Delta Lithium shared progress at its Mt Ida Gold Project, following the acquisition of crucial underground mining approvals.
The Department of Energy, Mines, Industry, Regulation and Safety granted the permitting, allowing both open-pit and underground mining activities at the Baldock Area, which houses the majority of the gold resource.
The metallurgical test work at Baldock showed favourable results, with an average recovery rate of +92%.
Consequently, the Delta board approved an additional expenditure of $5-$6 million aimed at further drilling and resource expansion.
The company aims to grow the existing resource of 752,000 ounces of gold to over 1 million ounces.
"Receiving the underground mining approval means Delta now has all approvals in place to commence mining operations at Baldock, during a period of historically high Aussie dollar gold prices," said James Croser, managing director of Delta Lithium.
Additionally, Delta has initiated a four-stage gold exploration program, comprising 35,000-40,000m of reverse circulation and diamond drilling.
The company is also assessing options for a standalone gold processing plant at Mt Ida, in collaboration with GR Engineering Services.
Delta is committed to expanding its gold resources and enhancing shareholder value, focusing on making the high-grade Mt Ida deposit even larger.
Delta Lithium is an exploration and development company focused on the lithium-bearing pegmatite deposits, located in Western Australia.
Its projects include the Mt Ida Lithium Project, Yinnetharra Project, Eureka Gold Project, and Earaheedy Basin.
At the time of reporting, Delta Lithium’s share price was $0.225.