Vertex Minerals (ASX:VTX) (Vertex or the Company) is pleased to report the acquisition of a Boart Longyear LM90 underground drill rig, in line with its stated strategy to advance exploration drill works at the high-grade Reward gold mine.
HIGHLIGHTS
Vertex has acquired a Boart Longyear LM90 underground drill rig to advance exploration at the Reward gold mine below the existing resourceThe Vertex team are planning diamond drill programs for the following:Below the current JORC-2012 Reward Resource (see drill collar locations on Figure 1), with the aim of expanding upon the existing resourceFosters Exploration Target, and the South Star prospect areaAcquisition of the LM90 follows an extensive review of the mineralisation potential below the Reward resource, which has only been drilled up to 50m below the Amalgamated Adit. This area targeted is referred to as the ‘Reward mid depths’ as it is located just 80m to ~200m below the Amalgamated Adit. Refer to figure 1Upon commissioning of the LM90 drill rig, Vertex have planned eight drill holes to target the high-grade Fosters Exploration targetThe LM90 has several advantages well-suited to Vertex’s requirements, including:The ability to work on surface and undergroundSafe, Semi-automated, with a rod-handler system which allows for less manual handlingAllows greater flexibility in drilling over a number of resource and exploration areasLM 90 rigs are well-established in the industry as safe and reliable underground drill rigsVertex acquiring its own rig has many advantagesPer-metre drill costs will be significantly less than hiring an external drill contractorMore control and accuracy over precision of drilling.Works well with Job sharingReduces pressure on Mining crew to have drill cuddy availabilityThe LM90 rig will be accounted for as an asset on the Vertex balance sheet
Executive Chairman, Roger Jackson, commented: “The acquisition of the LM90 was completed on attractive commercial terms, and followed an extensive review process by the field operations team to acquire a rig that was fit-for-purpose to advance our broader exploration strategy. This is an important development for Vertex and we’re excited to get started with targeted drill works that have the potential to unlock significant value from the project. Our analysis has shown that it is significantly cheaper, safer and more practical to drill the Reward mine from underground, which is exactly what the LM 90 allows us to do. With an extensive framework of priority drill targets already set out, we look forward to advancing exploration and building on what is already an exciting resource at the Reward mine.”
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