The resource growth of Hamagotai copper gold mine in Mongolia

Xanadu Mines announced a significant increase in the resources of its Kharmagtai project in South Gobi Province,

 Mongolia, which can be considered one of the world's largest undeveloped copper and gold projects.

This is the second update of resource quantity for the project within 9 months, and Shangdu Mining is conducting

 a pre feasibility study.

This update is based on the open-pit mining boundary grade of 0.2% copper equivalent, the underground mining 

boundary grade of 0.3% copper equivalent, and the newly completed 7300 meter drilling results of the White Hill 

and Golden Eagle deposits.

Copper metal resources increased by 14% or 463000 tons to 3.8 million tons, while gold increased by 9% or 764000

 ounces to 9.3 million ounces.

CEO Colin Moorhead stated that the results of the pre feasibility study will be announced in the coming weeks.

A recent report by Lawrence Grech of PAC Partners shows that even without considering the updated resources, 

the future development scale is larger than the previous rough research results.

Grech expects to produce 1.7 million tons of copper and 4.19 million ounces of gold within a 25 year development

cycle. The preliminary research results were 1.5 million tons of copper and 3.3 million ounces of gold.

The first stage of high-grade production is to extract 25 million tons annually, and after six years of continuous 

production, it may expand to 40 million tons.

In the later stage, a heap leaching of 30 million tons of oxidized ore may be carried out.