Whim Creek proves positive for Anax

Anax Metals told shareholders on Monday that the scoping study had identified a production target of 33 200 t of copper, 62 400 t of zinc, 17 800 t of lead, 1.6-million ounces of silver and 9 900 oz of gold over a mine life of between five to seven years.

The scoping study estimated a net present value of A$163-million and an internal rate of return of 77%, with free cash flows estimated at A$196-million.

“We are delighted with the outcomes of the study which demonstrate the leverage and flexibility the strategy delivers. In just over a year, we have acquired an 80% interest in a strategic Pilbara copper asset, become a joint venture partner to Venturex Resources, and attracted the interest and support of Anglo American Marketing,” said Anax Metals MD Geoff Laing.

“The study demonstrates the potential value the Whim Creek project has applying Anax’s strategy. We expect to deliver further upside to the project through resource growth, definition of the bioleach potential and capital optimisation through the application of further plant modularization.”

Anax has started the calculation of a Joint Ore Reserves Committee-compliant resource for the high-grade Evelyn deposit, which is expected in September. Pit optimisation will be completed, and an updated scoping study is expected shortly thereafter.

Anax noted that with several studies already surpassing scoping level assessment, the company has started feasibility studies on the Whim Creek and Mons Curpi deposits.