Northern Star Resources Ltd. released a maiden JORC 2012-compliant resource estimate Oct. 16 for its Pogo gold mine in Alaska that it acquired in a US$260 million deal in August.
Resources stood at 4.2 million ounces of gold contained in 8.8 million tonnes grading 14.7 g/t.
At a cutoff of 6.2 g/t, the estimate comprises indicated resources of 1.7 Moz of gold within 3.3 Mt grading 15.7 g/t and inferred resource of 2.5 Moz within 5.5 Mt grading 14.1 g/t.
After excluding 765,000 ounces of gold identified in satellite deposits by the project's former owners, the updated estimate represents a 24% increase from in-mine resources at the time Northern Star acquired the project.
The new estimate will underpin mine planning and operational optimization at Pogo, the Australian gold miner said. Northern Star assumed management control of the operation and closed the acquisition Sept. 28.
Eight diamond drilling rigs are operating at the project, representing an investment of A$15 million to A$20 million for fiscal 2019. Northern Star will publish a revised ore reserve estimate after closing fiscal 2019.
CFO Shaun Day recently said the company will reskill Pogo's in situ team with some Australian practices to boost productivity and ounces.