Bryan Dixon

Blackham Resources have released their highly anticipated DFS, which shows the Matilda Gold Project in Wiluna reaping at least AUD$234m in free cashfow over its initial 7 year mine life. With only 239m shares on issue on a fully diluted basis and a current share price of less than 50c the maths on this project starts to look very interesting. 

Blackham Resources has added another 40 000 ounces of gold to its resource and another $20m to its bank account after a successful drilling campaign followed by an equally successful oversubscribed capital raise. The headline result from the campaign was 11.5m @ 5.08 grams per tonne gold which included a 7m intersection grading 7.01 grams per tonne gold.

Blackham Resources haven’t wasted any time in putting their recent $20m capital raise to good use with the key refurbishment contract at the old Wiluna Gold plant now approved for signing. Blackham’s DFS predicts the project will bank $234m over 7 years which is not bad considering they only dished out around $6m to buy it and $32m to refurbish the plant. 

Blackham Resources midas touch has continued at its Wiluna Gold mine with a 1.5m drill intersection grading 47.8 grams per tonne gold or a whopping ounce and a half of gold per tonne. An exploration target at the Golden Age Offset of between 40k and 320k ounces at 6-10 g/t gold has also been struck. 

Market darling Blackham Resources has again produced a solid set of drill numbers at Wiluna in the same week that much heralded Geologist Bruce Kendall was appointed Chief Geologist. Mr Kendall added a million ounces to the Stockman VMS project, a million ounces to the Sunrise Dam Gold mine and was named Prospector of the Year by AMEC in 2012. 

Blackham Resources have been working overtime to get their resource at the Matilda Gold project in Wiluna upgraded and ready for production expected to start as soon as next quarter – and they rarely miss when they put a drill hole down. Latest results are headlined by an 8.7 metre intersection grading 8.99 grams per tonne gold which included a 6m @ 11.95 g/t gold.

With only months to go before leaping into production in Wiluna, Blackham Resources have moved to de-risk the start up phase of the project by forward selling 20 000 ounces of gold at AUD$1701 an ounce.The company has a “Put” option over another 20 000 ounces that will allow them to sell gold at AUD$1575 even if the spot price drops below that figure.

Blackham Resources have been furiously bolstering their gold resources at the Matilda Gold project in Wiluna on the eve of production which now looks imminent following the granting of a number of key approvals. In an extraordinarily good deal Blackham just paid $1.5m for a calcine tailings stockpile that has around $100m worth of gold in it - and Jorc compliant too. 

Blackham Resources will make the leap from explorer to producer in September this year after the final approval to crank up the old Wiluna Gold plant was granted this week at the company’s Matilda Gold project in W.A. The company says the mine will churn out $234m in free cash over the initial 7 year mine life and will produce 100 000 ounces per annum. 

It seems that Blackham Resources can walk and chew gum at the same time. Even though the company is furiously preparing for the commencement of mining in 3 weeks at the Matilda Gold Project in Wiluna, they have still managed to add another 106 000 ounces of gold to their mining inventory since the delivery of their Definitive Feasibility Study just 4 months ago.

Blackham Resources have identified a new source of high grade gold accessible from their existing underground infrastructure just 30m away at the Matilda Gold project in Wiluna. Latest results include 3.47 grams per tonne gold from 104m deep, 6m @ 8.99 g/t from 119m, 19m @ 6.71 g/t from 128m, 18m @ 4.88 g/t from 181m and 5m @ 10.8 g /t from the 134m mark.

Blackham Resources took a bit of a punt at the Matilda Gold project recently which looks like it may pay off. The company drilled their deepest hole yet at the project and intersected gold mineralization at over 400m with the hole still open at depth.  Deeper drilling results at the M1 pit of 2m @ 6.98 g/t from the 419m mark confirm the continuation of mineralization at depth.

With the gold price at record highs, Blackham Resources appear to have timed their transition from explorer to miner exquisitely. After a couple of years of excellent exploration success, the Bryan Dixon led Matilda Gold Project in Wiluna W.A is once again a mining operation. It is expected to churn out $300m in free cash over the next ten years and thats just the warm up period. 

Blackham Resources shares have surged again with news that the first gold pour at the 100,000+ ounce-a-year Matilda gold project in Wiluna W.A is just weeks away. The first gold bar at Matilda will mark the first major milestone in Blackham’s remarkable revival of the largely mothballed project in Wiluna. Shares in Blackham surged 4.5c to $1.02 on the news. 

There seems to be no end in sight to the run on Blackham Resources’ share price that started in September last year at 15c and touched $1.15 today on the back of more, classic Blackham, super high grade drill hits at the Matilda Gold project – the project that just keeps on giving.  Results out today include 6.0m @ 26.4 g/t gold, including 1.8 metres at a whopping 83.3 g/t, and 15.6 metres at 7.51 g/t.

Talk is cheap in the exploration business and whilst most explorers talk about the day they will leap into production, the reality is that day more often than not, never arrives. Not so for Blackham Resources who had an unmistakable vision and strategy for the Matilda Gold project in Wiluna that was executed flawlessly at every turn right up until wet commissioning this week. 

Blackham Resources has provided some certainty for investors by locking in forward gold sales at near record prices for part of its production from the 100,000+ oz-per annum Matilda gold project. More than 1/3rd of gold sales over the next 18 months are locked away providing Blackham with a solid foundation to launch big expansion plans.

Blackham Resources this week joined the select ranks of Australian gold miners with the commencement of production at their Matilda gold project in Wiluna. With 860 sq km's of tenements to explore and a stellar record of working out where the gold is hiding, it is safe to assume that Blackham’s Matilda Gold resource wont sit at 5.1m ounces for long.

