New Century Resources Ltd (ASX:NCZ) has delivered strong production results from its Century Mine in Queensland, with 31,699 tonnes of zinc metal produced during the June 2022 quarter, up 14% from the March quarter.
The company has achieved full-year revised production guidance in the mid-range, with 118,108 tonnes of zinc metal produced.
C1 costs are expected to be in the mid-range of guidance of US$0.85/lb to US$0.95/lb (pending reconciliation).
“Aim of extending the planned mine life at Century to 2030 and beyond”
Managing director Patrick Walta said: “New Century has delivered the strongest quarterly production since June 2021, producing 31,699t of zinc metal to achieve its revised 2022 financial year guidance.
“The company is excited by the opportunity presented to develop a mineable Ore Reserve at Watson’s Lode and the surrounding exploration potential of the Lilydale prospect.
“Systematic exploration in this area and further resource delineation is planned for the remainder of 2022, with the aim of extending the planned mine life at Century to 2030 and beyond.
“We look forward to providing complete production and financial results for the June quarter following the mine-to-port reconciliation process.”
Watson’s Lode drilling
New Century has completed the initial drilling to test and upgrade the mineral resource at Watson’s Lode.
The program has delivered significant shallow, high-grade drill intersections, including:
- 7m @ 43.2% Zn (zinc) + Pb (lead) from 66m (40.4% Zn, 2.8% Pb, 28g/t Ag(silver)) downhole
- 4.0m @ 26.4% Zn + Pb from 61m (20.3% Zn, 6.1% Pb, 5g/t Ag) downhole
- 7.5m @ 16.9% Zn + Pb from 134m (16.8% Zn, ≤0.1% Pb, ≤0.5g/t Ag) downhole
- 4.8m @ 13.7% Zn + Pb from 87m (13.6% Zn, ≤0.1% Pb, ≤0.5g/t Ag) downhole
Watson’s Lode drilling intercepts above 3% zinc and >1 metres true width.
A 10-kilometre reverse circulation (RC) infill drilling program has now commenced, targeting an upgrade of existing mineral resources and potential ore reserve generation.
Lilydale prospect
The Lilydale prospect sits adjacent to and stratigraphically above the Watson’s Lode vein and targets the younger Century host sequence.
The area has a similar cluster of veins to those around the original Century ‘Big Zinc’ deposit.
These veins are considered a potential feeder within the larger system.
Lilydale prospect area (right) relative to Century Tailings operation (left) annotated zoom of prospect area geology.
Historical geochemical anomalies of zinc, lead, and manganese have been identified in the surrounding soil plains which may indicate the presence of additional economic mineralisation beyond the known veins.
Drilling at Lilydale aims to intersect the Century stratigraphy proximal to the Watson’s Lode and Lilydale structures, to gain insights into the relative timing of the vein forming events and the fertility of the Century host unit locally.
New Century has planned continued drilling across the historical vein field seeking incremental and value accretive sources of feed, in addition to the planned Silver King mine.
Mt Lyell drilling
New Century has continued drilling at Mt Lyell during the quarter, with successful intersections of the mineralised zone within the Prince Lyell ore body.
Assays remain pending on this drilling.
Mt Lyell drilling is targeting improved confidence in mineral resources to enable conversion of ore reserves for further upgrade of feed into the mine plan.
Prince Lyell & Western Tharsis deposits, which are the focus of restart activities at Mt Lyell.