DE GREY MINING LTD
Corporate Overview
De Grey Mining Limited (ASX: DEG) is a Western Australian gold explorer and project developer focused on the Mallina Gold Project in the Pilbara region. The Company made a significant gold discovery at Hemi, which is an intrusion-hosted form of gold mineralisation, with potential for large scale, low cost open pit mining methods. An ongoing extensive drilling program is being conducted to test the deposit’s extent and infill, with a maiden Mineral Resource Estimate expected by mid-2021. The Mallina Project already has a 2.2Moz Mineral Resource, and several untested mineralised intrusions and shear-hosted targets remain within De Grey’s 150km long corridor. The Project is advantageously located near critical infrastructure, including two major sealed highways, two gas pipelines, and a high voltage powerline, within a short distance of Hemi.
De Grey Mining aims to discover and develop high-quality gold resources in a safe, responsible, and sustainable manner. The company’s mission is to create value for all stakeholders, including employees, shareholders, communities, and the environment, by adhering to its core values.
De Grey Mining aspires to be a leading gold explorer and project developer in Western Australia, with a strong commitment to safety, personal responsibility, respect, empathy, integrity, and innovative thinking. The company envisions achieving sustainable growth and profitability while creating a positive impact on people and the planet.
Key Personnel
Simon Lill
Non-Executive Chairman
Glenn Jardine
Managing Director
Peter Hood AO
Independent Non-Executive Director
Andy Beckwith
Executive Technical Director
Paul Harvey
Non-Executive Director
Emma Scotney
Non-Executive Director
Peter Canterbury
Chief Financial Officer
Phil Tornatora
General Manager Exploration
Allan Kneeshaw
Manager Business Development
Bronwyn Campbell
General Manager Community Relations
John Brockelsby
General Manager Risk, Health, Safety & Environment
Craig Nelmes
Company Secretary
Courtney Morgan-Evans
General Manager People & Capability
Rod Smith
Study Manager
Projects
De Grey Mining (ASX:DEG) focuses primarily on the 100% owned Mallina Gold Project located in the Pilbara region of Western Australia. In late 2019, the company discovered a large-scale, high-value, near-surface gold deposit at an area called Hemi. This intrusion-hosted form of gold mineralisation is new to the Pilbara region and exhibits a previously unseen scale of mineralisation in the Mallina Basin.
The Hemi discovery has a high value driven by its size, grade continuity, and potential for growth. It has the potential to be mined by large-scale, low-cost open pit mining methods, with low strip ratios. Hemi is currently composed of six main zones – Aquila, Brolga, Crow, Diucon, Eagle, and Falcon. Mineralisation has been confirmed over an area of more than 3,500m north-south, 3,500m east-west, and to depths of up to 500m in some areas. Hemi remains open in multiple directions, and there is significant potential to further extend mineralisation.
De Grey Mining undertook an extensive drilling program combining aircore, reverse circulation (RC), and diamond drilling to test the extent of the deposit and infill, resulting in the release of a high-quality maiden Mineral Resource Estimate of 6.8Moz at Hemi on 23 June 2021. For the latest information on exploration and drilling results at Hemi, the company recommends viewing their ASX Releases, Corporate Presentation, and Videos.
De Grey’s immediate growth strategy is linked to increasing gold resources, extending deposits, and making large new discoveries. The company has a three-tiered exploration strategy at the Mallina Gold Project following the discovery of Hemi in late 2019.
The first tier involves establishing Tier 1 production potential from Hemi and nearby zones by proving significant extensions to the mineralisation footprint and at depth using RC and diamond drilling. The second tier involves delineating the known mineralised intrusives within a 15 kilometre radius of Hemi and using aeromagnetics and aircore drilling to test for new intrusions throughout the Mallina Gold Project, referred to as Greater Hemi. The third tier involves using aeromagnetics and aircore drilling to test for new intrusions throughout the Mallina Gold Project and testing for other mineralisation styles across the 200km of shear zones to continue to incrementally expand the existing 2.2Moz resources outside Hemi, referred to as regional exploration and shear-hosted opportunities.
Milestones
Completed Milestones
- Pre-Feasibility Study Completed – Confirms a technically and financially compelling project
- Mining Agreement with the Kariyarra People – Hemi, project infrastructure and most Regional deposits
- Mining Lease Applicationm – Hemi and most Regional deposits
- Technical De-Risking – Continued pilot scale metallurgical testwork and optimisation
- Infill Drilling To Build Reserves for DFS – Complete this quarter then refocus on exploration
- Project Finance Process Advancing – Strong interest from potential debt providers using PFS
Upcoming Milestones
- Completion of DFS and Project Studies – Mid-2023 including detailed engineering, development schedule and cost estimate
- Order Long-Lead Time Items – Key project infrastructure including major process plant equipment
- Complete Project Approvals Process – Focus on environmental and other statutory permitting
- Project Funding Strategy – Mid-2023 with potential financiers utilising DFS to support a final investment decision
- Organisation Capability – Project Director appointed building capability for project development continues
- Continuing Exploration – Targeting the discovery of shallow, +1Moz deposits
