Industry Link Media Blog

The ASX ended trade on Wednesday with a gain. The market was up 3.5 points.

• Electromagnetic survey has commenced for Galileo Mining’s nickel targets Lantern North and South at Frasers Range. According to Managing Director Brad Underwood, the research over the last 18 months has helped get the company to this point. “We have spent the last 18 months developing our understanding of the nickel potential at our Fraser Range tenements. We now know we have similar host rocks to those at the operating Nova nickel mine, and our first RC drilling program in the area showed disseminated nickel-copper sulphides. The present round of EM surveying is designed to refine our targets for more advanced drill testing.” Once results are known, a drilling program will be scheduled. Shallow aircore drilling at the Lantern Prospect has been completed with 8,839 metres drilled and assays pending.
• An upcoming drill program will test the gravity and new geochemistry targets for Legend Mining at its Mawson prospect. Managing Director Mark Wilson said “The size, strength and location of these gravity highs between the two geochem anomalies makes this a very exciting feature of the Mawson story. The footprint that has now been interpreted, demonstrates the current extent of the large mineralised Mawson system. We have scheduled an RC drill programme to commence as soon as possible, which is designed to provide the geology to help identify the source of the massive sulphide mineralisation which we have already discovered.” Mawson is part of the Rockford Project east of Kalgoorlie and traverses the Trans Australian Railway.
• Havieron drill results have been announced by Newcrest Mining for its project east of Telfer in the WA Pilbara. The results revealed the best significant intercept to date with 109m @ 6.3g/t Au and 0.71% Cu from 668m. The Current drilling is now focussed towards delivering a maiden inferred resource and defining the mineralisation. This is expected in the second half of the 2020 calendar year. Newcrest Managing Director and CEO Sandeep Biswas said, “At Havieron we have returned our best drill result to date and with the step out drilling result we see real potential to further expand this orebody. Getting underground is now the priority and we continue to progress the work to commence decline development by the end of this calendar year or early 2021.”
• There is potential for a significant gold discovery at the Kopai Prospect within the Lake Roe Project, 100km east of Kalgoorlie. Breaker Resources has announced preliminary results from its first 32 drill holes. The highlights include 4m @ 4.54g/t Au from 84m within 9m @ 2.90g/t to end-of-hole in BBRC1373 (ends in mineralisation); There is still a further 28 holes results pending. The drill program by Breaker is to assess and scope the full potential of the 9.5km system.
• JB HiFi has announced a trading update and guidance for the 2020 Financial Year. On the back of an increase to Kogan gross sales, Wesfarmers and Harvey Norman results, JB HiFi has recorded total sales from its Australian, New Zealand and Good Guys operations to be around $7.86 Billion for the FY. The work of the staff during the trying COVID-19 times was pinpointed by Group CEO Richard Murray also when announcing the latest results “I would like to thank our over 12,000 team members who have done an incredible job in meeting the extraordinary challenges faced over the past few months. Our customers have continued to turn to us for their technology and home appliance needs and our team members have responded and adapted in an amazing manner to make sure we can do it safely and effectively.”

 

A recent report has outlined that Port Hedland contributed $54.7 billion to the WA economy for FY 18/19.

