MODELING OF THE ILOVICA-SHTUKA COPPER-GOLD DEPOSIT, MINERAL RESOURCE ESTIMATION AND CLASSIFICATION

Abstract

The Ilovica – Shtuka project's mineral resource estimation has been defined in accordance with the reporting requirements outlined in the 2012 edition of the 2012 edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves” (the JORC Code). Statistical and grade continuity analyses were completed to characterise the mineralisation and subsequently used to develop grade interpolation parameters for the deposit. Exploratory data analysis highlighted a number of statistically differentiated grade populations, which were interpreted to be controlled by the following: stockwork intensity, oxidation state, supergene leaching and enrichment. Wireframe models were used to isolate grade populations into domains for the purpose of sample selection and to constrain the grade interpolation. Grade estimation was completed using ordinary kriging. The search ellipsoid dimen-sions and orientations were chosen to reflect the continuity revealed by geostatistical studies and optimised using quan-titative kriging neighbourhood analysis. The wireframe models were used within the sample selection and compositing routine and subsequently as a constraint to the grade estimation. In calculating dollar equivalent block values metal prices used are provided by Euromax management and are generated based on industry capacity analysis, global com-modity consumption and economic growth trends. A Mineral Resource classification scheme consistent with the JORC guidelines (2012) was applied. The estimates are categorised in the Measured, Indicated and Inferred mineral Resource categories, reported above a cut-off grade that defines the Resource as potentially mineable by open pit mining methods. Resource grade/ tonnage sensitivity graph were created based upon a range of dollar equivalent cut- offs for blocks within the Resource pit shell.