFS) is underway with key work well advanced

- Very few operations in premium mining jurisdictions have defined resources of a scale to support 200,000ozpa of production with a strong grade profile and likely long mine life.

To view the full release with tables and figures, please visit:
http://abnnewswire.net/lnk/RS0L8E9Q


About Wiluna Mining Corporation Ltd

Wiluna Mining Corporation (ASX:WMC) (OTCMKTS:WMXCF) is a Perth based, ASX listed gold mining company that controls over 1,600 square kilometres of the Yilgarn Craton in the Northern Goldfields of WA. The Yilgarn Craton has a historic and current gold endowment of over 380 million ounces, making it one of most prolific gold regions in the world. The Company owns 100% of the Wiluna Gold Operation which has a defined resource of 8.04M oz at 1.67 g/t au. In May 2019, a new highly skilled management team took control of the Company with a clear plan to leverage the Wiluna Gold Operation's multi-million-ounce potential.

    

Contact

Bryan Dixon
Managing Director
Blackham Resources Limited
Office: +61-8-9322-6418

Jim Malone
Investor Relations Manager
Blackham Resources Limited
Office: +61-419-537-714

John Gardiner
Media Enquiries
Citadel Magnus
Office: +61-8-6160-4901



Link: Expansion PFS shows robust economics for 200koz pa long life


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