TG Metals (ASX:TG6) is set to progress the Van Uden Gold Project in Western Australia after finalizing the acquisition of an 80% interest from Montague Resources. The Van Uden project, situated on the Forrestania Greenstone Belt, also has a 20% stake held by Barto Gold. TG Metals, with a market capitalization of $8.94 million, has engaged consultants to update the resource estimate to JORC-2012 compliance, anticipated to be completed next month, paving the way for initial mining studies. The project benefits from an extensive drilling database spanning over 2.5km.
A key priority for TG Metals is evaluating stockpiles from previous mining activities at the Tasman and Dieman open pits, which operated in 1993 and between 1998 and 2001, a period of low gold prices. With current gold prices at $5,200.87 per ounce, the company aims to assess the potential of reclaiming these stockpiles for processing at a third-party gold plant. To facilitate this, TG Metals has submitted a program of works for drilling and a LiDAR survey. The drilling will ascertain the gold grade, while the LiDAR survey will accurately measure stockpile volumes to inform future mining proposals. The Van Uden project, comprising mining and exploration licenses, is located west of the Mt Holland Lithium Mine.