Mandalay Resources Corp. (TSX:MND, OTCQB:MNDJF) has announced updated Mineral Resources and Reserves (MRMR) estimates for its Björkdal gold mine in Sweden as of December 31, 2022, saying its Mineral Reserves increased by 32,000 ounces, net of yearly depletion, along with an 11% improvement in the gold grade to 1.54 grams per tonne (g/t), predominantly through the exploration of the high-grade Eastern plunge extension.
The natural resource company also noted its Mineral Measured and Indicated Resources increased by 72,000 ounces, net of yearly depletion, with an increase in gold grade of 10% to 2.27 g/t.
“Mandalay's near-mine exploration efforts at Björkdal have been designed around the goal of bringing higher grades into the near and medium term mine plan,” Mandalay Resources CEO Dominic Duffy said in a statement.
READ: Mandalay Resources says full-year 2022 production was 105,906 saleable gold equivalent ounces
“Impressive grades have been seen through this drilling including 47.7 g/t gold over 11.7 metres, amongst others, within what is thought to be a geologically favourable environment for further gold endowment along the eastern flank of the mine,” Duffy added.
As well, the company stated that additional Mineral Reserves were added at a cost-effective exploration cost of US$31.47 per ounce of gold.
Mandalay added that since the data cut-off in September 2022, drilling has continued on the eastern flank with further success, as well as on other major growth potential areas such as the Aurora system extension and North Zone delineation.
The company said it expects these areas will contribute to further reserve increases in the future.
Mandalay Resources is a Canada-based natural resource company with producing assets in Australia and Sweden. The company is focused on growing its production and reducing costs to generate significant positive cash flow.
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