There is something quite special about turning an idea into reality AND making some money out of it – and its even sweeter when you manage to defy your critics in the process. Blackham Resources have certainly defied their critics by achieving their first gold pour this week at the Matilda project.

Blackham Resources’ extraordinary run of exploration success has continued, with the latest round of drilling revealing significant extensions of mineralisation at the Matilda mine near Wiluna. Another resource upgrade seems likely, just four months after a previous upgrade with the company looking to quickly convert any new resources into valuable reserves.

Blackham Resources’ plans to double their Matilda Gold production have been boosted by solid new drill results that pave the way for another resource upgrade. The latest round of drilling found the mineralisation at Wiluna is more extensive than previously thought and amenable to open cut mining in some areas, providing a major boost for the economics of a proposed expansion.

Blackham Resources have turned the gold price slump to their advantage by snapping up ounces at low spot prices and turning a quick $6.3m profit on their hedge book. The cash boost follows a string of good news at the recent AGM, where shareholders were told the Matilda mine would produce 25,000 ounces in the March 17 quarter and expansion studies were moving ahead.

Another round of great assay results has Blackham Resources thinking about digging a 1.9km-long super pit at Wiluna to carve out the riches left by previous explorers. Latest drilling by the new gold producer has found extensive mineralisation beyond the existing mine plan that could be accessed by a northern superpit and deeper digging at the existing East and West pits.

Blackham Resources have discovered another $1.4b worth of in-ground gold at the Matilda Gold Project in Wiluna since June. Whilst no where near all of this amount will drop to the bottom line, it’s still a staggering statement to make about a company that is still only capped at around $150m. The project has jumped from 5.1m ounces to 6m ounces in six months. 

Blackham Resources have found even more gold in the historic Wiluna gold field and are now firming up plans for two large scale open pits to feed their newly recommissioned mill. The Perth-based gold producer revealed the open pit expansion plans this week after announcing yet more exceptional drill hits from last year’s major drill program.

Blackham Resources dogged determination to more than double their predicted gold production to 200,000 ounces p/a via a sustained exploration program is attracting the attention of the gold bulls with the company’s stock soaring 75% since the start of 2017. This week Blackham announced another resource upgrade from 6m ounces to 6.4mounces in Wiluna. 

Blackham Resources looks set to add another revenue stream at Wiluna by striking a deal with ASX-listed GWR Group to mine their neighboring West Wiluna gold deposits on a profit share arrangement. The West Wiluna gold project, just 40kms from Blackham’s newly recommissioned Wiluna gold plant, contains an estimated gold resource of more than 250,000 ounces.

Blackham Resources have all the funding they need to charge ahead with a doubling of production from 100,000 ounces to 200,000 ounces of gold per annum following a heavily oversubscribed placement that raised $35 million. The money will be used for a massive drill program, the progressing of a feasibility study to double production and to order long lead time items.

Blackham Resources are off to a flying start with their latest round of drilling at the Wiluna gold project, boosting confidence in the potential to expand their production outlook from 100,000 ounces a year to 200,000 ounces a year. The latest drilling has confirmed significant new mineralized zones. 

Blackham Resources have identified two new high-grade zones at the Golden Age mine at the Matilda Gold project, with intercepts ranging up to 118 g/t gold. The discoveries are set to provide a welcome boost to the underground mine plan and follow a return to full open pit operations after delays caused by unseasonal wet weather.

Blackham Resources look like moving into the big league of Australian gold producers within just three years after a preliminary expansion study at the Wiluna Gold Project confirmed a low-cost pathway to annual production of more than 200,000 ounces of a gold. This target would see Blackham double its current production projection. 

Blackham’s latest round of drilling at Wiluna has produced a best-ever result of 15.4 metres at more than 21 g/t gold, located in a new high-grade shoot that is outside the existing open-pit mine plan. The new drill results revealed much more mineralisation around the old West Pit and make a ‘super pit’ stretching up to 2km a real possibility.

Fledgling Gold producer Blackham Resources has released another set of exceptional, high-grade drill hits from the Wiluna Gold Project in W.A as it charges ahead with studies to double production to more than 200,000 ounces per annum. The new results are from the second half of a whopping 49,000 metre RC and diamond drilling program.

Blackham Resources are contemplating an even bigger open pit at their revitalised Wiluna gold mine after another resource upgrade. Open pit gold in the East and West lodes has jumped by a further 70,000 ounces, along with a big lift in the quality of the resource which now boasts an average grade of 2.83 g/t. The company has found a billion dollars worth of in-situ gold in a year.

Blackham Resources’ planned expansion of the Matilda gold mine to more than 200,000 ounces a year will see the mine churn out an annual EBITDA of more than $118m a year or 36c a share for a stock that can be bought on market today for just 28.5c a share. Blackham are predicting that the expanded mine will produce free cash of $571m or $1.74 a share assuming the $114m capex can be debt funded.

Blackham Resources have added 310,000 ounces of gold to their Wiluna North suite of open pits and are now looking at digging one giant, 3.5km long super pit that will join together all of the historic workings in the area. Importantly, the global resource at the Wiluna project has cracked the 3 gram per tonne mark for the first time with the project now boasting 65m tonnes grading 3.1 g/t gold for 6.5m ounces.

Blackham Resources are cashed up and well positioned to complete planning work on their stage 2 expansion of the Wiluna gold project after securing a $60 million funding package and a new quality cornerstone shareholder in Pacific Road Capital. The package includes a $7.3 million placement to Pacific Road, a $12.3 million entitlement issue and a refinancing of the company’s debt facility.