Barton Gold (ASX: BGD) (OTCQB: BGDFF) managing director Alex Scanlon says the company is set for another strong year after a highly successful 2023.
“Calendar year 2023 was exceptionally successful for Barton, with the December quarter seeing our second large Tunkillia resources upgrade for the year and also a new structural model for our high-grade Tarcoola goldfield,” Mr Scanlon said in releasing the company’s December quarterly results.
“We expect to start 2024 with the same pace that we ended 2023, with additional resource growth, discovery drilling and asset monetisation initiatives underway and expected to yield multiple updates in the near future.”
In the December quarter, Barton undertook a significant growth program of more than 20,000 metres of reverse circulation and diamond drill exploration across the Tarcoola and Tunkillia gold projects.
Both programs provided strong impetus for Barton moving forward with Tunkillia receiving a joint ore reserves committee (JORC) mineral resources estimate (MRE) upgrade to a total of 1.38 million ounces of gold.
That followed an April 2023 JORC upgrade from 965,000oz to 1.15Moz.
Structural framework
Barton also published a 3D model of the sub-surface architecture of its Tarcoola Goldfield, providing the first consistent structural framework for historical high-grade gold occurrences since its 1893 discovery.
Tunkillia’s total calendar year 2023 resources growth totaled 413,000oz of gold achieved at an estimated average ‘all-in’ cost of only A$14/oz.
Barton is now waiting on assay results from a further approximately 8,000m of drilling at Areas 51 and the 191 gold zones and these are expected to be added to the Tunkillia JORC resource upgrade.
Gawler mill bonus
One highlight from 2023 was the consistent reports of significant gold recoveries Barton had obtained from a cleanout of the historic Central Gawler mill.
Total saleable gold concentrates of around 11 dry tonnes grading around 3,880 grams per tonne gold were produced, for a contained metal value of approximately 1,400oz of gold or around $4.3m.
A tender for the sale of these gold concentrates has recently been opened and an agreement to sell some or all of them is anticipated soon.
Gold stockpiles
The company is also evaluating other historical stockpiles of mined materials located adjacent to the Central Gawler mill and Tarcoola’s Perseverance mine for processing and recovery opportunities.
Barton believes there is potential to process some of these materials that may provide additional opportunities to generate non-dilutive working capital to fund regional technical programs or supplement a potential stage 1 mill feed.
Barton is also reviewing the historical tailings storage facility adjacent to the mill for potential selective reprocessing opportunities to recover gold or other minerals of economic value.
The sale of gold concentrates from the mill cleanout are expected to add to Barton’s solid financial position.
As of 31 December 2023, the company had $4.6m in cash plus a further $4.5m in interest-bearing deposits posted as security for rehabilitation performance bond guarantee facilities, as well as the Gawler mill’s gold concentrates.
