Javelin Minerals has made significant progress at its Eureka gold project, located north of Kalgoorlie, Western Australia, by upgrading its gold resource in the higher confidence indicated category. The company announced a boost in its indicated resources by 27 percent to 78,678 ounces of gold, enhancing the overall grade by 16 percent to 1.69 grams per tonne (g/t). This upgrade positions Javelin to accelerate gold production at its granted mining license.
The Eureka open pit is now primed for a fast-tracked mining operation, focusing on the southern end of the pit. Javelin anticipates commencing gold production from a toll treatment mill within the next 12 months. The latest resource update totals 2.04 million tonnes at 1.69 g/t, equating to 110,687 ounces of gold, with 71 percent classified as high-confidence indicated resources.
Brett Mitchell, Javelin’s executive chairman, emphasized the strong potential for both exploration and production at Eureka. He noted, “There is now overwhelming evidence that the upside at Eureka is extremely strong, both on the exploration and production fronts, and we have a great opportunity to generate significant shareholder value.”
The southern end of the Eureka pit is particularly promising, with plans to extract around 34,000 recoverable ounces from this area. Given the increase in the indicated resource to 78,678 ounces, Javelin is evaluating the potential to expand its production profile, particularly as gold prices remain robust, exceeding $5,000 per ounce.
Recent drilling efforts confirmed thick, near-surface oxide mineralization located 100 metres south of the pit, alongside a high-grade northern shoot. Both of these features fall outside the scope of the recent resource upgrade. Looking ahead, Javelin plans to conduct further exploration drilling aimed at converting more inferred ounces to indicated status.
The company is currently engaged in advanced discussions with contract mining and processing operators, exploring toll treatment options at nearby facilities, including Zijin Mining’s Paddington operation, situated 20 km south of the Eureka project. The existing pit benefits from four granted mining leases, positioning Javelin to leverage Western Australia’s fast-track approvals for mining operations commencing next year.
Nestled within the Bardoc tectonic zone, the Eureka deposit is in close proximity to significant multi-million-ounce deposits such as Paddington and Ora Banda’s Davyhurst mines. Historically, this deposit has yielded high-grade results, with past intercepts including 4 metres at 134 g/t and 3 metres at 48.75 g/t.
The southern pit’s oxide and transition zones, which host 15,774 and 17,812 ounces of gold, respectively, play a crucial role in Javelin’s immediate plans. These shallow, high-grade zones are particularly suited for contract mining, allowing the company to minimize capital expenditures while maximizing returns from a free-dig open-pit operation.
As Javelin recalibrates its studies to assess whether the additional 16,678 indicated ounces can enhance the 34,000-ounce mining target, a new drilling campaign is planned for the next quarter. This campaign will target down-dip extensions and explore the promising 1.1-kilometre strike potential to the north.
In a competitive gold market, the company is keenly aware that securing a toll treatment agreement will be pivotal in its strategy. Investors will be watching closely to see if Javelin can transform its resources into a profitable operation in one of Australia’s most active gold regions.
