What's Happening?
Kalamazoo Resources has announced an increase in its underground resource at the Mt Olympus prospect, part of the Ashburton Gold Project in Western Australia. The updated resource estimate now includes 1.44 million tonnes at 3.76 grams per tonne of gold,
totaling 174,500 ounces. Additionally, the Mt Olympus-West Olympus open pit shell is estimated to contain between 129,000 and 387,000 ounces of gold. The company is conducting a Scoping Study to explore further resource potential, expected to conclude in Q4 2025. Kalamazoo plans to convert inferred material to an indicated category through an infill drilling program, set to begin in Q1 2026. This initiative aims to enhance the open pit production profile by identifying additional mineable underground material.
Why It's Important?
The expansion of the Mt Olympus resource is significant for Kalamazoo Resources as it aligns with the company's growth strategy for the Ashburton Gold Project. By increasing the resource base, Kalamazoo aims to extend the mine-life and enhance production capabilities, potentially leading to increased revenue and market competitiveness. The rising gold prices, currently marked at US$4,265.37 per ounce, further underscore the economic potential of this expansion. This development could attract more investment and interest in the region, benefiting local economies and stakeholders involved in the mining sector.
What's Next?
Kalamazoo Resources plans to continue its exploration and development activities at the Ashburton Gold Project. The company is set to release results from investigations into existing underground and open pit resources at Peake and Zeus. Additionally, Kalamazoo intends to pursue greenfields exploration at Waugh and other prospects within the Ashburton-Xanadu Gold Project region. These efforts aim to discover additional resources and support a multi-year gold production plan, potentially leading to further resource expansions and increased production output.
