Historical high-grade production of around 800k ozs
- Adelong Goldfield forms part of a much larger structural feature known as the Gilmore Suture. This major fault zone can be traced for several hundred kilometres and is associated with a number of significant gold deposits over at least 200km of this structure;
- In the Adelong Goldfield the shear zone bifurcates with a western fault following the Adelong Creek (west of the gold deposits) and with main structure to the east of the main mines;
- Gold mineralisation occurs in a series of sub-parallel faults that can be traced through the Wondalga Granodiorite for more than 4km north of Adelong;
- Historically the Adelong goldfield has produced around 800k ozs of gold from within the company’s licenses. Many of the hard rock mines recorded very high grades averaging in excess of one ounce of gold per ton of ore.
Plant and development options – ability to produce gold onsite
- The acquisition included all the plant and equipment from the past operation;
- Currently the plant is designed to produce a gravity concentrate and a flotation concentrate that can be cyanided.
Upgrade and Reconfigure
- Various studies have shown the plant will require upgrading and reconfiguring to operate efficiently. Adelong Gold plans to review these studies as well as alternate options for processing the ores before investing in re-opening the mine.
Adelong Gold plans to undertake a re-assessment of the development options. This will include:
- Short term options to process mullock not suitable for the onsite plant externally;
- Upgrading the existing Adelong plant;
- Review contract mining options for developing Challenger and Currajong as open cut operations (or possibly underground);
- Increase throughput capacity and production rates;
- Expanding resources;
- Initiating a regional exploration program.