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Nova Minerals engages Whittle Consulting for Estelle optimisation efforts in partial share agreement

Published 02/10/2024, 10:00 am
Updated 02/10/2024, 10:30 am
© Reuters.  Nova Minerals engages Whittle Consulting for Estelle optimisation efforts in partial share agreement
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Nova Minerals Ltd (ASX:NVA, NASDAQ:NVA) has launched a project-wide optimisation effort ahead of upcoming economic studies and the RPM starter mine pre-feasibility study (PFS), engaging Whittle Consulting to spearhead the effort.

In a validation of the project’s chops, Whittle has agreed to take an 18% portion of their consulting fees in Nova shares.

“We like Nova Minerals' open-minded approach and agility,” Whittle Consulting CEO Gerald Whittle said.

“The Estelle Project presents near surface high-grade ore which lends itself to a highly profitable small-scale selective-mining approach to get into production and cash flow early, to contribute to a large expansion later to exploit the full potential of the ore body.”

Optimising near-term, small-scale operation

With gold at record prices and the value of critical minerals like antimony climbing, Nova has chosen to advance Estelle with an eye to a small-scale operation with a swift development period, providing revenue from near-surface, high-grade areas with minimal cost and a short permitting period.

Read: Chinese limits on antimony exports offer powerful opportunity for Nova Minerals’ Estelle Project

While the small-scale operation will be the focus of the study, it will also dovetail into a plan for realising the full value of the resource within the project area in the long term.

This initial optimisation study will also inform engineering, test work, and drilling activities ahead of the PFS, which is targeted for 2025.

“Nova consists of a small team working on the very large Estelle Project and I am pleased with what we have been able to accomplish to date,” Nova CEO Christopher Gerteisen said.

“Now is the time take the next step by engaging high calibre consultants like Whittle Consulting to accelerate the PFS which will be initially focused on RPM as a scale-able low capex/high margin project with future expansion plans achieved through cashflow as soon as possible.”

Gerteisen says completing a PFS for RPM will position NVA to submit permit applications, a major step down the path to project development.

Highly valuable precious and critical minerals

“In parallel, we are also focused on the commercial aspects including financing and/or strategic partners which early discussions indicate may yield significant reductions in capital and operating costs,” Gerteisen continued.

“We look forward to updating on these fronts as we continue to progress.

“Estelle is a major mineralised trend, hosting gold, antimony, silver, copper and other critical elements and we are working to begin production as early as possible and operate for decades supplying the minerals the world needs.

“In addition, we are very aware of the value of a domestically sourced critical mineral antimony, and we are looking at these discoveries from many angles with multiple parties to potentially establish and fully secure the US supply chain.

“We are excited to keep you updated on this as the year progresses.

“To date, we have achieved our goals and are on a path to commercial production while minimising dilution to our existing shareholders.

“We will keep our shareholders updated as relevant studies are ongoing and completed.”

Estelle’s scalable development strategy is considering:

  • Establishing an initial lower capex smaller scale operation at the high-grade RPM deposit for potential near term cashflow at high margins to self-fund expansion plans; and/or
  • Developing the higher capex larger mining operation with increased gold production, cash flow, and mine life, which is of interest to potential future large gold company strategic partners.
  • Advancing the Stibium Antimony-Gold Prospect after China announced export restrictions on antimony, and investigating the prospect as an additional small scale, stand-alone, quick start up cash flow opportunity, with potential US Deptartment of Defense (DoD) support.
  • Read more on Proactive Investors AU

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