Everest Metals Corporation (ASX: EMC) has submitted a Mining Proposal to commence mining at the Mt Dimer Taipan Gold & Silver Project, 150km west of Kalgoorlie and 120km northeast of Southern Cross in WA.
“With an AUD gold price now comfortably above $3,500 per ounce, EMC’s Mt Dimer Taipan Gold & Silver Project provides an attractive proposition to mine, particularly in light of nearby processing options which are ore hungry. We have now met a key project milestone in the fast tracking of the Mt Dimer Taipan project which has the potential to become a profitable mining operation in Q2 CY 2025,” Chief Operating Officer, Simon Phillips, said.
In early 2024, the company completed an initial open pit optimisation assessment on Mt Dimer using the existing mineral resource estimate model. The results show that Mt Dimer has the potential to host a profitable, small-scale, open pit mining operation on a toll-treatment basis.
As part of the initial open pit optimisation assessment, EMC prepared a Mining Proposal for open pit mining under the 2023 Statutory Guidelines at Mt Dimer (M77/515) which was submitted to the WA Department of Energy, Mines, Industry Regulation and Safety (DEMIRS) on 13 February 2024. Subsequent to submission, EMC received the required environmental approvals which provided a clear pathway for the resumption of open pit mining at Mt Dimer.
Significant work has been completed in submitting the Mining Proposal including a geotechnical study, hydrogeological modelling, baseline environmental study, flora and fauna surveys, environmental risk management, waste rock and soil characterisation.
The Company is targeting commencement of mining in Q2 CY 2025.
The assessment process by DEMIRS is expected to take approximately three months to review and approve the application. The proposal will now be reviewed by the various authorities and the Company anticipates receiving approvals in late 2024. M77/515 is valid until 27 May 2034.
The Mt Dimer Taipan mining proposal consists of a cutback of the existing Mt Dimer Taipan Pit that enables the extraction of ore both laterally and from the base of the pit.
The ore is planned to be processed at one of several nearby mills in Kalgoorlie. Approximately 125,000BCM of waste will be mined from a cutback along strike to the southeast and stored onsite at a waste dump. All mining and project activities occur within a granted mining licence primarily on land previously disturbed by mining activities including routes via existing roads and points from the Coolgardie Road.
Mining will be undertaken with a small mining fleet of 55 tonne articulated dump trucks and a 60-tonne excavator. Some initial pre-stripping of cover material may occur with 100 tonne trucks if available.
Minimal pit stabilisation work is required due to the shallow weathering profile at the site resulting in the pit walls remaining in a very stable condition since the last mining campaign ceased in 1996. Mining operations are expected to take place on day shift only over a period of approximately eight months, with ore haulage and rehabilitation likely to continue for a further three months.
The company has progressed negotiations for toll processing with nearby mills in the region. EMC remains confident that the resource remains open to the south and down dip, with the possibility of mineralisation extending beyond the current drilling area. There is strong potential to extend the mineralisation along the southern strike. The company received a POW approval from DEMIRS to conduct further infill RC drilling, planned for the December 2024 quarter.