• Targets have been identified for the upcoming drill program at Castillo Copper Arya within the Mount Oxide Pillar. Of the three bedrock conductors identified at the Arya prospect, the primary target (EG01) is interpreted to be a massive sulphide conductor with exceptional dimensions: circa 130m inferred thickness, circa 1,500m by 450m. According to Castillo Copper’s Chairman Rob Scott “Castillo Copper’s Mt Oxide pillar has emerged as a significant new exploration project in the Mt Isa copper-belt in Queensland. Historic ground & aerial electromagnetic geophysical surveys identifying substantial drill targets up to 130m thick, provides an exciting opportunity with clear upside for our stakeholders.” While Ged Hall who is a London based director of Castillo indicated the geology team are ready to move  and the target is the shining light of the Mt Oxide Pillar “The 130m thickness and dimensions of the primary massive sulphide target at the Arya prospect are off the charts compared to anything else uncovered in the Mt Oxide pillar to date.”
• Several drill results are in for Ramelius Resources across its WA sites. The highlight being deeper infill RC and diamond drill results at Penny West which gave 4m at 18.06 g/t Au from 216m, including 2m at 31.63 g/t Au  and 3m at 18.42 g/t Au from 184m, including 2m at 27.39 g/t Au. Magenta – north of Penny West also delivered good results from infill & step-out shallow oxide RC drilling. While other results from Stage 2 Eridanus open pit design at Mount Magnet and Edna May in the WA Wheatbelt. Ramelius Managing Director, Mark Zeptner was buoyed by the results saying “The latest exploration drilling results at Penny are further testament to the Project’s potential to deliver additional resources and reserves for the Company. Beyond Penny, we are buoyed by new drill results at Mount Magnet and along the Westonia/Holleton and Tampia greenstone belts. These should aid in further consolidating Mount Magnet and Edna May as significant long-term production centres for the Company.”
• A maiden Resource Estimate has been released for Canterbury Resources Briggs Copper development in Queensland. A JORC compliant Inferred Mineral Resource estimate of 142.8 Mt at 0.29% copper (0.2% copper cutoff) for the Central Porphyry zone at the Briggs Copper Project (containing 414,120t copper metal has been revealed by Canterbury. Planning is now in place for the next stage which will include a significant diamond drilling component. Canterbury Managing Director Grant Craighead said “We are very pleased to announce our maiden Mineral Resource estimate for Briggs, which confirms the large-scale attributes of the deposit. To date we have only tested the Central Porphyry zone with broad spaced drilling. It is anticipated that proposed infill and extension drilling programs in 2020/21 will add to our understanding of higher-grade features that are evident in the system, as well as adding substantially to the overall scale of copper resources in the immediate region.”
• A desk top study of Golden Deeps Havilah and Tuckers Hill Gold Projects is underway. The study is in the process of identifying gold and base metal targets. Fieldwork will also get underway when travel restrictions due to COVID-19 ease. This comes after Golden Deeps acquired extract minerals in May which included these two projects in the Lachlan Folds belt in New South Wales.
• Planning for ground based electromagnetic geophysical surveys over the two current nickel sulphide prospects for Toro Energy is underway. In a statement released to the market, Toro Executive Chairman Richard Homsany said “After the significant confirmation of the discovery of nickel sulphides at Dusty, the Board is very pleased to also announce that preparations for ground based electromagnetic geophysical surveys have commenced. Gold and nickel evaluation activities and drilling are expected to commence very soon at Yandal. The acquisition of geophysical data will assist us to ensure targeted and cost effective drilling is continued in this next campaign. In addition to the outstanding Dusty nickel discovery, the prospectivity of the Yandal One Nickel Prospect remains a valuable part of the Yandal Project. Therefore, a ground based EM survey is being planned over it.” The two prospects are on the Yandal Gold Project east of the Mt Keith nickel deposit.

After a day of rest for the market for the Queen’s Birthday long weekend, here is a spread of the market news on opening. Plenty of news across the mining and resources sector today.

