Overview

Project Name & Location:

Nullagine Gold & Antimony Project.

The project is located 22kms east of Nullagine in the eastern Pilbara of Western Australia. Nullagine is 2 hours’ drive from the Pilbara hub of Newman.

Geology:

The project area hosts two zones of distinct mineralization.

Blue Spec Shear

The Blue Spec Shear is an east-west trending shear zone which outcrops over 16kms within the project area. The shear hosts high-grade, narrow-vein, steeply plunging, depth extensive shoot-style deposits. Gold mineralisation is associated with stibnite (the sulphide form of antimony).

Camel Creek Trend

The Camel Creek Trend is located 5kms to the south and runs broadly parallel to the Blue Spec Shear over 30kms. The trend hosts near surface, medium grade (2-5g/t) deposits hosted by stock work and sheeted vein systems. No stibnite is present on the trend.

JORC Mineral Resources:

The project has a current global JORC reported Mineral Resource of 402,000 ounces gold (Au) and 9,000 tonnes of antimony (Sb) with significant exploration potential.

Blue Spec Shear

  • Blue Spec - 254,000 oz @ 24.3 g/t Au and 5,500t Sb @ 1.72%(including 122,000 oz @ 42.5 g/t Au)
  • Golden Spec - 75,000 oz @ 8.5 g/t Au and 2,300t Sb @ 0.84%(including 49,000 oz @ 18 g/t Au)
  • Red Spec - 18,000 oz @ 1.9 g/t Au and 290t Sb @ 0.01%
  • Green Spec - 10,000 oz @ 3.2 g/t Au and 1,100t Sb @ 1.10%

Camel Creek Trend

  • Roscoe's Reward - 20,000 oz @ 2.1 g/t Au
  • Round Hill - 8,000 oz @ 4.3 g/t Au
  • Junction - 8,000 oz @ 3.4 g/t Au
  • Little Wonder - 10,000 oz @ 1.9 g/t Au

Northwest’s Project Development:

Camel Creek Trend

Northwest has agreed to a 50/50 joint venture with Millennium Minerals Limited (Millennium) (ASX: MOY) under which ore from Northwest’s Camel Creek Trend gold deposits will be mined and processed by Millennium.  The joint venture will be managed by Millennium and will not require any capital contribution by Northwest.  Joint venture ore will be processed through Millennium’s 1.5MTPA Golden Eagle treatment plant which is currently under construction.  Joint venture mining is anticipated to commence in early 2015.

Blue Spec Shear

Northwest is developing its core Blue Spec Shear high grade gold-antimony deposits into one of the highest grade gold underground mining centres in Australia.  The current resource inventory of 329,000oz @ 20.7g/t & 9,000t Sb at Blue Spec-Golden Spec  establishes a robust platform for future gold and antimony production. Feasibility studies and permitting of the proposed project are advanced and Northwest is in discussions with a number of underground mining contractors to mine these deposits. 

Regional Development:

The Nullagine district is emerging as an exciting new mining centre with projects including:

  • BC Iron Limited - DSO iron ore (production
  • Millennium Minerals Limited - Gold (construction)
  • Hazelwood Resources Limited - Tungsten (feasibility studies)

Tenure:

All JORC resources within the Nullagine Gold & Antimony Project are located on granted mining leases.

Project Interest:

Northwest currently has a 65% interest in the key mining leases which comprise the project and is the manager of the project. Northwest intends to exercise its pre-emptive right to acquire the minority 35% interest in the key mining leases subject to shareholder approval.