Central tanami

The Central Tanami Gold Project is located 42 kilometres north east of Tanami about 90 kilometres east of the Coyote Gold Project in the Northern Territory, near the border with Western Australia. It was previously known as Groundrush.

Central Tanami Project Includes Gold Treatment Plant

The Central Tanami Project contains a resource totaling 20,915 million tonnes grading at 2.6 grams a tonne that will return 1.747 million ounces of gold. It also includes a gold reserve of 3,744 million tonnes grading at 2.2 grams a tonne containing 269,300 ounces of gold. The project is made up of several mining and exploration leases covering an area of 2,000 square kilometres. It also contains a gold treatment plant capable of handling a throughput of 1.2 million tonnes of ore a year along with other necessary infrastructure.

Most of the Central Tanami Gold Project resource of 1.747 million ounces is located within an area covering 63 kilometres known as the north-south zone. Tanami Gold reassessed the Central Tanami Gold Project resource before the mine closed in 2013 resulting in it dividing the resource into four zones to facilitate ongoing feasibility work and resource drilling.

Central Tanami Gold Project Owned by Tanami Gold

Tanami Gold acquired the Central Tanami Gold Project from Newmont Mining Corporation in March, 2010. Newmont Mining Corporation had previously mined around two million ounces from the projects 43 open pits between 1987 and 2005. The region is regarded as being one of Australia's most productive gold producing areas.

Metals X to Acquire 75 percent interest in Central Tanami Gold Project

In February, 2015, Australian gold and tin mining company, Metals X, acquired a 25 percent interest in the Central Tanami Gold Project with the aim of earning a total of 75 percent interest by funding all expenditure and costs necessary to bring the project back into commercial production once again. It has been agreed that when commercial production commences the Central Tanami Gold Project will be operated as a joint venture with Metals X acting as the project's manager and operator with a 75 percent interest.

Commercial production will be considered to have been achieved once the Central Tanami Gold Project's gold processing plant has been refurbished and to have been operational for 30 days, or to have produced 5,000 ounces of gold, whichever is to occur first.

Central Tanami Project Previously Known as Groundrush

The Groundrush ore system on which the Central Tanami Gold project is based is a large, high grade ore body that also lends itself to future underground mining operations that would be able to operate at very competitive costs and high production levels.

While Metals X is funding the re-opening of the Central Tanami Gold Project with the refurbishing of the existing gold treatment plant, it will also be conducting an exploration program on the appropriate tenements it considers favourable to further extend its known gold resource.

The major sharholder in Metals X is Chinese owned APAC Resources Limited which has a 23.9 percent interest. APAC Resources Limited is a natural resources investment and commodities company listed on the Hong Kong Stock Exchange. Its other major shareholder is Jinchuan Group with a 10.58 percent shareholding. Jinchuan Group, a large state owned mining and commodities company is based in the Gansu Province in North West China.