TORONTO, Aug. 18,
2022 /CNW/ - Vox Royalty Corp. (TSXV:
VOX) (OTCQX: VOXCF) ("Vox" or the "Company") a
returns focused precious metals royalty company, is pleased to
provide recent development and exploration updates from royalty
operating partners Norton Gold Fields Pty Ltd. ("Norton Gold"), Northern Star Resources
Limited (ASX: NST) ("Northern Star"), Black Cat Syndicate
Limited (ASX: BC8) ("Black Cat"), Norwest Minerals Limited
(ASX: NWM) ("Norwest"), and Tartisan Nickel Corp. (CSE: TN)
("Tartisan").
Kyle Floyd, Chief Executive
Officer stated: "The past two months have seen material progress
on certain Vox gold royalty assets, with the opening of the Binduli
North gold mine, ongoing construction at the Otto Bore gold mine by
Northern Star and meaningful pre-production planning at the Bulong
and Bulgera gold toll-treatment projects. This progress continues
to support Vox management expectations of organic growth from 6 to
10 or more producing royalties by late 2023 and further revenue
growth."
Key Updates
- Official opening of the Binduli North heap leach mine covered
by the Janet Ivy gold royalty, released by Zijin Mining Group Co.,
Ltd.'s (HKSE: 2899) ("Zijin Mining") subsidiary,
Norton Gold;
- Construction update for the Otto Bore gold mine by Northern
Star;
- Final high grade drilling results at the Myhree gold deposit by
Black Cat, which is covered by the Bulong royalty;
- Development of pit designs, completion of a potential site
layout and preparations for Mining Lease application at the Bulgera
gold deposit by Norwest; and
- Completion of a Preliminary Economic Assessment ("PEA")
and permitting update on the Kenbridge nickel project by Tartisan,
indicating a potential 9-year mine life with a goal of production
in approximately 3 years.
Janet Ivy (Producing –
Western Australia) – Binduli North
Gold Mine Official Opening
- Vox holds an uncapped A$0.50/tonne production royalty over the Janet
Ivy gold mine in Western
Australia;
- In March 2022, Zijin Mining filed
a mining proposal for the Binduli North 5Mtpa heap leach gold
project, which was further described in Vox's operator update
released on June 9, 2022;
- On July 8, 2022, the Western
Australian State Government announced:
- "The McGowan Government has congratulated Norton Gold Fields for officially opening its
A$278 million Binduli North heap
leach project;
- The project created 300 jobs during construction and will
employ 200 workers during production; and
- The operation has an estimated 10-year life span and is
expected to produce an average of 75,000 ounces of gold per
year."
- Vox Management Summary: The official opening of the Binduli
North mine is a major growth milestone for Vox and expected to
unlock annual royalty revenues of A$2M – A$2.5M over
the mine's ~10-year life. This expansion was the key potential
catalyst that supported Vox management's decision to acquire the
Janet Ivy royalty for ~A$5.5M in
March 2021.
Otto Bore (Development –
Western Australia) – Construction
Update
- Vox holds a 2.5% net smelter return royalty (between 42koz –
100koz cumulative production) over the Otto Bore gold project in
Western Australia, acquired in
conjunction with the producing Janet Ivy / Binduli North gold
royalty in March 2021;
- On July 20, 2022, Northern Star
announced:
- At Thunderbox, open pit mining continued with D Zone pre-strip
and the installation of key infrastructure at Otto Bore to support
open pit mining operation;
- 12% of Northern Star's A$650M
group growth capex in FY23 is to be spent at Yandal hub on:
- Completion of the Thunderbox mill expansion, which is on track
and on budget for commissioning and ramp up in the first half of
2023;
- Establishment of the Otto Bore mine; and
- New tailings dam.
- Vox Management Summary: Otto Bore is expected to become
Vox's seventh producing royalty asset, commencing in the second
half of 2022. Northern Star are developing this new gold mine as a
feed source for the low-cost Thunderbox mill ahead of Vox
management expectations.
Bulong (Pre-Construction –
Western Australia) – Final Grade
Control Drilling & Toll Treatment Update
- Vox holds an uncapped 1% net smelter royalty over part of the
Bulong gold project in Western
Australia;
- On July 29, 2022, Black Cat
announced:
- Final Reverse Circulation ("RC") grade control drilling
at Myhree was undertaken in June
2022. The first half of assay results have been returned and
reinforced the high-grade open pit Ore Reserve of 0.6Mt @ 2.4 g/t
Au for 46koz(1);
- Results include:
- 5m @ 19.63 g/t Au from
33m (22MYGC037);
- 7m @ 7.36 g/t Au from
30m (22MYGC038);
- 3m @ 7.29 g/t Au from
18m and 6m @ 13.91 g/t Au from 32m (22MYGC022);
- 4m @ 12.38 g/t Au from
37m (22MYGC036);
- 7m @ 4.89 g/t Au from
8m (22MYGC031);
- 3m @ 8.21 g/t Au from
6m (22MYGC032);
- 2m @ 10.24 g/t Au from
5m (22MYGC033);
- 4m @ 6.36 g/t Au from
27m (22MYGC039);
- 3m @ 11.12 g/t Au from
27m (22MYGC040);
- All grade control drilling at Myhree is now complete and
remaining assays are expected in August
2022;
- Myhree open pit is fully approved and mining can commence once
an ore processing solution is secured, discussions with interested
parties are ongoing; and
- Black Cat's Managing Director, Gareth
Solly, said, "Myhree was Black Cat's first discovery in
2018 and it is satisfying to know it has the potential to be our
first producing mine. With the final results due within weeks,
Myhree is now ready for production, subject to securing a
processing solution for the high-grade ore."
