Mt Ida Strikes Higher with Baldock

Key Concepts

• Baldock Infield Drilling: Drilling program focused on defining and upgrading the resource at the Baldock deposit.
• Bulldog Deposit: Existing, fully permitted mine providing base load feed for processing.
• Resource Risk: The uncertainty associated with the quantity and quality of mineral resources.
• Ore Reserve: The economically mineable portion of a resource.
• Underground Mining: Mining method accessing ore bodies at depth, typically more cost-effective for deeper deposits.
• Decline: A sloping tunnel used for access in underground mining.
• Ventilation Backbone: System providing fresh air to underground workings.
• Regional Targets: 53 identified areas outside of Baldock and Bulldog with potential for mineralisation.

Baldock Infield Drilling Results & Future Strategy

The announcement represents the sixth update regarding drilling results at the Baldock infield deposit, serving as a significant validation of the high-grade resource identified. The primary benefit of these results is the increased confidence in the continuity of the ore body, particularly evidenced by the presence of “broad, wide intersections” in recent drilling. This directly addresses a key risk for any mining project – resource risk – by demonstrating the reliability of the resource estimate.

Drilling Parameters & Initial Mine Plan

The Baldock infield drilling program was completed with a drill hole spacing of 20m x 20m, focusing on the upper 350 meters of the resource. This targeted approach supports the company’s initial goal of establishing a minimum 5-year mine plan at Baldock, underpinned by a defined ore reserve. The existing Bulldog deposit currently handles all heavy lifting and provides the base load feed for processing operations.

Expansion & Long-Term Vision

Following completion of the infield drilling, an extensional drilling program is planned for Baldock in the next calendar year. This program aims to extend the mine life to 8-10 years. The strategic focus on Baldock for resource growth is deliberate, leveraging the existing fully permitted status of Bulldog. The company anticipates Baldock will be developed as predominantly an underground mine.

Underground Mining Advantages & Depth Target

The rationale for an underground mine at Baldock centers on the economies of scale achieved after initial infrastructure is established. As stated, “once the decline, primary ventilation, backbone of power and water services are established everything from that point becomes incremental.” This makes leveraging Baldock’s potential particularly efficient. Importantly, the targeted depth for growth within the underground mine is between 350 and 750 meters, considered “quite shallow” for an underground operation, potentially reducing development costs.

Timelines & Regional Exploration

A resource update for Baldock, alongside a maiden ore reserve estimate, is expected by mid-next year. Concurrently, the company will systematically evaluate the 53 regional targets identified across the project area. This systematic approach is anticipated to yield “a couple of maiden resource updates for the regional prospects as well,” diversifying the resource base beyond Baldock and Bulldog.

Synthesis

The recent Baldock infield drilling results significantly de-risk the project and support the development of a robust 5-year mine plan. The strategic shift towards expanding the resource at Baldock, utilizing underground mining techniques, and concurrently exploring regional targets positions the company for long-term growth and resource diversification. The focus on leveraging existing infrastructure at Bulldog and the relatively shallow depth of the targeted underground mining operation contribute to the project’s economic viability.