REG - Bluebird Mining Vnt. - Company Update

Bluebird Mining VenturesAnnouncement

17/02/2025 07:00

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RNS Number : 3281X  Bluebird Mining Ventures Limited  17 February 2025

Bluebird Mining Ventures Ltd / EPIC: BMV.L / Market: FTSE / Sector: Mining

17 February 2025

 

Bluebird Mining Ventures Ltd

('Bluebird' or 'the Company')

 

Company Update

 

Bluebird Mining Ventures Ltd., a gold project development company, is pleased
to provide an update to shareholders regarding the Company and its high-grade
gold and silver project portfolio in South Korea and the Philippines.  The
Company's strategy remains focused on advancing its three high-grade gold
projects through joint venture partnerships with local companies. The
portfolio is estimated to contain c. 1.8 million ounces of gold.

 

In line with the above strategy, which provides Bluebird with a free carry
across its portfolio, the Company's Joint venture partner in the Philippines
has paid the 2025 licence fee for the Batangas Gold Project as part of the key
renewal process.  The Company is actively exploring avenues for potential
early monetisation.  Given the value disconnect between the current market
capitalisation and the Batangas gold project alone, particularly as gold
approaches $3,000 per oz, it is the Board's intention to address this as
expediently as possible.

 

Batangas is a 1,160-hectare licence with two 25-year Mineral Production
Sharing Agreements ('MPSA') granted. The Project has a current JORC compliant
resource of 440,000 ounces, including a maiden ore reserve of 128,000 ounces
(including silver credits) as well as multiple additional targets providing
extensive resource upside. The local partner remains focussed on work required
for the submission for the grant of a Declaration of Mining Project
Feasibility and the Environmental Study for an operating gold mine at the Lobo
high-grade gold mining target.

 

In South Korea, the decision regarding the Mountain Temporary Use Permit
('MTUP') for the Kochang Gold and Silver Mine ('Kochang') from the Board of
Audit and Inspection ('BAI'), has unfortunately been delayed and is now
expected in Q2 2025.  The delay is due to a slow bureaucracy and other high
priority cases that have "jumped ahead" of this process, but the Company has
been assured that a decision will be forthcoming.  It is important to note
that the lawyers continue to stress that legally there are no impediments to a
positive outcome by the department.  The team is due shortly in South Korea
to meet with the JV partner and advisors.

 

Corporately, due to family reasons, Colin Patterson is stepping down from the
Board with immediate effect.  The Board would like to thank Colin for his
stewardship and support over the years and wish him and his family well.
Whilst departing from the Board, Colin remains positive about the projects,
stating that: "I still firmly believe that the projects are excellent and at
today's gold price would be hugely profitable when given the opportunity to
develop them."

 

The Company is actively seeking a suitable replacement for Mr Patterson,
someone who has the technical expertise to expedite a production plan in
tandem with the Company's local project partners.

 

Bluebird Executive Director and Interim CEO Aidan Bishop said, "The Board
would like to express its gratitude to Colin for his commitment and support to
the Company over the years and wishes him and his family all the best. He
remains a supportive shareholder and, as with our partners, continues to
believe in the significant inherent value of the portfolio. We are now
actively seeking a suitable replacement with production experience to assist
our JV partners in achieving the objectives of all stakeholders and advancing
our portfolio toward production.

 

"With an estimated 1.8 million ounces of gold in the ground and a favourable
gold price environment, our partners continue to recognise the immense value
these projects hold. The timely satisfaction of the license payment in the
Philippines underscores their commitment. Whilst it is frustrating to
experience a further delay in South Korea, I am encouraged by the fact that
the Board of Audit and Inspection have at least indicated that we are close to
the 'front of the queue'."

 

"As we are now into our 10(th) year, I believe the time has now come to look
to realise our extensive time and capital investment at Batangas and I will be
focused on achieving this goal as soon as possible."

 

**ENDS**

 

For further information please visit https://bluebirdmv.com or contact:

Jonathan Morley-Kirk    Bluebird Mining Ventures Ltd     Email:
jmk@bluebirdmv.com (mailto:colin@bluebirdmv.com)

 

About Bluebird

London listed Bluebird Mining Ventures Ltd is focused on developing high
grade, low capex gold projects. With a cumulative estimated 1.8M oz Au across
three projects, including two historic mines in South Korea and a development
project in the Philippines, the Company looks to JV its assets with local
partners to provide free carry structures to advance its assets to production.

