Tomingley Resource and Reserve Statements FY18 - Alkane Resources Ltd
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Tomingley Resource and Reserve Statements FY18

  • Mineral Resources and Ore Reserves for the Tomingley Gold Operations have been reestimated to account for depletion, increased geological knowledge with depth and actual operating costs and conditions:
    • Total Mineral Resources –  6.78Mt grading 1.5g/t Au (437,000oz)
    • Total Ore Reserves – 2.21Mt grading 1.8g/t Au (144,000oz)
  • Total Ore Reserves includes the Underground Reserve
    • Underground Ore Reserves – 0.73Mt grading 3.1g/t Au (74,000oz)
  • FY18 gave another strong operating performance with 78,533 ounces of gold produced for A$128.8 million revenue at an all in sustaining cost (AISC) of A$1,002 per ounce.
  • TGO FY18 operating pre-tax cash flow after development costs was A$39.7 million.
  • Due to the completion of open cut mining in Q3 FY19, guidance for FY19 is production of 30,000 to 35,000 ounces of gold at an AISC of A$1,300 to A$1,400 per ounce. Included in this is budgeted expenditure of $5M on rehabilitation.
  • Development of underground operation at Wyoming One approved 24 September. First ore release from the development is anticipated Q1FY20.
  • Regional near-mine exploration program continued between Tomingley and Peak Hill with a number of targets identified and follow up drilling is about to commence.
  • A review of the potential of underground resource at Peak Hill is in progress with follow up drilling planned for the coming months.