• Vimy Resources have requested a trading halt pending a capital raise. The company has projects in WA – at the Mulga Rock project in the far Eastern Goldfields and the Alligator River project is in the Northern Territory.
• Pioneer Resources are looking at their Sinclair Caesium mine after a review moves into Stage 2. Additional resources have been identified 80m north of the pit shell. The focus on the next stage of review will identify Further drilling options and further mining methods. Tim Spencer, Managing Director of Pioneer Resources said Stage 2 would take around three months to complete, but he was quite pleased with the results so far. “The Sinclair Mine paid off handsomely for the Company. While the Stage 2 mine would likely be smaller in scale, it could yield an even higher margin per tonne of caesium oxide extracted and generate additional cash so that we can continue to self-fund our exploration activities for lithium, gold and nickel.” He said.
• A unaudited March quarter update has been released from AngloGold Ashanti. The report has shown a production figure of 716,000oz in Q1 2020, supported by strong performances from Kibali, Geita and Iduapriem. AngloGold Ashanti has interests in Australia with the Tropicana Gold Mine and also Sunrise Dam, combined for the March Quarter, the Australian Operations produced 130,000oz. Tropicana produced 73,000 oz which is down 15% in year on year variance and Sunrise Dam 57,000oz which is down 20% YOY. Production was down at Tropicana due to lower grades through the mill with a higher throughput on waste ore from Havana Stage one cutback also underway. While exploration continues at Sunrise Dam to deliver development and drilling to grow ore reserves. A lower head grade made its way through the mill in the first quarter of the 2020 year as per previously planned. All in sustained costs with the Australian operations were up 29% year on year.
• After Kogan`s 100% increase on gross sales reported on Friday, Wesfarmers has released an increase of 89% in online sales for the calendar year for its retail operations with Officeworks and Bunnings leading the charge. Sales momentum in the businesses Kmart and Target stores has improved as availability in home and living stock became highly regarded. Bunnings has spent over $20 Million on cleaning, security and protective equipment under the COVID-19 restrictions. Although restrictions have started to ease across Australia, Managing Director of Wesfarmers Rob Scott said “Each of our businesses remains vigilant in prioritising the safety of team members and customers. Safety measures, including restricting the number of people in store, may at times result in some inconvenience and we are grateful for the patience and understanding of customers.”
• A drilling update has been issued for De Grey Mining at its Aquila zone in the Hemi Discovery around 60km from Port Hedland in the Western Australian Pilbara region.  Technical Director for De Grey Mining Andy Beckwith said “At Aquila, we still have not reached the limits of mineralisation. Step out drilling shows we are still in strong broad and high grade mineralisation along the length of the deposit. Deeper RC and diamond drilling is planned to target approximately 100m below mineralisation as well as further extensions along strike.” Aquila has been extended to the east with the following drill results,

41m @ 6.8g/t Au from 181m in HERC086 inc.

14m @ 10g/t Au from 206m (Hole ends in mineralisation)

16m @ 1.6g/t Au from 144m in HERC085

    While there were significant depth extensions for

              69.5m @ 1.3g/t Au from 80m in HERC031D

30m @ 1.7g/t Au from 125m in HERC093

 

 

 

Today, it’s vitally important for mining and civil industry leaders to play their part in shaping the future workforce.

Demand for skilled labour continues to rise and apprenticeships have dipped to a 10 year low, with industries facing an unprecedented shortage of skills and widening threats to workplace efficiencies.

Mader Group is a global conglomerate providing heavy equipment maintenance (mobile and fixed plant) to a widening customer base.

As an industry leader with 15 years’ operational experience, Mader Group is proud to be addressing the shortage with the introduction of a Trade Upgrade Program.

The tailored training program aims to bridge occupational gaps by developing the skills of experienced tradespeople to increase the supply of Dual Trade Mechanics in Western Australia’s labour market.

Officially named ‘Trade Up’, the 18 month program equips experienced Light Vehicle Mechanics (Automotive and Road Transport) with the necessary skills and knowledge to confidently work across a wide range of sites and workshops as qualified Heavy Duty Diesel Mechanics.

“This is an opportunity for industry leaders to work together to create long term career pathways for Dual Trade Mechanics,” said Charlotte Annakin, Trade Upgrade Program Coordinator.

“With a largely trade qualified team in the office, we know what to look for in a good Mechanic and have cherry-picked candidates to ensure the best chances of success. We’re asking companies to partner with us as we train, prepare and mentor these candidates for placement in the industry.”

During the program, apprentices are mentored by Mader Group’s very own Heavy Duty Diesel Mechanics on various worksites and are backed by a knowledgeable management team who have come from trade backgrounds themselves.

