Warriedar Resources Achieves Major Increase in Ricciardo Gold Resource
WA8 (WA8) Share Update November 2024 Sunday 17th
Warriedar Resources Doubles Gold Resource at Ricciardo Deposit
Warriedar Resources Limited (ASX: WA8) has reported a significant update to its Mineral Resource Estimate (MRE) for the Ricciardo Gold Deposit, part of the Golden Range Project in Western Australia. The update reveals a remarkable 99% increase in contained gold ounces, showcasing the success of their targeted exploration strategy.
Instant Summary:
- Updated MRE for Ricciardo Deposit: 16.44 Mt @ 1.8 g/t Au for 947.5 koz gold.
- 99% increase in contained gold ounces at Ricciardo.
- All-in discovery cost of approximately A$16/oz.
- Total Golden Range Project resources now over 1.28 Moz gold, a 58% increase.
- Ricciardo system remains open at depth and along strike.
Resource Update Details
Warriedar Resources has announced an updated Mineral Resource Estimate (MRE) for the Ricciardo Gold Deposit, which is part of the Golden Range Project in the Murchison region of Western Australia. The updated MRE indicates a total of 16.44 million tonnes at a grade of 1.8 grams per tonne (g/t) gold, amounting to 947.5 thousand ounces (koz) of gold. This represents a substantial 99% increase in contained gold ounces compared to previous estimates.
The updated resource includes 467.5 koz of open-pit gold at a grade of 1.6 g/t and 480.0 koz of underground gold at a grade of 2.0 g/t. The open-pit resource is constrained within an optimized pit shell at a gold price of A$3,300/oz, with 75% of the resource classified as Measured and Indicated.
Exploration Success and Strategy
The increase in the MRE is attributed to Warriedar's focused exploration efforts, which have proven to be highly cost-effective, with an all-in discovery cost of approximately A$16 per ounce. The drilling strategy targeted high-grade growth ounces with strong commercial potential, and the results validate the potential for further growth within the broader 25km 'Golden Corridor' through ongoing exploration.
Potential for Further Expansion
Importantly, the Ricciardo system remains open at depth and along strike, suggesting significant potential for further resource expansion. The total resources for the Golden Range Project now stand at over 1.28 million ounces of gold, marking a 58% increase from previous levels.
The significant increase in the Ricciardo MRE is likely to have a positive impact on Warriedar Resources' stock, as it demonstrates the company's ability to efficiently expand its resource base. The low discovery cost further enhances the project's attractiveness, potentially boosting investor confidence and interest in Warriedar's exploration activities.
Investor Reaction:
Analysts are expected to react positively to the news, given the substantial increase in gold resources and the low cost of discovery. The potential for further expansion along the Golden Corridor adds to the project's appeal, making Warriedar Resources an attractive prospect for investors looking for growth in the gold sector.
Conclusion:
Warriedar Resources' successful update to the Ricciardo MRE highlights the company's effective exploration strategy and positions it well for future growth. Investors should keep an eye on further developments and consider the potential long-term benefits of Warriedar's expanding resource base.