- Vox Management Summary: Since Vox acquired the Bulong gold
royalty from an Australian automotive group in September 2020, the project has been aggressively
advanced by Black Cat and is progressing closer to production.
Black Cat is guiding towards potential commencement of toll-treated
production from October 2022
onwards.
Bulgera (Exploration –
Western Australia) – Pit Designs
& Mining Lease Application
- Vox acquired the uncapped 1% NSR royalty over the Bulgera gold
project in Western Australia for
A$225k in March 2021;
- On July 29, 2022, Norwest
announced:
- Economic pit optimisation shells were developed into proper pit
designs for the Bulgera, Mercuiri and Price deposits and a site
layout completed;
- The company is compiling information and taking steps required
to lodge an application for converting the project exploration
license to a mining license;
- The application is currently being compiled and submission to
the Department of Mines, Industry Regulation and Safety (DMIRS) in
Western Australia is expected next
quarter;
- Discussions to toll treat Bulgera gold resources continue with
the local gold plant operator; and
- A program of drilling 15 x 200m
RC holes to the west and east along strike from the Bulgera open
cut has been approved and the commencement of this drill program is
planned for 2023.
- Vox Management Summary: The Bulgera royalty was acquired for
A$225k less than 18 months ago and is
rapidly being fast-tracked towards a development decision with a
mining license application expected next quarter. We look forward
to the outcomes of ongoing discussions with the local gold plant
operator regarding potential toll treatment.
Kenbridge (Development –
Canada) – Preliminary Economic
Assessment Results & Permitting Update
- Vox holds an uncapped 1% net smelter return royalty on part of
the Kenbridge nickel-copper project in Canada, which is subject to a full buyback
right for C$1.5M in favour of
Tartisan. Vox's 1% NSR royalty was originally created in
January 2018 as part of a debt
settlement between former Kenbridge project operator Canadian Arrow
Mines Limited and Breakwater Resources Limited (as a subsidiary of
Nyrstar);
- On July 12, 2022, Tartisan
announced the completion of a positive PEA for the Kenbridge Nickel
Project(2), with the following highlights:
- A 9-year mine plan based on a 1,500 tonne per day underground
mining and processing operation;
- Life of mine revenues from net smelter returns are estimated at
C$837 million (assuming USD metal
prices of USD$10/lb Ni, USD$4/lb Cu and USD$26/lb Co and a USD:CAD exchange rate of
0.78);
- Measured and Indicated mineral resources represent 3,508,000
tonnes at 0.70% Ni, 0.35% Cu and 0.01% Co (54 Mlb Ni, 27 Mlb Cu);
and
- Inferred mineral resources represent 1,013,000 tonnes at 1.21%
Ni, 0.56% Cu and 0.01% Co (27 Mlb Ni, 13 Mlb Cu).
- On August 16, 2022, Tartisan
announced that:
- Initial environmental baseline studies have concluded;
- "Phase 2" environmental baseline studies have commenced and are
outlined as follows:
- Bathymetry for receiving waterbodies/Lakes surrounding the
project;
- Fisheries Studies on creeks and lakes surrounding the
project;
- Surface water quality sampling, stream flow monitoring and data
download, and groundwater quality sampling from spring 2022
installed monitoring stations;
- Water Quality Profiling and Sampling from receiving
waterbodies;
- Stage 1 Archeology Assessment;
- Stage 1 Geochemistry Assessment; and
- Tartisan's CEO Mark Appleby
commented, "Baseline studies continue at the Kenbridge Nickel
Project and signify the Company's commitment to an approximate
three years to production timeline. The Company is continuing to
review and implement all necessary steps in the permitting and
mining approval process. The recently announced PEA results
outlined robust economics and significant value of the Kenbridge
Nickel Project. The full PEA Report will be available on SEDAR
shortly".
- Vox Management Summary: The Kenbridge royalty rights were
acquired as part of the Nyrstar/Breakwater Resources portfolio of
royalties in January 2021 and the
project operator is now guiding towards potential first production
in approximately three years. As a past-producing underground
nickel-copper mine with an existing 609m shaft, this project has potential to be
fast-tracked back into production.
Qualified Person
Timothy J. Strong, MIMMM, of
Kangari Consulting LLC and a "Qualified Person" under NI 43-101,
has reviewed and approved the scientific and technical disclosure
contained in this press release.
