Summary of Projects
Cortona Resources is an Australian gold company that listed on the ASX in March 2006. The Board of Directors includes three geologists who are acutely focused on resource growth and project development. Cortona boasts a dynamic team of geologists operating from regional bases in both Orange and Perth. The Company is well funded, approximately $6.8M cash (Dec 2010), and maintains a healthy resource inventory which is set to expand significantly during 2011.
Following successful exploration programs at Majors Creek in NSW, the Company now has an interim global resource inventory of 1.615Mt @ 6.3g/t Au at Dargues Reef (June 2010) and a range of nearby exploration targets that offer considerable upside. Subject to approvals and financing Cortona are on track to produce gold by the first Quarter of 2012.
Since July 2007, Cortona’s principal focus has been the Majors Creek gold project, host to the State’s largest alluvial goldfield (historic production approx. 1.25Moz). A multi-million dollar diamond and RC drilling campaign commenced in October 2007. Drilling has tested a range of targets including extensions to the Dargues Reef resource, and previously untested mineralized outcrops and IP targets at the near mine Tory Boy, Dreadnought, Chinamans, Ruby Lode, Thompsons,Tulloch, Hughen, Snobs and Copper Ridge prospects. Cortona believes that the project area represents a new emerging Australian gold camp displaying significant upside.
The latest Dargues Reef Indicated and Inferred mineral resource statement (2010) comprises 327,300 ounces (1.6Mt @ 6.3g/t Au) contained within 2m to 10m wide ‘sulphide lodes’ associated with quartz-sericite-carbonate-pyrite alteration of the host granodiorite. The quoted mineral resources have been calculated to a depth of 450m, the mineralisation at Dargues remains open and has not been closed off by deep drilling.
Cortona’s first phase of drilling was designed both to test the extent of mineralisation within the upper 200m of the lode system, and upgrade the resource category. The previous resource estimate (October 2008) confirmed the strike extensions and almost doubled the original grade. A full feasibility study is now complete and the decision to mine has been made. The Dargues Reef deposit (1.615Mt @ 6.3g/t Au for 327,300oz) remains open in all directions. Mine and plant design are well advanced, the Environmental Assessment Review that opened for public submissions in October has closed and the findings are in the process of being submitted to state authorities for review, all necessary government approvals are expected by early 2011 with construction commencing Q2 2010 and production scheduled for the beginning of 2011.
Subject to approvals and financing ore processing will commence at 270,000tpa in early 2012 and ramp up to 330,000tpa by 2013, resulting in total production of 248,900oz of gold and 73,144oz of silver over a six year period. The mining inventory does not include the recently discovered Ruby Lode (12.6m @ 9.90g/t Au) or Chainman’s Prospect (4m @ 28g/t Au), which are located <200m from the proposed development portal, nor does it include the depth and strike extensions of Dargues Reef or Plums (6m @ 5.63 g/t). The recently identified shallow nearby mineralisation will be the focus of the Companies Christmas drilling campaign.
The Company’s Western Australian projects were recently sold to Silver Lake Resources, the adjoining tenement holder, for $2.7M, the agreement was finalized in late November 2010 and Cortona now have cash resources in excess of $6.8M (December 2010).
The Companies principal objectives during 2010 has been to firm up and improve existing resources with infill drilling at Dargues Reef whilst also targeting outcropping mineralisation and other anomalous areas within the extensive tenement portfolio. Drilling at Dargues during 2010 resulted in the discovery of the adjoining Bonanza lode at Dargues Reef which has returned spectacular intersections including 5.7m @ 97.1g/t Au and the identification of shallow near mine lodes including Plums, Scarlet, Carmine, Chinamans and the Ruby Lode. To date none of the nearby lode mineralisation discovered at Dargues has been included in the resource calculation.
Cortona boasts a dynamic team of geologists operating from regional bases in both Orange and Perth. The Company is well funded and maintains a healthy resource inventory which is set to expand significantly during the coming year.
