The heavy mineral content of the prospect currently stands at 7.9 million tons of heavy minerals in 11 separate JORC compliant resources, with current drilling programs directed at shallow high grade resources containing 3.1 million tonnes at 6.5% heavy minerals rich in zircon.
Ongoing drilling is indicating continued resource growth at defined targets, and especially at Boonanarring and Atlas, where high grade zircon resources have potential to increase the total to 5-6 million tonnes of high grade heavy minerals.
The Company has launched a feasibility study that is assessing a processing rate of 170,000 – 220,000 tons per annum, targeting the commencement of mining operations in 2014.
The feasibility study for the North Perth Basin is due for completion by end of 2012, which Proactive Investors Research says will act as catalyst in re-rating, while bulk sampling at Atlas and Red Gully are underway, and confirm sufficient material to complete heavy mineral concentrate for mineral characterisation and metallurgical testing.
An initial scoping study revealed Atlas as the highest value resource within the North Perth Basin project with a projected payback capital invested within 13 months.
