Classic Minerals has signed a collaboration deal with Bain Global Resources to evaluate an expansion of the company’s Goldbridge processing facility in Western Australia.
The partners will asses the potential to develop the Goldbridge facility into a larger regional processing hub capable of servicing multiple gold deposits within the Forrestania district, including ore from the nearby Rama gold mine and Classic’s Lady Ada and Lady Magdalene districts.
As part of the partnership, Classic and Bain will assess the technical, financial and commercial pathways to upgrade and expand Goldbridge’s capacity to up to one million tonnes per annum.
The two partners will also develop a commercial business model capable of supporting ore processing from other mining operations in the region and explore potential funding, development and operational structures for the facility’s expansion and long-term operation.
Classic Executive Chairman John Lester said: “By evaluating the expansion of the Goldbridge plant, we are positioning Classic to assess the development of a larger processing hub capable of supporting multiple ore sources across the Forrestania region.
“This includes the company’s Lady Ada and Lady Magdalene deposits, where Classic maintains an existing and ongoing 80 per cent interest in the gold rights across the associated tenure.
“We believe the development of a regional processing hub has the potential to unlock significant value for both companies and their shareholders.”
The potential expansion of the facility is part of the company’s strategy to unlock the value of its processing infrastructure and establish a scalable processing platform.
Classic said that developing a scalable processing facility in close proximity to multiple ore sources has the potential to enhance project economics, attract third-party ore opportunities and support future development.
The collaboration agreement does not mean that it will lead to a definitive transaction or plant expansion.