About Vox
Vox is a returns focused precious metals royalty company with a
portfolio of over 50 royalties and streams spanning eight
jurisdictions. The Company was established in 2014 and has since
built unique intellectual property, a technically focused
transactional team and a global sourcing network which has allowed
Vox to target the highest return on invested capital in the royalty
sector. Since the beginning of 2020, Vox has announced over 20
separate transactions to acquire over 50 royalties.
Further information on Vox can be found at www.voxroyalty.com.
Cautionary Note Regarding Forward
Looking Information
This news release contains certain forward-looking
statements. Any statements that express or involve discussions with
respect to predictions, expectations, beliefs, plans, projections,
objectives, assumptions or future events or performance (often, but
not always, using words or phrases such as "expects" or "does not
expect", "is expected", "anticipates" or "does not anticipate"
"plans", "estimates" or "intends" or stating that certain actions,
events or results " may", "could", "would", "might" or "will" be
taken, occur or be achieved) are not statements of historical fact
and may be "forward-looking statements".
The forward-looking statements and information in this press
release include, but are not limited to, summaries of
operator updates provided by management and the potential impact on
the Company of such operator updates, statements regarding
expectations for the timing of commencement of development,
construction at and/or resource production from various mining
projects, expectations regarding the size, quality and
exploitability of the resources at various mining projects, future
operations and work programs of Vox's mining operator partners, the
receipt of future royalty payments derived from various royalty
assets of Vox, anticipated future cash flows and future financial
reporting by Vox, and requirements for and operator ability to
receive regulatory approvals.
Forward-looking statements and information are based on
forecasts of future results, estimates of amounts not yet
determinable and assumptions that, while believed by management to
be reasonable, are inherently subject to significant business,
economic and competitive uncertainties and contingencies.
Forward-looking statements and information are subject to various
known and unknown risks and uncertainties, many of which are beyond
the ability of Vox to control or predict, that may cause Vox's
actual results, performance or achievements to be materially
different from those expressed or implied thereby, and are
developed based on assumptions about such risks, uncertainties and
other factors set out herein, including but not limited to: the
requirement for regulatory approvals and third party consents, the
impact of general business and economic conditions, the absence of
control over the mining operations from which Vox will receive
royalties, including risks related to international operations,
government relations and environmental regulation, the inherent
risks involved in the exploration and development of mineral
properties; the uncertainties involved in interpreting exploration
data; the potential for delays in exploration or development
activities; the geology, grade and continuity of mineral deposits;
the impact of the COVID-19 pandemic; the possibility that future
exploration, development or mining results will not be consistent
with Vox's expectations; accidents, equipment breakdowns, title
matters, labor disputes or other unanticipated difficulties or
interruptions in operations; fluctuating metal prices;
unanticipated costs and expenses; uncertainties relating to the
availability and costs of financing needed in the future; the
inherent uncertainty of production and cost estimates and the
potential for unexpected costs and expenses, commodity price
fluctuations; currency fluctuations; regulatory restrictions,
including environmental regulatory restrictions; liability,
competition, loss of key employees and other related risks and
uncertainties.
Vox has assumed that the material factors referred to in the
previous paragraph will not cause such forward looking statements
and information to differ materially from actual results or events.
However, the list of these factors is not exhaustive and is subject
to change and there can be no assurance that such assumptions will
reflect the actual outcome of such items or factors. The
forward-looking information contained in this press release
represents the expectations of Vox as of the date of this press
release and, accordingly, is subject to change after such date.
Readers should not place undue importance on forward looking
information and should not rely upon this information as of any
other date. While Vox may elect to, it does not undertake to update
this information at any particular time except as required in
accordance with applicable laws.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Technical and Third-Party
Information
Except where otherwise stated, the disclosure in this press
release is based on information publicly disclosed by project
operators based on the information/data available in the public
domain as at the date hereof and none of this information has been
independently verified by Vox. Specifically, as a royalty investor,
Vox has limited, if any, access to the royalty operations. Although
Vox does not have any knowledge that such information may not be
accurate, there can be no assurance that such information from the
project operators is complete or accurate. Some information
publicly reported by the project operators may relate to a larger
property than the area covered by Vox's royalty interests. Vox's
royalty interests often cover less than 100% and sometimes only a
portion of the publicly reported mineral reserves, mineral
resources and production from a property.
References & Notes:
(1)
|
The Myhee drilling
results and information in Black Cat's 29 July 2022 announcement
that relates to geology, and planning was complied by Mr. Iain
Levy, who is a Member of the Australian Institute of Geoscientists.
See
https://www.asx.com.au/asxpdf/20220729/pdf/45c9knjl083f5m.pdf.
|
(2)
|
Tartisan's press
release titled, "Tartisan Nickel Corp. Provides Positive
Preliminary Economic Assessment For The Kenbridge Nickel Project,
Kenora Mining District, Northwestern Ontario" dated 12 July 2022.
Dean MacEachern, P.Geo. and Eugene Puritch, P.Eng, FEC, CET are the
respective Tartisan and independent Qualified Persons under NI
43-101. See
https://tartisannickel.com/tartisan-nickel-corp-provides-positive-preliminary-economic-assessment-for-the-kenbridge-nickel-project-kenora-mining-district-northwestern-ontario/.
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SOURCE Vox Royalty Corp.