“Our apprentices will work alongside some of the most experienced minds in the business. They will obtain well-rounded knowledge and gain valuable insight into operations as they undertake practical workplace experience,” said John Greville, Mader Group’s Chief Operating Officer.

“We’ve already seen some great success stories with key customers. The program allows us to grow industry skillsets whilst also offering customers a cost effective alternative to equipment maintenance.”

The program offers partnering companies short and/or long-term solutions to filling labour requirements with the option to hire (no sign over fee) candidates permanently upon conclusion of their contract.

Since establishment of the program in late 2019, Mader has already achieved several milestone achievements; its first intake of Trade Upgrade participants hit the 6 month mark in their 18 month apprenticeship journey and the second intake are now trained and ready for placement.

In addition to this, Mader Group has landed the 992 (OB25) project at BHP Eastern Ridge which will see a 21-strong team maintain their train load out fleet, including Supervisors, Mechanics, Auto Electricians, Boilermakers and four recently upskilled Trade Upgrade Mechanics.

The Trade Upgrade Program has ambitious goals to grow the Diesel Mechanics of tomorrow with strong potential to be scaled up over time to meet growing industry demand and interest.

 

The ASX is closed due to the Queen’s Birthday, but here are some headlines to get you up and about on a Monday.

• The former chairman of Croesus Mining – Ron Manners has been awarded an AO in the general division as part of the Queen`s Birthday Honours List for distinguished service to the minerals and mining sectors, and to youth through philanthropic support for educational initiatives. From Kalgoorlie, Mr Manners has been instrumental in the mining industry, floating several mining companies and also inducted as as “living legend” into the Australian Prospectors and Miners Hall of Fame. He has also been passionate about helping students in mining and set up Mannkal Economic Education Foundation, which has awarded more than 1,500 scholarships. While other Western Australian based mining related recipients awarded an AO in the general division include: Denise Goldsworthy for distinguished service to business, particularly to technological innovation and research in the mining and manufacturing sectors; Ms Goldsworthy helped drive the Rio Tinto autonomous truck project as well as being a founder and Managing Principal of Alternate Futures pty ltd. Colin Beckett was also awarded an AO in the general division for distinguished service to business in the energy, gas and oil production and infrastructure sectors, and to tertiary education.
• Pilbara Minerals ended last week on the up, starting the week at 0.265 and ending strong at 0.355. While there were some falls for miners elsewhere on the market.
• A housing stimulus package was launched for WA by the Premier Mark McGowan, Treasurer Ben Wyatt and Housing Minister Peter Tinley. According to Premier McGowan “This new major housing package will provide a much-needed boost to WA’s economy.”It will provide a pipeline of work for WA building companies and local tradies, like bricklayers, plumbers, carpenters and painters, as we recover from the COVID-19 pandemic. The social housing component will also go a long way to helping those in need, get into a quality home.” The package includes an $80 million investment to fast-track a regional maintenance program, supporting workers and small businesses in regional WA. The major points from the announcement include:

1. $117 million for $20,000 Building Bonus grants provided to homebuyers who sign up before December 31, 2020 to build new houses or purchase a new property in a single tier development (such as a townhouse) prior to construction finishing, creating 2,600 jobs;
2. $8.2 million to expand the 75 per cent off-the-plan transfer duty rebate, capped at $25,000, until December 31, 2020 to include purchases in multi-tiered developments already under construction;
3. $97 million to construct social housing dwellings and purchase off-the-plan units for supported housing programs;
4. $142 million to refurbish 1,500 existing social housing dwellings; and
5. $80 million for targeted maintenance programs for 3,800 regional social housing properties – including remote Aboriginal communities’ stock and subsidised housing for regional government workers.

A $680m HomeBuilder stimulus announced by the Federal government to spark builders and tradies into action. Adani announced a 200km rail spur civil earthworks contract has been awarded to BMD to link the Carmichael coal project to the Coal rail network.

