TG Metals targets a potential doubling of its laterite gold resources at Van Uden, advancing heap leach project designs and awaiting drilling approvals.
- Desktop study identifies new laterite gold targets
- Potential to double existing laterite resources
- Heap leach design supports mining proposal
- Drilling approvals pending for resource expansion
- Metallurgical testwork and contractor talks underway
Laterite Gold Expansion Could Extend Mine Life
TG Metals Limited (ASX:TG6) has revealed a promising opportunity to potentially double the laterite gold resources at its Van Uden Gold Project in Western Australia. This comes from a desktop study that revisited historical soil sampling and drilling data, identifying new targets with soil anomalies similar to the existing mineral resource estimate (MRE). The company is now awaiting regulatory approvals to commence reverse circulation (RC) drilling to test these targets.
CEO David Selfe emphasised the significance of these findings, noting that additional laterite gold could underpin an extended mine life for the planned onsite heap leach operation. This development aligns with the company's recent resource upgrade, which saw a 120% increase in indicated gold ounces at Van Uden, boosting confidence in the project's near-term potential. The current laterite resource stands at over one million tonnes grading 0.52 g/t Au, providing a substantial base for heap leach processing.
Preliminary Heap Leach Design Advances Mining Proposal
Supporting the resource expansion, TG Metals has developed a preliminary heap leach design based on an on-off leach pad production model. The design aims to minimise environmental disturbance by fitting within the starter laterite pit and includes infrastructure for a nominal 250,000 tonnes per annum capacity. This design will be incorporated into the mining proposal submission planned for this month.
Metallurgical column testwork on the laterite material remains underway, with final recovery rates and reagent consumption yet to be confirmed. Earlier metallurgical results reported an 88% gold recovery in 35 days from heap leach tests on laterite, highlighting the potential for low-cost, near-term cash flow from surface material. The heap leach project’s economics could be further enhanced if the additional laterite targets prove mineralised upon drilling.
Operational Preparations and Strategic Positioning
TG Metals has already begun sourcing heap leach equipment and initiated discussions with mining contractors, signalling readiness to progress swiftly once drilling approvals are granted. All identified laterite targets lie within existing mining leases and are conveniently located near internal haul roads, which should facilitate efficient development and reduce capital expenditure.
The Van Uden Gold Project benefits from proximity to operating gold processing plants and past producing mines, positioning TG Metals well within a stable Western Australian jurisdiction. This strategic location, combined with the recent resource growth and heap leach project advancement, paints a picture of a project steadily moving toward production.
Given the company's recent surge in indicated resources and ongoing metallurgical progress, the upcoming drilling results and mining proposal approval will be critical milestones. These will clarify the scale of resource expansion and validate the heap leach project's economic viability, shaping TG Metals' development trajectory in the months ahead.
Bottom Line?
TG Metals’ potential laterite resource expansion and heap leach project design mark key steps, but drilling outcomes and approvals remain pivotal.
Questions in the middle?
- Will drilling confirm the scale and grade of new laterite targets?
- How will metallurgical testwork influence final heap leach design and economics?
- What timeline can be expected for mining proposal approval and project commencement?