Tongo Resources and Reserves

7.4 Mcts of Indicated and Inferred Resources

Leading independent technical consultants, MPH Consulting and Z-Star, completed an updated Mineral Resource estimate for the Tongo Mine Development in November 2018.  This estimate was based on 10,792 metres of detailed mine development drilling undertaken in 2018 and updated wireframe and geological models based on recent and historical drilling data (75,000m in total).

The updated estimate totals 7.4 Mcts of Indicated and Inferred Resources at a +1.0mm cut-off.

Tongo Mineral Resource estimate (+1.10 mm bottom size cut-off)

For full details of the Tongo Mineral Resource estimate, view the ASX announcement here.

1.1 Mcts initial Ore Reserve

In conjunction with completion of the Tongo Mine Development FEED Study in April 2019, Newfield declared an initial Ore Reserve estimate of 1.1 Mcts.

Notes: All Ore Reserve estimates are reported on a 100% basis and assume extraction by underground mining methods. The reference point for the definition of Ore Reserves is at point of delivery to the process plant.

The initial Ore Reserve estimate was limited to the Indicated Resource portions of the Kundu and Lando kimberlite dykes within the Tongo Mine Development (these total approx. 1.6 Mcts, +1.0mm cut-off).  These dykes are the first kimberlites targeted for commercial production and their Indicated Resource portions are at the shallower levels of the dykes.

The considerable body of Inferred Resources at the Kundu, Lando and Tongo Dyke-1 kimberlites (totalling approx. 5.3 Mcts, +1.0mm cut-off) remains capable of potential conversion to Ore Reserves upon future upgrade to its current level of resource classification. 

    Global Tongo carat classification (Reserves at +1.18mm cut-off, Resources at +1.00mm)

    To this end, and concurrently with planned project construction, Newfield intends to embark on a drilling and sampling program in order to upgrade a substantial proportion of the Inferred Resources (mostly delineated at depths greater than approximately 100 metres below surface) to Indicated status, with targeted eventual conversion of this material to Ore Reserves.

    For full details of the initial Tongo Ore Reserve estimate, view the ASX announcement here.

       
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