Alba Mineral Resources Drilling Update
(AIM: ALBA ) has provided an positive update on progress at the Clogau-St David’s Gold Mine and confirmed activities at the mine will continue on schedule despite the recently announced ‘circuit breaker’ lockdown announced in Wales.
Drilling Progress
Significant progress has been made in the underground programme since its resumption earlier this month:
Drill hole L002 has been drilled to 121.5m, heading north from the current workings on the Llechfraith Level
The next, and possibly final, drill hole in this programme will be L003, located at the ‘Grandfathers stope’ on the Llechfraith level.
Figure 1: showing completed drill holes in white and hole to be drilled (L003) in yellow
Bulk Sampling
The ‘Jack Williams’ stope floor has been stripped back and stockpiled as a large bulk sample, estimated to weigh about eight tonnes.
This material would have built up on the stope floor during previous periods of mining.
Holes will be drilled into the Jack Williams stope by airleg drill to facilitate the in-situ bulk sampling of the lode, or vein, system, expected to be the final bulk samples collected during the current programme.
Figure 2 (right): location of remaining bulk samples to be collected (JWBS002 being located at the end face of the stope and JWBS003 on the roof of the drive).
Figure 3: Completed bulk sample locations shown in white with bulk samples still to be taken at Jack Williams stope shown in yellow
Rehabilitation of Llechfraith Pipeline
A 280m section of pipeline which provided air to the Mine during previous periods of production has now been rehabilitated and tested.
Accordingly, this pipeline will now be used to provide pressurised air to enable the drilling of the next drill hole, which would otherwise have been inaccessible to the Company’s drilling team.
The Company will look to complete the rehabilitation of the remaining 300m of pipework next year.
Outlook
Drilling to Continue During Lockdown
The Company notes the announcement by the First Minister of Wales on 19 October 2020 regarding the introduction of a two-week “firebreak” which is to be introduced across Wales from 6pm on Friday 23 October 2020 until Monday 9 November 2020 to help combat the coronavirus pandemic.
On current advice, these measures do not affect Alba’s underground drilling and bulk sampling programme which will therefore continue until the end of October 2020.
Bulk Sampling
Samples of the drill core from the underground drilling programme will only be sent to an accredited laboratory for assaying once the entire drilling programme has been completed, following which, sections of the core will be sampled and prepared for dispatch.
In respect of the bulk samples, the first bulk sample is being prepared for processing at a third-party processing facility in Cornwall. The remaining bulk samples collected in the programme will either be processed at the same facility or will be processed by the Company once the Company’s bespoke pilot gold processing plant has been fully built (and subject to timely receipt of all necessary approvals). The Company’s previous advice – that, subject to timely receipt of regulatory approvals and no delays in shipment, the Company expects the pilot plant to be fully operational in Q4 2020 - still holds.
Shares in ALBA have increased more than 7x from 0.07p in August to close at 0.52p on Tuesday, prior to this announcement.
George Frangeskides, Alba Executive Chairman, commented: “We have made excellent progress in our underground campaign following its resumption earlier this month, with a 121 metre drill hole completed and a large bulk sample collected at the Jack Williams stope, taken from material left behind during previous periods of mining. The programme is scheduled to continue until the end of October, following which we will move into the formal assaying of all the drilled and sampled material, the start of the first phase of our regional surface trenching programme as well as preparations for the surface drilling campaign which we also hope to kick off next month.”
Disclaimer & Declaration of Interest
The information, investment views and recommendations in this article are provided for general information purposes only. Nothing in this article should be construed as a solicitation to buy or sell any financial product relating to any companies under discussion or to engage in or refrain from doing so or engaging in any other transaction. Any opinions or comments are made to the best of the knowledge and belief of the writer but no responsibility is accepted for actions based on such opinions or comments. Vox Markets may receive payment from companies mentioned for enhanced profiling or publication presence. The writer may or may not hold investments in the companies under discussion.