Javelin Minerals has made significant strides in advancing its mining plans at the Eureka gold project located north of Kalgoorlie in Western Australia. The company has announced a substantial upgrade in its gold resource, increasing the indicated resources by 27 percent to 78,678 ounces, alongside a notable improvement in grade, which now stands at 1.69 grams per tonne (g/t).
This enhancement sets the stage for expedited mining operations at the Eureka open pit, where Javelin is keen to initiate gold production under its granted mining licence. The latest resource upgrade, totaling 2.04 million tonnes at 1.69 g/t for 110,687 ounces, sees 71 percent of the resource classified in the high-confidence indicated category, positioning Javelin to pursue a contract mining scenario within the next year.
Strategic Focus on Southern Eureka Pit
Much of the upgraded indicated resource is concentrated beneath the southern end of the Eureka pit, which is central to Javelin’s immediate mining strategy. The company aims to extract approximately 34,000 recoverable ounces from this area. With the newly identified 78,678-ounce indicated resource, Javelin is now evaluating the potential to expand its production profile, especially as gold prices remain robust, trading well above $5,000 per ounce.
Recent drilling has played a crucial role in confirming substantial near-surface oxide mineralisation located just 100 metres south of the pit, as well as identifying a high-grade northern shoot. Both discoveries lie outside the newly upgraded resource but underscore the exploration potential at Eureka.
Brett Mitchell, executive chairman of Javelin Resources, remarked, “We are planning further exploration drilling with the aim of growing the resource and upgrading more of the inferred ounces to indicated. There is now overwhelming evidence that the upside at Eureka is extremely strong, both on the exploration and production fronts. We have a great opportunity to generate significant shareholder value.”
Exploration and Mining Plans Ahead
Javelin is currently engaged in advanced discussions with contract mining and processing operators and is exploring toll treatment options at nearby facilities, including Zijin Mining’s Paddington operation, situated 20 km south of Eureka. The existing pit is in excellent condition for mining operations, located on four granted mining leases within Australia’s most active goldfield.
The project is strategically positioned near multi-million-ounce deposits like Paddington and Ora Banda’s Davyhurst mines, enhancing its appeal. The deposit features quartz vein-hosted gold contained within sheared mafic rocks, which has historically yielded high-grade results. Notable past intercepts include 4 metres at 134 g/t and 3 metres at 48.75 g/t.
The southern pit’s oxide and transition zones, which host 15,774 ounces and 17,812 ounces respectively, are pivotal to Javelin’s near-term objectives. These shallow high-grade zones are conducive to contract mining, allowing the company to minimize capital expenditures while maximizing returns from a free-dig open-pit operation.
Javelin is recalibrating its studies to determine whether the additional 16,678 indicated ounces can enhance its 34,000-ounce mining target. Looking ahead, the company is preparing for a new drilling campaign slated for the next quarter, which will focus on down-dip extensions and a promising 1.1-kilometre strike potential to the north.
As Javelin balances its immediate cash flow needs with exploration prospects, an agreement for toll treating will be crucial. Investors and stakeholders will be closely monitoring the company’s progress as it aims to convert its resources into a viable cash-generating operation in Western Australia’s leading gold region.
