Lunnon Metals (ASX:LM8) Announces First Mineral Resource Estimate for Lady Herial
Mineral Resource Estimate
Lunnon Metals Limited (ASX: LM8) has announced its first Mineral Resource Estimate (MRE) for the Lady Herial gold deposit at the Kambalda Gold & Nickel Project. The initial estimate comprises 0.57 million tonnes at an average grade of 1.6 g/t Au, totaling 29,000 ounces. Within this, 0.27 million tonnes at 1.9 g/t Au fall under the Measured Resource category, accounting for 16,600 ounces.
Future Plans
The company plans to fast track the permitting and commercialization of the Lady Herial deposit. This strategy aims to leverage the shallow depth and high-grade intercepts of the deposit to capitalize on the current high Australian dollar gold prices. Lunnon Metals intends to advance technical studies and engage in negotiations with Gold Fields to secure processing agreements at the nearby Lefroy gold plant.
Executive Comments
Managing Director Edmund Ainscough stated, “Lunnon Metals and all its shareholders benefit from our leases at St Ives/Kambalda being in such a highly endowed gold belt. To refocus on gold in early 2024 was a low-risk strategy but little did we imagine that one of the first prospects tested would bear fruit so quickly and expose the Company to these amazing gold price levels. The technical studies are well advanced and in the near future, we will be able to communicate the potential financial benefits of mining Lady Herial as well as kicking-off best endeavour negotiations with Gold Fields to lock-in an agreed window to mine and deliver this deposit to their nearby processing plant.”
Motley Fool contributor Lianne Eastty has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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