Theta Gold Mines Ltd (ASX:TGM) has commenced trial mining at the Frankfort underground gold mine within the TGME Underground Gold Project in South Africa.
The results of this program will be used to finalise the underground Definitive Feasibility Study (DFS) which is expected to be completed in Q1 2022.
Theta’s DFS includes the first three mines (Frankfurt, CDM and Beta) which the company aims to put into production.
Frankfort underground drill rig being installed.
Theta chairman Bill Guy said: “Commencing trial mining is a critical milestone for Theta and is instrumental in the development of a sustainable and profitable underground mining operation for which we are permitted at the Frankfort Mine.
“Importantly, results from the trial mining program will clearly demonstrate that the narrow gold reef system that was previously mined by hand in the early 20th century can now be mined cost effectively using modern mining techniques.”
Underground haul way clean-up at Frankfort Mine.
The Frankfort Mine site, where trial mining is now underway, is about 30 kilometres north of the closed TGME gold plant.
Modern underground mining methods and technologies will be used to enable refinement of the long-hole open stoping mining methods.
The initial drill holes are being drilled with a Boart Longyear S36 Drill.
A reputable explosives supplier is participating in the trials of pumpable emulsion explosives.
The trial mining data, including drill hole size, drill pattern, and explosive charge rate will inform the DFS and provide proof of concept.
Gold reefs being marked for trial mining.
The trial mining at Frankfort mine is also representative of the same mining method to be applied at Beta and CDM mines.
Extensive underground sampling is also underway to assess the Beta South Mine ore body and other potential zones of mineralisation.
These results will be instrumental in Theta upgrading its Mineral Resource Estimate (MRE).
Resource upgrading work
Theta’s on-site focus will be on mine pre-development and resource upgrading work that is expected to be completed within the next 6 months.
The availability of additional funding will enable the progress of phase 1 underground project that includes Beta, CDM, Frankfort and Rietfontein Mines.
Minxcon has been appointed as the Mine design engineer for the phase 1 underground project with a DFS for these three mines expected to be completed by Q1 2022.
The inclusion of the Rietfontein Mine into the DFS will give this mine its first Mine Reserve and lead to an updated Resource Statement.
“Key component of the underground DFS”
Guy added: “Having experienced local people and modern machinery at work in the underground section of this project is a rewarding development for Theta’s team and we are confident it will add significant value for our shareholders.
“We will share a number of videos of the team in action via the Theta Twitter and website so that investors can follow progress.
“The trial mining results are a key component of the underground DFS which is advancing to plan.
“As well, the extensive underground sampling program that is underway is expected to deliver an increase in the size and quality of our mineral resource estimate.”