Xanadu’s focus is to maximise the development potential of the Kharmagtai deposit in the shortest possible time frame.

 A detailed infill and resource definition drilling program over the three main deposits (Copper Hill, White Hill and Stockwork Hill) is underway at Kharmagtai. Selective infill drilling comprises RC holes (100 metre by 100 metre spacing) over an approximate 150,000 square metres defining the orebodies from surface to depths of approximately 300m.

This drill programme has significant potential to expand the current resource, identify additional highergrade mineralisation and join Stockwork Hill and White Hill deposits. This will allow Stockwork Hill and White Hill to be mined from one larger open pit to improve economics by minimising capital costs and reducing operating costs. The program includes clear milestones to improve economics and optimising pit designs along with a drill program to move existing Inferred Resources into Measured and Indicated (M&I) categories with minimal selective infill drilling. 

Close spaced infill drilling will also allow Xanadu geologists to refine the geological controls on mineralisation to later target down-dip and along strike mineralisation more effectively. 

A Mineral Resource update for the Kharmagtai Project will be used to complete the PEA programme. Xanadu and industry leading consultants are currently assessing various options to identify the single case optimal project size and scale to progress to final PEA. 

The Mineral Resource update and PEA are due for release early in the fourth quarter.

Source: www.xanadumines.com