Mutiny Gold has confirmed five new gold mineralisation zones within the White Well Project area, located about 30 km east of Cue in the Tuckabianna Mineral Field in Western Australia’s Murchison Goldfields.
In February 2009, Mutiny released an Initial Scoping Study report for White Well, which confirmed that based on preliminary modeling and sensitivity analysis estimates net cash flows of $22 M at a gold price of $1,300/oz; of $34 M at $1,450/oz and of $47 M at $1,600/oz could be achieved. According to the company, required capital for the project is likely to be about $10 million.
The Scoping Study also confirmed that the White Well Project could commence production within 12 months.
Mutiny Gold Managing Director, John Greeve believes confirmation of The Bounty Zone, discovery significantly enhances the economics of the White Well Project.
“While preparation for the Feasibility of the White Well Mine is well underway the Company understands it is extremely important that it continues with development of the resource”.