Condamine Resources has been granted by the Department of Conservation Access Arrangements to undertake exploration drilling at the Company’s 100 per cent-owned Alexander River and Big River projects in Reefton, New Zealand.
Condamine is a gold exploration company, established in May 2017 to acquire and advance a portfolio of highly prospective gold projects in New Zealand.
The Company’s brownfield gold projects are strategically located within the 2.5Moz Reefton goldfield in the center of the West Coast of the South Island and are held within the Company’s 100 per cent-owned subsidiary, Reefton Resources.
Condamine Resources’ Interim Executive Director, Ms Anna Nahajski-Staples, said with access now granted, the Company has the green light to commence drilling mid-year, upon receipt of further funding.
“The exploration plan is to focus on shallow diamond drilling at both Big River and Alexander River, targeting high-grade gold mineralisation intersected in existing trenches and drillholes,” said Ms Nahajski-Staples.
“The granting of the Access Arrangements represents not only an important milestone, but also the start of a new momentum building for the Company – which is already attracting interest from new investors and potential corporate partners looking for the next Bellevue Gold,” she said.
At the Company’s Alexander River project, historical mine production was 41koz @ 26.4g/t Au (recovered) and the Big River mine produced 136koz @ 34.1g/t (recovered). Both mines closed during WWII due to labour shortages.
The Reefton district has a long history of gold production, producing over 2Moz gold from historical underground mines with an average recovered grade of 16g/t gold. New Zealand’s largest gold producer, OceanaGold, has produced an additional 600koz with its recent open pit, bringing total gold production in the region to 2.6Moz.
Adjacent to Condamine’s Alexander River project is the new AU$500 million (capital and operating cost) Blackwater mine development – a joint venture between OGC and Tasman Mining.
Condamine plans to follow up encouraging historical exploration undertaken at Big River in 2012, which yielded outstanding downhole diamond drilling intercepts by OceanaGold (19 holes). The aim is to target depth and lateral extension of Big River mine, which remains open and untested.