Alba Mineral Resources (ALBA) saw its shares leap by nearly 50% after it announced that it had obtained the necessary ecological permits for the planned dewatering and exploration of the Lower Llechfraith workings within the Clogau-St David's Gold Mine in north Wales. This significant milestone paves the way for the commencement of operations at the mine.
The permits granted to Alba by Natural Resources Wales include a European Protected Species Licence (EPSL), Water Discharge Permit, and Water Abstraction (or Transfer) Licence. These permits, which Alba has been seeking since 2021, are essential for conducting the dewatering process and associated exploration activities in the Lower Llechfraith workings.
The Lower Llechfraith workings are considered the primary target within the Clogau mine, possessing all the crucial geological characteristics for the occurrence of high-grade gold mineralization. These characteristics include greenstone sills, Clogau Shales, and structural complexity in the lode itself. The potential for significant gold reserves in this area is promising, especially considering that the target structure has remained untouched by historical exploration and development, which only extended 30-50m vertically.
In the 2020-21 surface drilling program conducted by Alba, the downward continuation of the Llechfraith lode structure was successfully confirmed up to approximately 122 meters below the last point of exploration on the No.4 Level. This finding further reinforces the potential of the Lower Llechfraith workings to contain valuable gold mineralization.
Alba's technical team and contractors are currently carrying out on-site preparations to ensure a smooth and efficient dewatering process. Dewatering is a crucial step in mining operations as it involves removing water from underground workings to facilitate exploration and extraction activities.
Once the dewatering process is complete, Alba will be able to gain access to the Lower Llechfraith workings to conduct safety works, mapping, sampling and, subject to the permitted development rights notification regime, and bulk sampling of the exposed development to assess the extent of gold mineralization present.
The successful acquisition of the ecological permits and the imminent commencement of dewatering activities mark a significant milestone for Alba Mineral Resources Plc. The company is now well-positioned to unlock the potential of the Clogau-St David's Gold Mine and tap into the rich reserves of gold within the Lower Llechfraith workings.
The exploration and extraction of gold in this area could bring substantial economic benefits to the local community and contribute to the overall growth of the mining sector in Wales. Meanwhile Alba said it had generated volume of ecological survey data and analysis and devised wide-ranging mitigation and safety measures for the protection of the environment, which would streamline future permitting as well as demonstrating the company's commitment to responsible mining practices.