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BAse MetALs

Lead opportunity in Gascoyne

charging towards 2023

The Abra base metals JV campsite is
alena Mining Ltd managing director Galena expects to give IXM more of ready to accommodate 280 workers in the
GTony James didn’t anticipate being what it needs, given the opportunities to Gascoyne region of Western Australia
in the hot seat of another explorer when expand resources via unexplored targets
he attempted a stint in “semi-retirement” nearby that also show traces of gold and
in 2018. copper.
But the allure of the Abra base metals “Not only will this be the first mine built
project in Western Australia’s Gascoyne in this particular basin, it’s also potentially
region was tempting enough to put the opening up a new mineral province of
non-executive back in the saddle follow- Western Australia,” James said.
ing a June promotion. “The kind of mineralisation that we see
Just like an action star doing one last at Abra, these orebodies will appear in
job, Galena’s Abra JV – operated in a clusters. We’ve got about 10-15 targets
60:40 share with Japanese company that need to be tested.”
Toho Zinc Co. for a $90 million deal – “In the Galena tenements, we’ve got
needed the experienced veteran to get another 30-40 targets that need to be
the gig done. tested. We will build the Abra mine, get
Abra contains an indicated and inferred it up and running…but while we do that,
resource of 34.5mt @ 7.2% lead and 16 we’ll be doing exploration in parallel.”
g/t silver. A 12-month mine build is under Given these opportunities lying in wait,
way with a planned 230m decline to the James looks past the initial mine life of 16
top of the orebody and Galena aims to years identified in the feasibility study for
coincide the digging with a commissioned a bigger prize at play.
plant by the start of 2023 at the latest. Mill “There’s absolutely no reason why this
throughput is expected to reach 1.2 mtpa area won’t have these base metals, and
with an initial mine life of 16 years. Pay- gold and copper included, producing
back is forecast for two years with a pre- mines over 30-40 years,” he said.
tax IRR of 39% at a $114 million annual “Lead mines don’t exist in isolation,
average EBITDA. they also coexist with zinc, copper, gold,
What excites James the most though, and silver. It’s effectively a multielement
is the challenge of overcoming a negative deposit.”
stigma of lead to win over potential share- It’s not often that such a multifaceted
holders. project, with a busy pipeline of work, can
“Lead is a little bit of a dirty word in the lure an industry veteran back onto the
marketplace,” he told Paydirt. playing field. Tony James
“We actually produce lead sulphide, so For James, however, his passion for
it is very safe. One of the attractions to identifying the obstacles at a new project “We need people to understand this
our orebody [for Toho] was that it’s clean.” and figuring out how to fit the puzzle piec- project more. Understand the opportu-
Toho will take an ongoing 40% share es together is obvious – showing a clear nity and understand what we’re doing and
of the lead concentrate from Abra, while reason why he was enticed out of “semi- what our plan and vision is.
Galena has inked another deal with IXM retirement” in the first place. “I’m really excited about this opportu-
S.A. to sell its own share. “Mine building is about knowledge and nity.”
“IXM is actually paying a premium for understanding,” he said.
our lead, because they want that clean “Learning all the time. Learning about – Fraser Palamara
lead and a market advantage,” James the rocks, learning about how they got
explained. there in the first place, it’s a puzzle.

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