Rockfire Resources PLC (LSE:ROCK) told investors that an engineering appraisal of historical underground access at its Molaoi project in Greece points to a potential saving of up to €5 million in future development costs.
The company said consulting mining engineers in Athens found the portal and decline to be in good condition, based on observations from the entrance, with visible steel support sets undeformed and no evidence of structural failure or rockfall-related damage.
The decline, developed in 1991, runs for around 700 metres and reaches approximately 55 metres below surface at an average 12% gradient. Rockfire said reuse of the existing access could avoid the cost of fresh underground development work, including drilling, blasting, hauling and waste storage.
Chief executive David Price said the assessment was “very exciting news” and that there was “a high likelihood” the early-1990s underground development could be rehabilitated for future use, though the roof would need additional modern reinforcement.
Rockfire said recommended next steps include surface and underground geotechnical work, a geotechnical engineering study, redesign for ventilation and emergency egress, environmental assessment and permitting, and the construction of a secondary emergency exit.
