Alkane Resources Ltd (ASX:ALK) non-executive chairman Ian Gandel has shown confidence in Alkane’s ambition of becoming Australia’s next multi-mine gold producer by acquiring shares worth $2.92 million.
Gandel purchased 3,400,000 shares in on-market trades at an average price of 85.91 cents per share for a total consideration of $2,920,940, taking his holding in Alkane to more than 150 million shares in indirect interests.
Tomingley beats expectations
Alkane produced 16,000 ounces of gold at the Tomingley Gold Mine in NSW during the March quarter which exceeded stockbroker Ord Minnett’s expectations by 33%.
Ord Minnett expects Tomingley to rejuvenated by FY24, with gold output to double (back) to 80,000 ounces per annum at a low cost of A$1300/ounce for a 10+ year mine-life.
High-grade mineralisation at Boda
Earlier this week, Alkane confirmed the intersection of further high-grade mineralisation at the Boda Prospect in Central West New South Wales.
Boda is a landmark porphyry gold-copper system, within the Northern Molong Porphyry Project (NMPP), which Alkane believes has the potential to be a large, tier one gold-copper project.
Drilling continues at Boda and Boda Two, testing extensions and adding definition to the identified mineralised systems.
An air-core drilling rig and one high-capacity reverse circulation (RC) drilling rig will be mobilised onsite next month supporting the ongoing diamond core drilling at Boda, Boda Two, as well as regional targets within the NMPP.