The Implementation of Selective Mining Practices at Hadleigh Castle Mine, Charters Towers

SMC Resources Limited is implementing a selective mining approach at the Hadleigh Castle mine, formerly operated by Aurora Gold Limited. The main ore zone has a length of 250 metres and dips at 40 - 45¦ to the south. Gold mineralisation occurs in a variety of quartz-sulphide lodes in sericitised granodiorite. Shallow dips, alteration intensity and mineralisation style combine to make mining relatively difficult. Previously unworked, high-grade, shallow dipping (30 - 45¦), narrow quartz-sulphide lodes within the hanging-wall of the deposit are also being selectively exploited. Annual production of 35 000 oz Au is forecast from 185 000 tpa ore grading 6.5 g/t Au over a currently envisaged mine life of six years. Operations completed to-date include deepening the decline and access development of the first two levels beneath the previous workings. Longhole stoping operations have commenced in the main ore zone with air leg stoping also underway in the hanging wall lodes.