• Electronics company Kogan has recorded a 100% gross sales increase for the fourth quarter to date financial year. Kogan also increased its active customer base by 126,000 for the month of May.  
• The first diamond drill testing at the Talisman Lucknow Gold Project, New South Wales will commence mid June. Drilling will target an interpreted high-grade gold lode offset position at Lucknow where historic production was in excess of 400,000 ounces at an average estimated mined grade of +100 g/t gold. The lifting of COVID-19 restrictions has returned the company to the resumption of exploration drilling and business activities. The Lucknow Gold Project is in one of the oldest goldfields of Australia.
• Resource definition diamond drilling results have returned for Silver Lake Resources. A highlight was a result of 7.4m  at 98.7 g/t gold and 11.1% copper, part of the 27 diamond holes drilled. There were also several other results that show visible gold and sulphides. Silver Lake has been drilling at Deflector South West and will look at extending the exploration drive to provide additional drill platforms for resource definition.
• The Cygnus Gold joint venture is commencing drilling at its Lake Grace and Yandina Joint Venture. The Hammerhead project will see 7,320m of aircore (AC) drilling, 950m of reverse circulation (RC) drilling and 400m of diamond core (DD) drilling targeting gold mineralisation on three prospects identified within the Project.
• The Musgrave and Evolution joint venture at Cue in the WA Murchison has confirmed potential for a large mineralised gold system. The latest drilling program had 249 holes for a length of 22,879m had highlights such as 6m @ 4.2g/t Au from 116m (20MOAC031) including: 1m @ 18.2g/t Au from 117m  and  9m @ 2.25g/t Au from 136m to EOH (20MOAC041). According to Rob Waugh, Managing Director “These air core results continue to show the large scale of the gold system lying hidden under Lake Austin and support the Company’s view on the prospectivity of this large area. The Lake Austin North gold anomaly now extends for over 5.5km in strike with additional new anomalies at West Island and Mainland East highlighting the potential of the system to host significant gold deposits.

Mortgage stress is still apparent for hundreds of thousands of Australian’s with default threats real for around 100,000 homeowners.

• Great Northern Minerals has received travel permits to commence mining operations in North Queensland. A drilling contractor is expected to be announced in the next week as Great Northern review drilling contracts. Great Northern are looking at following up on the 2019 results and the first drilling at Camel Creek is set to take place. Cameron McLean, Great Northern Managing Director is eager to get the program underway “There is certainly no shortage of drill targets. The ability for the first time in many years to systematically assess three large under explored high grade gold projects via deeper drill testing is a unique opportunity for GNM and we look forward to commencing the work”.
• Blackham Resources have reported the latest drill results from their Wiluna Mining Centre where there are seven rig currently in operation. The latest results are from a further 17 holes and 2,947m drilled at Golden Age, testing extensions targets between the 850 – 600 underground levels. Executive Chairman of Blackham Resources Milan Jerkovic said “While the Company is focussed on optimising the mine plan around our large Wiluna sulphide resource and transitioning to gold concentrate production, these results also deliver on our parallel free-milling strategy. We aim to extend the high-grade Golden Age orebody to sustain or increase production and improve transitional cashflow over the next 12-18 months ahead of sulphides production from September 2021.”

Highlights from the latest drill results include:

