Pantoro Ltd (ASX:PNR) has had a busy year at its Norseman and Halls Creek projects in WA, with the confirmation that discussions have advanced with Tulla Resources Plc (ASX:TUL) for the consolidation of the 50%-owned Norseman Gold Project into a single entity.
Discussions to date are focused on Pantoro moving to 100% ownership of Norseman and for the project to become the company’s major focus, though there is no certainty of a transaction at this point.
Pantoro is being advised by amicaa Advisors on this matter.
Halls Creek
After completing an operational review of the Halls Creek base metals operation in the state's north, the company decided to suspend capital development pending an improvement in market operating conditions.
In the meantime, ore development is to be completed on the levels underway with mining and stope production of developed ore to continue during the next six months.
The mine near Halls Creek will be placed on care and maintenance ahead of the recommencement of operations, while substantial underground and open pit ore reserves remain in situ at the mine.
Halls Creek Project presents a number of operational opportunities as market conditions improve.
The Wagtail South ore reserve remains unmined with development completed on two levels which are below the JORC reserve. In addition, the Rowdies orebody which is developed to the 1930 mRL, continues to return high-grade drilling results at depth.
Lamboo potential
Base metal results from primary sulphide mineralisation have now been received from the nearby Lamboo PGE Project confirming the presence of platinum group elements (PGE), nickel and copper sulphides.
Lamboo has generated interest from multiple large mining companies in recent times and is under review for potential investment.
Pantoro will consider potential options for the project during the current wet season while planning additional work programs.
Results to date support the potential for a large mineral resource at Lamboo.
Final drilling results from the 2022 drilling campaign will be compiled this month and initial modelling will be undertaken with a view to generating an initial inferred mineral resource and exploration target for the project.
Norseman
At Norseman, operations are continuing to ramp up with ongoing improvements in open pit and underground performance.
Weekly gold shipments have continued since the first gold pour on October 13, 2022, with around 7,300 ounces produced to date.
The company continues to optimise the processing plant as the ore blend of fresh and oxide mineralisation approaches design capacity.
Scotia open pit is advancing toward high-grade ore after large initial cutback completion. Scotia is expected to provide a consistent ore supply from February 2023, reducing the reliance on Green Lantern.
Development into scheduled ore faces is progressing in the upper levels of the OK mine, while dewatering is expected to wind up in January 2023, providing access to the unmined high-grade O2 orebody.
Additionally, back-reaming of the delayed surface egress ladderway rise is underway, with 57 metres of 190 metres completed as of January 2, 2023.
Once the rise is done, the company will be able to kick off stoping during the March 2023 quarter.