Dewatering Milestone at Youanmi: What Could Delay Rox Resources’ Production Plans?
Rox Resources has initiated dewatering at the Youanmi Gold Project’s Main and United North pits, marking a critical step toward underground access and production. The company is on track with exploration declines and resource updates, progressing steadily toward gold production.
- Dewatering systems installed and operational at Main and United North pits
- Permits approved for water discharge to Kathleen and Rebel pits
- Exploration declines scheduled for late 2025 and early 2026
- Ongoing drilling ahead of schedule with updated Mineral Resource Estimate imminent
- Definitive Feasibility Study workstreams progressing, including processing plant design
Dewatering Commences at Youanmi
Rox Resources Limited (ASX, RXL) has taken a significant stride forward in its development of the Youanmi Gold Project in Western Australia by commencing dewatering operations at the Main and United North pits. This milestone is pivotal as it enables early underground access, a prerequisite for the planned exploration declines and eventual mining activities.
The company has successfully installed and commissioned dewatering infrastructure, with pumping underway at both pits. Water is initially being discharged to evaporation ponds, with permits now in place to divert excess water to the Kathleen and Rebel pits. These measures ensure effective water management as Rox prepares for the next phases of development.
On Track for Exploration Declines and Resource Updates
Rox is targeting the commencement of the exploration decline at United North in early Q4 2025, followed by the Pollard decline from the Main Pit in early Q1 2026. These declines are critical for underground access and will accelerate the company’s pathway to production.
Meanwhile, Rox’s drilling program is progressing ahead of schedule, with a total of 46,000 metres completed. This drilling supports an upcoming updated Mineral Resource Estimate (MRE), expected by mid-July 2025, which will inform mine design and planning inputs for the Definitive Feasibility Study (DFS).
Advancing Definitive Feasibility Study and Project Financing
The DFS workstreams are well underway, covering processing plant design, metallurgical test work using the Albion Process, geotechnical studies, hydrology, and tailings dam design. These efforts aim to de-risk the project and provide a robust foundation for production decisions.
Rox is also actively engaging with debt advisors to progress project financing, a crucial step to support construction and commissioning phases anticipated in 2026 and beyond. The company’s strategic approach emphasizes early works and permitting to smooth the transition from exploration to production.
A High-Grade Gold Project with Strong Potential
The Youanmi Gold Project hosts a global mineral resource of 16.2 million tonnes at 4.4 grams per tonne, equating to approximately 2.3 million ounces of gold. Rox aims to become one of Western Australia’s highest-grade new gold producers, leveraging the project’s impressive metrics and strategic execution plan.
Managing Director and CEO Phill Wilding highlighted the importance of the dewatering milestone, noting it accelerates access to underground portals and supports the company’s goal of delivering value to shareholders through a high-margin gold operation.
Bottom Line?
With dewatering underway and exploration declines imminent, Rox Resources is poised to unlock Youanmi’s high-grade potential, but financing and resource updates remain key watchpoints.
Questions in the middle?
- How will the updated Mineral Resource Estimate impact the project’s production target and timeline?
- What progress is being made on securing project financing and what terms are anticipated?
- How might water management and environmental approvals influence operational scheduling?
