08 Dec Xanadu Mines hits 1 billion tonnes copper-gold target at Kharmagtai in Mongolia
ASX-listed Xanadu Mines has reported an updated mineral resource estimate for its flagship Kharmagtai copper-gold project in the South Gobi region of Mongolia.
The explorer has successfully delivered its stated aspirational target to grow the Kharmagtai resource to over 1 billion tonnes (Bt), including a higher grade 100 million tonnes (Mt) component.
After completing 120 diamond drill holes for 69,479 metres since the last resource update in 2018, Xanadu’s Kharmagtai now stands at 1.1 Bt containing 3 Mt of copper and 8 million ounces (Moz) of gold.
This resembles a 50% increase in contained copper and a 80% rise in contained gold within the indicated and inferred resource. The update also includes a material upgrade of higher grade core to 100 Mt at 0.8% copper equivalent (CuEq), with a 0.55% CuEq cut off.
Xanadu CEO Andrew Stewart said: “This is a major milestone for Xanadu and positions Kharmagtai as one of the largest undeveloped copper and gold resources on ASX, and one of the biggest globally.
“This [the higher grade core update] could be a real gamechanger for project economics, with better defined and larger high-grade zones setting the project apart from similarly sized orebodies, with the higher-grade component potentially unlocking project scenarios that could pave the way to put Kharmagtai into production.”
A scoping study is now underway to model the project, leveraging key advantages including the high-grade zones, low capital intensity, favourable ESG factors and close proximity to markets.