Name of the Project
Youanmi gold project.

Location
Murchison region of Western Australia.

Project Owner/s
Rox Resources.
 
Project Description
The project encompasses underground mine production from the Youanmi main lode, Link and Pollard deposits.

A prefeasibility study (PFS) has confirmed the potential to develop a financially attractive, standalone high-grade and -margin gold project with an initial 7.7-year mine life.

The project has a maiden probable ore reserve estimate of 3.83-million tonnes at 4.4 g/t gold for 546 000 oz of contained gold.

The PFS envisages production of 786 000 oz of gold doré over the life-of-mine (LoM), averaging 103 000 oz/y over the LoM.

There is significant upside in the project, with the underground resource remaining open down-dip and along strike, and near-mine exploration targets of between 1.1-million ounces and 1.8-million ounces. These targets have the potential to increase the yearly production rate and mine life of the project if Rox is successful in converting those ounces into resources and, ultimately, ore reserves.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
At a conservative gold price of A$3 100/oz, the project has a pretax and unleveraged net present value, at an 8% discount rate, of about A$486-million (after-tax A$322-million) and internal rate of return of about 42% (after-tax 33%), with a payback of 2.9 years (after-tax 3.3 years) from the completion of construction and commissioning.

Capital Expenditure
Preproduction capital is estimated at A$245-million.

Planned Start/End Date
Not stated.

Latest Developments
Rox Resources has announced strong investor support for a A$26-million capital raise.

The two-tranche placement of 185.7-million shares at A$0.14 a share represents a 17.6% discount to the last closing price and a 16.1% five-day volume-weighted average price.

The company will also offer a A$1-million share purchase plan to shareholders at the same price.

“The capital raising will see the Rox team well funded to advance near-mine growth drilling, finalise the definitive feasibility study and commence parallel workstreams, including dewatering, to accelerate our path to early production at Youanmi.

“We have a strong foundation to build on, and we look forward to updating the market as we advance the . . . project through the definitive feasibility study towards a final investment decision, targeted for the [2026 financial year],” CEO Phill Wilding has said. 

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Rox Resources, tel +61 8 9226 0044 or email admin@roxresources.com.au.