Admiralty Resources (ASX:ADY) has advanced its pre-feasibility and scoping study at Mariposa and Soberana respectively with results expected in the next quarter.
Production at both these deposits is likely next year with initial production target of 1.2 million tonnes per annum of iron ore fines out of Mariposa and 360000 tonnes of iron ore lumps or fines out of Soberana.
While Admiralty has advanced drilling at these two deposits in an effort to start production, its strategy for developing its Chilean assets also includes prioritising drilling in prominent targets where no previous drilling has taken place.
Targets have been selected according to magnetic susceptibility after high resolution magnetic surveys with the aim of developing Harper South and Pampa Tololo.
The Harper South district, spread over 2498 hectares, comprises seven targets including the highly prospective Mariposa, Soberana and La Chulula deposits.
A PFS report is on Mariposa is likely next month which will include a resource statement and an audited drill hole results.
The scoping study of Soberana also included 240 tonnes live test and 600 metres of RC drilling
Its drilling activity is set to receive boost with an exploration budget of $1.3 million allocated for the December quarter compared with a spend of $920000 the previous quarter.
The company has $4.63 million cash on hand.
Admiralty's flagship iron ore deposits are located in Chile with all the three districts, Harper South, Pampa Tololo and Cojin located close to and within easy access of the Pan-American Highway, a railway and power line and operating shipping ports.
Admiralty also conducted a ground magnetic survey and rock and soil sampling and 1000 metres RC drilling in Bulman and the results are expected this quarter.
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