BUSINESSDESK: Heritage Gold has moved to clarify its statement earlier this week about the prospects for the Talisman gold resource on the Coromandel Peninsula.
The company put a net present value on the potential value of a mine at the site of A$150 million and described a 12 year project that was a “potentially very robust and highly profitable gold mine”, with “potential for a considerable increase in the geological resource”
What the company did not make clear was that this was the outcome of a scoping study, and does not represent a proven resource under the industry standard VALMIN code used for judging resources’ known potential.
It should have been noted that the values attributed to the project are not compliant with the VALMIN Code as they are based on conceptual resource estimates,” said managing director Peter Atkinson. “The values assumed in the report will be achieved only if the grade and tonnage assumptions are met through the planned work outlined in the Scoping Study Review.”
Heritage Gold shares jumped on the news earlier this week, trading at 2.4 cents yesterday, the highest since early October.