Microsoft Word - 150331 Hillgrove Audited Annual Report Released.doc
Tuesday, 31 March 2015
HILLGROVE AUDITED ANNUAL REPORT RELEASED
Hillgrove Resources Limited (ASX:HGO) today released its audited Annual Report to the market. The report is based on the previously announced Appendix 4E with additional information and reporting requirements, and in particular the following update on current capital management initiatives.
In the third quarter of 2014 Hillgrove completed an initial new Life of Mine (LOM) Plan for its Kanmantoo operations indicating copper production through to 2021, and announced the recommencement of exploration around Kanmantoo with a view to extending this mine life. At the same time Hillgrove commenced discussions with its financiers regarding a debt restructure to ensure alignment with projected cashflows from the new LOM plan, particularly during the Giant pit cut-back period through to early 2016.
In January 2015 Hillgrove and its financiers put in place waivers for the existing financing arrangements, which included reducing the planned January debt repayment from $8 million to $3 million. Debt restructure and documentation with existing and potential new financiers are well advanced, although not yet complete. The current financiers' waivers have been extended to allow completion of the new financing arrangement.
The Hillgrove Board and management are confident the new arrangements will be completed with the support of its current financiers, and upon completion will announce these details to the market.
For more information contact:
Mr Greg Hall Mrs Shanthi Smith
CEO & Managing Director Company Secretary
Tel: +61 (0)2 8247 9300 Tel: +61 (0)2 8247 9300
ABOUT HILLGROVE
Hillgrove is an Australian mining company listed on the Australian Securities Exchange (ASX: HGO) focused on the operation of the Kanmantoo Copper Mine in South Australia, and with exploration projects on its Indonesian tenements. The Kanmantoo Copper Mine is located less than 55km from Adelaide in South Australia. With construction completed in late 2011, Kanmantoo is an open-cut mine with a throughput of
3.0Mtpa, to produce approximately 100,000 dry metric tonnes of copper concentrate per annum, containing approximately 20,000t copper and associated gold and silver per annum over the current life of mine.
Kanmantoo Global Mineral Resource Estimate at end February 2013
In Situ Resource
Long Term Stockpiles
Note: In Situ Resource >0.20% Cu, Long Term Stockpiles >0.15% Cu.
HILLGROVE RESOURCES LIMITED ACN 004 297 116 www.hillgroveresources.com
Suite 1709, Level 17 Australia Square Tower, 264 George Street, Sydney NSW 2000, Australia T +61 2 8247 9300 F +61 2 8247 9399
HILLGROVE RESOURCES LIMITED
Kanmantoo Global Ore Reserve Estimate at end February 2013
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JORC 2012 Tonnage Cu Au Ag
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Classification (Mt) (%) (g/t) (g/t)
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Proven 2.5 0.77 0.08 1.7
In Situ Reserve
Probable 18.2 0.72 0.20 2.0
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20.7 0.73 0.18 1.9
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Long Term Stockpiles
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Proven
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1.4
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0.46
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N/A
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N/A
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1.4 0.46 - -
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Total 22.1 0.71 0.18 1.9
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Note: In Situ Reserve >0.20% Cu. Long Term Stockpiles >0.15% Cu.
Competent Person's Statement
The information in this release that relates to Mineral Resources is based upon information compiled by Ms Michaela Wright, who is a Member of The Australasian Institute of Mining and Metallurgy. Ms Wright is a full-time employee of Hillgrove Resources Limited and has sufficient experience relevant to the styles of mineralisation and type of deposit under consideration to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code)'. Ms Wright has consented to the inclusion in the release of the matters based on their information in the form and context in which it appears.
The information in this release that relates to Ore Reserves is based upon information compiled by Mr Steven McClare, who is a Member of The Australasian Institute of Mining and Metallurgy. Mr McClare is a full-time employee of Hillgrove Resources Limited and has sufficient experience relevant to the styles of mineralisation and type of deposit under consideration to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code)'. Mr McClare has consented to the inclusion in the release of the matters based on their information in the form and context in which it appears.
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