Quarterly Activities Report to 31 March 2022 - Alkane Resources Ltd
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Quarterly Activities Report to 31 March 2022

Tomingley Gold Operations (Tomingley)

  • Gold production met forecast for the quarter of 14,635oz, with site operating cash costs at A$1,192/oz and AISC of A$1,598/oz.
  • Gold sales of 14,635 ounces for revenue of A$35.7M at an average price of A$2,437/oz.
  • FY2022 guidance for Tomingley is unchanged at 55,000oz to 60,000oz production at an AISC of $A1,500/oz to $1,650/oz.

Tomingley Gold Extension Project (TGEP)

  • The Environmental Impact Statement has been through public display with all submissions now received by the NSW Department of Planning and Environment. The Company expects to respond to these submissions throughout May. The expected timing of Project Approval remains mid-2022.

Exploration

  • The drill program at Boda continues over the 3km strike length from Boda Three to Kaiser. (see ASX Announcements 25 February 2022 and 30 March 2022)
  • At Boda significant results included:
BOD063557m grading 0.52g/t Au, 0.12% Cu from 147m
incl207m grading 0.65g/t Au from 147m (gold only flanking zone)
incl12m grading 5.54g/t Au from 296m (gold only flanking zone)
incl2m grading 28.9g/t Au from 305m (gold only flanking zone)
also26m grading 1.00g/t Au, 0.18% Cu from 392m
also27m grading 0.88g/t Au, 0.30% Cu from 441m
incl4m grading 3.43g/t Au, 1.03% Cu from 645m
and37m grading 0.36g/t Au, 0.14% Cu from 784m
and88.4m grading 0.21g/t Au, 0.18% Cu from 963m
BOD074639m grading 0.36g/t Au, 0.14% Cu from surface
incl115m grading 0.75g/t Au, 0.32% Cu from 427m
incl45.7m grading 1.18g/t Au, 0.44% Cu from 474.3m
also6m grading 1.58g/t Au, 0.11% Cu from 189m
  • The preparation of an initial resource estimation for Boda is nearly complete. Delays in the capacity of external parties providing input to the estimation (due to high workload and covid related staff shortages) mean the resource is now expected in May.

Corporate

  • Cash, bullion and listed investments position totalled A$130.2M.
  • Shareholding of ASX listed gold developer Calidus Resources Ltd (ASX:CAI) was ~9.7% at end of March quarter.
  • Shareholding of ASX listed gold developer Genesis Minerals Ltd (ASX:GMD) was less than 5% at end of March quarter. During the quarter GMD shares to the value of $34.4M were sold at a substantial gain over Alkane‚Äôs cost base.