Parker Range (CAZ 100%)
The Parker Range project is the only “mine ready” iron ore deposit in the region not currently in operation. Parker Range has a fully completed definitive feasibility study and all key approvals are in place to commence development.
In May 2014, the WA Transport Minister, Mr Dean Nalder, announced that Yilgarn Esperance Solution (YES) Limited, a consortium headed up by Asciano had been chosen to design, build and operate the new Multi-User Iron Ore Facility (MUIOF) planned for the Port of Esperance. Given the state of the iron ore market during the financial year no progress has been made on the development by Asciano.
Cazaly intends to update the DFS once the YES consortium and the port have completed formal documentation.
McKenzie Springs (CAZ 100%)
The Company conducted reconnaissance work at McKenzie Springs, following up on an outcrop of graphitic schist. Research of historic data also identified further evidence of graphite bearing units associated with high grade metamorphic rocks of the Tickalara Metamorphic suite which trend throughout the tenement for ~15 kilometres. This is the same unit hosting Lamboo Resources Limited’s neighbouring Macintosh Graphite Project. Of particular note is that the graphite has been identified as high grade flake graphite with the potential to be chemically converted into graphene.
Burbridge Gold Deposits (CAZ 100%)
Cazaly has taken the opportunity to assess the gold potential of its holdings in the Southern Cross region. This has led to the recognition of a group of small but potentially viable gold prospects situated immediately north of the Mount Caudan iron ore deposit called the Burbidge Group. The prospects are located on granted mining leases M77/765 and M77/766 nearby to existing haul roads and associated infrastructure all within 15 kilometres of the 2.5Mtpa Marvel Loch gold mill which was recently recommissioned by Hanking.
Gold mineralisation at the Zeus prospect was identified in the late 1980’s, south of the Bronco and Great Victoria open cut gold mines. Drilling along the geological contact intersected gold mineralisation in a vertical structure, above an oxidised massive sulphide unit on a contact between metasediments and mafic volcanics. Previous tenement holders Gondwana Resources Limited followed up high grade gold intersects and conducted three rounds of RC in-fill drilling at Zeus, Burbidge and Burbidge East prospects.
Hamersley Iron Project (CAZ 30%, WFE 70%)
In accordance with the terms of the Winmar Exploration Farm-in and Joint Venture Agreement, Joint Venture partner Lockett FE Pty Ltd (Lockett; a wholly owned subsidiary of Cazaly Resources (ASX: CAZ)) agreed its participating interest in the Hamersley Iron Project is diluted from a 49% interest to a 30% interest. Winmar will now register this amendment with the Department of Mines & Petroleum, WA.
In addition, Lockett has agreed to transfer to Winmar its full participating interest in the northern portion of the Exploration Licence 47/1617. Winmar is delighted to increase its participating interest in the Hamersley Iron Project and will continue to work closely with Lockett to maximise the development potential of the asset. The Hamersley Project is an advanced exploration target with major exploration upside and development potential.
Halls Creek Copper Project (HCCP) & Kalgoorlie Gold Project (KGP)
The Company sold a package of royalties for a potential total of $2.35M comprising royalties held over the Kalgoorlie Gold project (KGP) and the Halls Creek Copper project (HCCP). The sale has been to a private mining investment group and comprises various payments subject to a range of conditions including third party waivers of pre-emptive rights and production hurdles.
Huckitta JV (CAZ 20%, MTH 80%)
Located immediately south of the Leaky Bore tenement, the project comprised two tenements (EL25643 and 25653) which were subject to the Sammy Joint Venture with Mithril Resources Limited (MTH). Following the relinquishment of both tenements in July and August 2015, the joint venture has been dissolved and associated exploration expenditure has been written off in the financial year ended 30 June 2015.