BMG Resources appoints Gareth McArthur as General Manager to spearhead development of its Abercromby Gold Project, while initiating a 10,000m diamond drilling campaign to upgrade its 518,000oz gold resource.
- Appointment of Gareth McArthur as General Manager, Project Development
- 10,000m diamond drilling campaign to upgrade gold resource underway
- Abercromby scoping study assessing open pit and underground mining due Q1 2026
- High gold recoveries of 93-95% confirmed via metallurgical testing
- 10 million performance rights proposed for McArthur, linked to milestones
Strategic Leadership Boost
BMG Resources has taken a decisive step in advancing its Abercromby Gold Project in Western Australia by appointing Gareth McArthur as General Manager, Project Development. With 25 years of experience in mining project management and geology, including senior roles at Rio Tinto, McArthur brings a wealth of expertise to the company’s leadership team. His role will encompass overseeing permitting, stakeholder engagement, mine planning, and other critical development activities aimed at transitioning Abercromby from resource to production.
Drilling Campaign and Resource Upgrade
Coinciding with this leadership appointment, BMG is launching a substantial 10,000-metre diamond drilling program designed to upgrade its current mineral resource estimate of 518,000 ounces of gold. This drilling campaign is a pivotal move to refine the resource base and support more detailed mine planning. The Abercromby project benefits from a granted mining lease, which should facilitate a smoother path towards development.
Scoping Study and Metallurgical Confidence
Looking ahead, BMG plans to release a scoping study in the first quarter of 2026. This study will evaluate both open pit and underground mining scenarios, providing a clearer picture of the project’s economic potential. Metallurgical testwork has already confirmed that the gold at Abercromby is free milling, with impressive recoveries between 93% and 95% using conventional carbon-in-leach processing. These results bode well for the project’s processing simplicity and cost-effectiveness.
Performance Incentives Aligning Interests
To align incentives with project milestones, BMG proposes issuing 10 million performance rights to McArthur, contingent on the company’s share price reaching A$0.05 and the commencement of mining operations by the end of 2027. This move underscores the company’s commitment to delivering tangible progress and shareholder value as it moves towards production.
Strategic Partnerships and Regional Advantages
Further strengthening its development pathway, BMG has signed a memorandum of understanding with Wiluna Mining to explore toll treatment options at the nearby Matilda CIL plant. The project’s shallow ore body and proximity to existing processing infrastructure position Abercromby favourably within Western Australia’s established goldfields region.
Bottom Line?
With drilling underway and a scoping study imminent, BMG is poised at a critical juncture that could define its emergence as a gold producer.
Questions in the middle?
- What will the upcoming drilling results reveal about the potential to expand the Abercromby resource?
- How will the scoping study balance open pit versus underground mining scenarios in terms of economics and feasibility?
- What impact will the performance rights incentives have on management’s focus and project delivery timelines?