Quick Facts
- Ownership: 51%
- Type of mine: Underground
- 2011 attributable gold production*: 66,505 oz
- 2012 expected attributable gold production*: up to 65,000 oz
- Attributable M&I gold resource*: 500,000 oz
- Resource grade : 6.74 g/t Au
- Expected mine life: 7+ years
*Attributable to La Mancha
Overview
The Frog's Leg mine is located 20 km directly west of the city of Kalgoorlie in Western Australia. It lies within a tenement owned by the Mungari East Joint Venture (La Mancha 51%, Avoca Resources Ltd. 49%), operated by La Mancha. We put Frog's Leg, a former open pit mine, back into production as an underground mine in 2008. It entered commercial production in 2009.
Long-Term Potential
Since production began, Frog's Leg has consistently met or exceeded its targets. The deposit is robust, and consistently returns strong exploration results. An extensive underground resource drilling program was carried out in 2010 to test the continuity of the Frog's Leg deposit at depth. The program significantly surpassed expectations, outlining a total of 348,000 Measured and Indicated ounces of gold (177,480 ounces attributable to La Mancha). We are now preparing a new reserve and life-of-mine plan to demonstrate the potential for mine development down to the 600-metre level.
Current exploration program
In light of the success of the 2010 exploration program, five deep exploration holes are planned for 2011, targeting mine extensions identified in the resource model from the 2010 extension drilling program down to the 1,000-meter level.
Attributable Resources and reserves
| Frog's Leg (51%) | Tonnes | Au (g/t) | Au (oz) |
|---|
| Proven Reserves |
954,000 |
6.00 |
184,000 |
| Probable Reserves |
1,212,000 |
5.57 |
217,000
|
| Sub-total |
2,166,000 |
5.76 |
401,000
|
| Measured Resource |
1,090,000 |
7.26
|
254,000
|
| Indicated Resource |
1,220,000 |
6.28 |
246,000
|
| Total Measured and Indicated |
2,310,000
|
6.74 |
500,000 |
| Inferred Resource |
114,000 |
5.21
|
19,000 |
|
The resources shown include the reserves.
Reported mineral reserves have been calculated in accordance with definitions and guidelines adopted by the Canadian Institute of Mining, Metallurgy and Petroleum. Unlike proven and probable mineral reserves, mineral resources (of all categories) do not have demonstrated economic viability.
In mining operations, measured and indicated resources are considered uneconomic at the price used for reserves calculations.
All calculations dated at 31/12/2011