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48 Independence Group NL
FY2016 Guidance
Production guidance for the Jaguar Operation for FY2016 is for production of 7,500 – 8,500t of copper metal and 35,000 –
40,000t of zinc metal in concentrate. Cash costs for FY2016 are forecast at $0.40 – $0.60/Ib Zn, including royalty and net of
by-product credits.
Sustaining capital, development and exploration expenditure are forecast to be $4 – $5 million, $12 – $14 million and $10 – $12
million respectively during FY2016.
Near Mine Exploration
In April 2015, IGO commenced development of a drill drive in the hanging wall of the Bentley mine to provide a platform to
enable infill drilling to convert the Bentley Inferred Resource to Indicated category. It will also serve as a platform to test for
depth extensions of the Arnage and Flying Spur lenses. The drill drive was completed in June 2015 and drilling commenced in
July 2015.
A detailed structural study of the Bentley Deeps area was completed during FY2015. The study aimed to determine the
structural controls on mineralisation that may provide vectors to potential depth extensions to the Arnage and Flying Spur
lenses. A key outcome of the study was the determination that there are no major late structural dislocations of mineralisation
in the down plunge position. It is interpreted that the highest potential for additional proximal mineralisation lies along the
sub-horizontal early growth/feeder fault in the footwall rhyolite – volcaniclastic interface, immediately down-dip of Arnage. Drill
testing of this target area is planned for FY2016.
Figure 18: Jaguar Operation: Bentley Composite Long Section showing location of Flying Spur and Bentley Deeps drill holes.
Down hole widths are true widths.
4250RL
51750mN
51500mN
51250mN
51000mN
50750mN
4000RL
3750RL
3500RL
3250RL
13BUDD143
13BUDD138
13BUDD136
13BUDD145
13BUDD139
10BTDD012
14BUDD014
1.28m @ 22.8% Zn, 1.5% Cu, 356 g/t Ag, 2.4 g/t Au
14BUDD015
1.8m @ 0.5% Zn, 347 g/t Ag, 3.9 g/t Au
14BUDD012
0.6m @ 8.6% Zn, 63 g/t Ag, 0.1 g/t Au
14BUDD016
2.9m @ 22.4% Zn, 0.5% Cu, 257 g/t Ag, 2.6 g/t Au
10BTDD016
14BTDD001W1
7.8m @ 10.1% Zn, 2.5% Cu, 99 g/t Ag, 1.1 g/t Au
14BTDD001
0.4m @ 8.1% Zn, 0.2% Cu, 13 g/t Ag, 0.2 g/t Au
14BTDD001W1
6.2m @ 2.6% Zn, 0.1% Cu, 45 g/t Ag, 1.6 g/t Au
0
200m
N
Jaguar Mine Grid
Looking East
Recent Drilling
Previous Drilling
Planned Drilling
Arnage
Brooklands
Comet
Mulsanne
Flying Spur
Open
Open
250m
Open
Note: widths quoted are true widths.
Note: North is to the left in the diagram. See ASX release dated 22 September 2014