-- adds broker comment --
The new JORC estimate is 51mln tonnes (mt) at 0.096% WO3 (tungsten trioxide) and 0.108% Sn (tin), but within that 36mt or 70% is now in the higher quality indicated category compared with nothing in the 2013 estimate of 47mt.
W Resources plans to develop the mine at La Parrilla in two stages and there is now a resource of 13mt at 0.101% WO3 identified in the Fast Track Mine (FTM) area.
There was also a maiden resource of La Parrilla West of 3mt at 0.158% WO3 at 0.08% cut-off with high grade outcrops here and in the fast track area to provide ore for development in the early stages.
Overall, there was an increase of 16% in contained WO3 and 7% increase in average WO3 grade, said the explorer.
Michael Masterman, chairman, added: "This larger JORC Mineral Resource estimate is a very strong result for W Resources, with a substantial upgrade in the quality of the resource estimate to the indicated category, and increases in grade and tonnage across the entire resource.
The strong results in the FTM area and the LPW area confirm that the deposit is open to the south, west and north and that the recently discovered high grade outcrops can be incorporated into mine feed schedules.
Broker Northland added that this was another positive update resulting in a substantial increase in the contained WO3 content.
"Importantly the area defined for the Fast Track Mine (FTM) is higher grade than the bulk of the resource improving early returns from the project. Also important is that the La Parrilla West (LPW) area is higher grade and remains open, offering further upside."
Shares eased 5% to 0.598p