 

Bluebird recognised the most effective strategy to develop projects in South
Korea and the Philippines involved adopting a Joint Venture model; by securing
local partners with in-country operational knowledge and investment capital at
the project level, assets can be advanced to production on a de-risked basis.

 

The Company has three JV's providing a cumulative c.US$9m investment: US$5m
for the development of the historic Gubong Gold Mine and US$2m for the Kochang
Gold and Silver Mine, in South Korea and c.US$2m (funding to a production
decision) for the Batangas Gold Project in the Philippines. With committed
development capital at the project level, the Company has free carries to
production/mine construction on all its projects, which reduces its reliance
on the international capital markets.

 

Bluebird continues to provide technical assistance to these projects,
utilising its internationally experienced mining team, which has a track
record of bringing gold projects into production across Southeast Asia.  Both
JV parties recognise each sides competencies and the mutual belief that
together they can bring the projects into production and generate significant
value for all stakeholders. Importantly the management team has personally
invested cUS$2 million into the Company, highlighting their belief in the
quality of the portfolio.

 

Gubong, which was historically the second largest gold mine in South Korea has
9 granted tenements covering c.25 sq km.  Gubong is moderately dipping with 9
veins extending 500m below surface and known to extend at least a further
250m. However, the production opportunity for Bluebird prior to looking at
deepening the mine is the 25 levels already developed with all the remnants
and unmined areas left by the original miners.  The 25 levels extend over
120km in total length which indicates the size of the opportunity. The Korea
Resources Corporation ('KORES') estimated 2.34M tonnes at some 7.3g/t Au
garnered from 57 drill holes over 17,715.3 metres.  With additional sampling,
mapping, pit modelling and grade analysis, plus the fact that Gubong is an
orogenic deposit, which typically have a depth of 2km compared to the current
depth of 500m, the Board believe it has a geological potential of 1 million +
oz Au in-situ, plus an estimated additional 300,000 oz Au from satellite ore
bodies.

 

Kochang is an epithermal vein deposit with parallel vertical ore bodies
covering 8.3 sq km that reportedly produced 110,000 oz of gold and 5.9 million
oz of silver between 1961 and 1975.  Consisting of a gold and silver mine,
there are currently four main veins and several parallel subsidiary veins vein
which have been identified, as well as a newly identified cross-cutting vein.
Historic drilling indicates the veins continue to depth below the current 150m
mine and mapping shows the veins on surface providing potential above and
below the old workings. The veins extend to the NE providing a strike length
of 2.5km with 600m between the two mines not exploited.  There is potential
to expand operations to the southwest/northeast and to depth, as well as
exploit the already mined areas. The total resource potential is between
550,000 and 700,000 tonnes, with a range of grades between 5.2 g/t to 6.6 g/t
gold, and 27.3 g/t to 34.8 g/t silver.  Following the granting of a Mountain
Use permit, there is an estimated 6-to-9-month development time to trial
mining.

 

Batangas is a 1,160-hectare licence with a 25-year Mineral Production Sharing
Agreement ('MPSA') granted. The Project has a current JORC compliant resource
of 440,000 ounces, including a maiden ore reserve of 128,000 ounces (including
silver credits) as well as multiple additional targets providing extensive
resource upside. Exploration expenditure to the tune of c.$20m has already
been invested.

 

Work is focused on completing Exploration and Environmental Work Programmes
initially targeting the high-grade 1,164-hectares Lobo licence.  This has an
initial Probable JORC Compliant Ore Reserves of 171,000 tons at 6.6 g/t for
36,000 ounces of gold excluding silver credits based primarily on the South
West Breccia ('SWB') area of the licence that can be mined in the first 18
months of any operation.  There is an Indicated resource of 82,000 oz Au that
is perceived as easily convertible.  Additionally, the area has multiple
epithermal and high-grade targets already identified for resource expansion
with 15km of identified mineralised structures with results across the nine
identified targets yielding excellent results.  These include 2.1m @14.4g/t
Au and 3m at 12.1g/t at West Drift, which already has an Indicated and
Inferred resource of 350,000t at 3 g/t Au, 8.35m at 18.3 g/t Au and 6.0m at
31.2 g/t Au located immediately west of the SWB Extension, 19m surface channel
sample with intersections of 19m grading 9.8 g/t Au at Ulupong and trenching
at Limestone Target yielded 3.5m at 25.9 g/t Au including 1.5m at 56.8 g/t Au.

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