07:14 AM EDT, 08/22/2024 (MT Newswires) -- Xanadu Mines ( XANAF ) late on Wednesday reported an increase in the mineral resource estimate for its flagship copper-gold project at Kharmagtai in Mongolia.

According to a statement, the updated resource increases contained copper metal by 14%, or 463,000 tonnes of copper, and contained gold by 9%, or 764,000 ounces of gold.

In total, the resource increased from 3.4 million tonnes to 3.8 million tonnes of copper and from 8.5 million ounces to 9.3 million ounces of gold.

The increases were largely driven by updates in the resource reporting criteria and a re-estimation of the underlying models to include 7,300 meters of new drilling at White Hill and Golden Eagle.

Xanadu's Executive Chairman and Managing Director, Colin Moorhead, in the statement said: "This update reflects and is consistent with the final model informing the Kharmagtai PFS, which is on track for delivery in the current quarter. We are keeping all planned infrastructure outside of the revenue factor 1.4 pit-shells to ensure sufficient flexibility for the open pits to grow in the future. There is therefore a reasonable expectation that mineralisation falling within those pits may eventually be extracted by open pit mining and it is appropriate that this Mineral Resource is reported to cut-off grades that are consistent with this.

"It is also very pleasing to see underlying resource growth driven by the recent discovery of a zone of higher-grade copper and gold mineralisation at the White Hill, which clearly remains open at depth and supports our exploration model targeting potential underground opportunities beyond the scope of the [pre-feasibility study]."