GAGC0318: 3.8m @ 7.90g/t from 43.0m

GAGC0320: 1.8m @ 39.68g/t from 47.3m

GAGC0321: 2.6m @ 21.74g/t from 49.1m

GAGC0322: 0.8m @ 22.80g/t from 55.0m

GAGC0323: 1.2m @ 11.08g/t from 38.5m

GAGC0325: 0.4m @ 12.10g/t from 52.6m

GARD0112: 7.1m @ 7.47g/t from 185.9m, incl. 2.7m @ 17.32g/t

• Strandline has updated its Definitive Feasibility Studies for it’s flagship Coburn Mineral Sands project. The original DFS from April has been updated to include Binding off take agreements, Technical optimisations, including incorporating results from confirmatory bulk metallurgical test work; Updated mineral sands commodity price forecast; and Consensus foreign exchange rate forecast. Strandline Managing Director Luke Graham pinpoints the location and the opportunity to get to going is moving quick “Coburn is situated in the key mining state of Western Australia and benefits greatly from its access to existing port, road and services infrastructure. Coburn is set to continue to capitalise from the forecast supply shortages in the global zircon and TiO2 markets. With the key development approvals in place, binding off take contracts signed with major customers and the funding process well underway, Coburn is moving rapidly towards development.” he said.
• The Lachlan Belt in New South Wales has received interest from another resources company – Celsius Resources. Celsuis has entered into a Binding Heads of Agreement with Syndicate Minerals Pty Ltd to acquire the Cullarin West prospect between Goulburn and Yass. The Cullarin West prospect has had limited shallow drilling at Gooda Creek in the 1987 returned 1.95 m at 23.1 g/t gold and 1.0% copper. Daltons Goldfields is also part of the prospect and has had a limited drill programme conducted in 2012 returned a best result of 1 m @ 27.1 g/t gold.
• New nickel targets have been identified at Mt Fisher for Rox Resources east of Wiluna. Rox conducted air core drilling along the northern part of the Mt Fisher greenbelt to test for further RC opportunities. RC is set to commence on the 15th of June 2020. Results of a recent VTEM survey in conjunction with the air core drilling have now been interpreted and identified 5 key locations where there are coincident EM conductors with nickel indicator geochemistry.

Shares in diversified mining group Perenti closed up over 13% on trade yesterday. A strengthening Aussie dollar has gold at $2505.32 = $1726US/oz while Seven Group Holdings have increased its interest in Boral which jumped 6.33%

• Bain Capital and Hedge FundCyrus are the last two standing for airline Virgin Australia. Both suitors have until June 12 to complete their offer to administrators. It’s then anticipated that the new owner of Virgin Australia will be announced by June 30. Both final contenders have aviation experience and its believed links to Virgin boss Richard Branson.
• An expanded drill program has been announced by Castillo Copper for its Big One deposit within the Mt Oxide Pillar in Queensland. A review of relevant historical information in particular, Along the line of lode at depth below known shallow supergene ore mineralisation, which is 600m long, and includes three historic open pit workings.
• More significant shallow intercepts have been found for Kin Mining at its Cardinia Hill discovery. The results from its drill program relate to and build on previous announced results in recent weeks. According to Managing Director Andrew Muckton “We are continuing to build the geological picture at Cardinia Hill, with the latest results providing further important insights into what appears to be a significant zone of shallow mineralisation extending over a 500m strike length.” Mr Muckton was also open on the future drill plans “Cardinia Hill is just one of several emerging areas that we plan to drill aggressively in the coming months. While the final assays from the air-core program at Helens East were unsuccessful in confirming a significant northern extension of the Cardinia Hill mineralisation, there is plenty of follow-up work to do at Helens East and Helens South.” he said.

• Aus Gold Limited has commenced RC drilling at its Katanning Gold Project in the Great Southern region of Western Australia. Drilling will be high impact RC drilling for a total of 21 holes for 3,200m and should be completed by teh end of June. Ausgold Managing Director Matthew Greentree, said the new drilling will look better at targets already identified. “This new round of RC drilling follows up on targets identified in the recent rounds of drilling which have combined DHEM programs with recent drilling. The new EM targets have identified several potential strike extensions of the high grade Jinkas South lode which potentially extends for over 1 km north beneath the current Jinkas Resource. These new targets have the potential to add high-grade ounces to the current the 1.2 Moz gold Resource at Katanning.” Mr Greentree said.
• Norwest Minerals have identified an 800m gold anomaly at its Bulgera mining centre. A completed drilling program saw a 4,520 metre aircore drilling programme testing gold targets along the 5-kilometre Bulgera greenstone mine sequence. with this the aircore drilling identified a new 800-metre gold anomaly located southwest of the Bulgera Mining Centre near recently collected highgrade gold surface samples. The project is around 45km via haul road from the Plutonic Gold Mine.