Myanmar Metals Ltd (ASX:MYL) has added 34 million tonnes of low-grade material to the initial resource estimate of the Bawdwin project in Myanmar.
This material takes the inferred resource to 75.9 million tonnes at grades of 4.6% lead, 2.3% zinc, 0.25% copper and 119 g/t silver.
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John Lamb, chairman, said: “The revised resource estimate is further evidence of the significant unlocked value of the Bawdwin deposit.”
The material was not included in the maiden estimate completed in October owing to the low grade.
However, an open pit optimisation study by CSA Global indicates that a reduced cut-off grade for lead reflects potential economic extraction.
The study, which is part of a wider scoping study, demonstrates significant potential for a very low cost open pit operation.
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“The opportunity to recover additional low-grade material from within the pit shell is compelling as it adds a substantial amount of contained metal into the total resource,” Lamb said.
Scoping study expected within a week
“Based on these revised estimates, we expect to publish the scoping study in the coming week.”
Myanmar Metals, formerly Top End Minerals Ltd (ASX:TND), is focused on the historical Bawdwin Mine, which was reputedly one of the richest mines in the British Empire before World War II.
Bawdwin was a world-class mine when in production and occurs in a volcanic complex that has never experienced systematic modern exploration.
Second drill program planned
The company’s in-country partner Win Myint Mo Industries is planning a second drill program in January.
This is expected to lead to a further mineral resource estimate update.