AIS
Aeris Resources Limited
ASX
STOCKMAN UPDATE - EXCELLENT METALLURGICAL TEST RESULTS
Sentiment:
Metallurgical Testwork Results
3 July 2024 7:39 PM
Aeris Resources' Stockman Project shows potential for significantly improved returns through modified flotation and Albion Process testwork, leading to higher metal recoveries.
Better than expected
The metal recoveries are better than the original conventional flotation flowsheet.
Summary
- Aeris Resources has completed metallurgical testwork on the Stockman Project, demonstrating improved metal recoveries using a modified flotation circuit and the Albion Process.
- The modified flotation circuit produces an export quality copper concentrate and a bulk concentrate containing copper, zinc, gold, and silver.
- Metal leaching of the bulk concentrate using the Albion Process indicates recoveries of over 98% for copper and zinc.
- Overall copper and zinc recoveries are now greater than 90%, with significantly improved gold recoveries.
- The company plans to proceed with detailed testwork and options engineering for a simplified ore treatment and Albion processing plants.
- The updated conceptual flotation flowsheet test results show a significant step-up in metal recovery compared to the original selective copper and zinc flotation flowsheet.
- The copper concentrate quality produced from the modified conceptual flotation flowsheet test results was 18% copper content, before any cleaning or optimisation of the flotation conditions.
Sentiment
Score: 8
Explanation: The document presents positive metallurgical testwork results that could significantly improve the economics of the Stockman Project. The focus on cost reduction and environmental impact is also favorable.
Highlights
- Metallurgical testwork validates the potential of the Albion Process to significantly enhance the Stockman Project's economics.
- The modified flotation circuit produces export quality copper concentrate and a bulk concentrate with copper, zinc, gold, and silver.
- Albion Process leaching of the bulk concentrate shows recoveries of +98% for copper and zinc.
- Overall copper and zinc recoveries now exceed 90%, with improved gold recoveries.
- The company will proceed with detailed testwork and options engineering for simplified ore treatment and Albion processing plants.
- The engineering study has recommended conceptual level flowsheets, equipment sizes and reagent consumption rates for the Albion Process plant.
- The first selective flotation of the copper circuit achieved an estimated recovery of 41% at 21% Cu to a copper-only concentrate for export and smelting.
- The bulk flotation circuit achieved a copper and zinc recovery to a bulk concentrate of 51% and 95% respectively.
Positives
- Improved metal recoveries lead to increased revenue.
- Simplified ore processing plant design reduces the physical footprint, lowering capital and operating costs.
- Reduced carbon emissions due to lower energy consumption.
- The fast kinetics of the leaching of the Stockman bulk concentrate allows for a modest size plant.
- The modified conceptual flotation flowsheet test results show a significant step-up in metal recovery compared to the original selective copper and zinc flotation flowsheet.
- The copper concentrate quality produced from the modified conceptual flotation flowsheet test results was 18% copper content, before any cleaning or optimisation of the flotation conditions.
Negatives
- Silver extraction rates were lower at 3% 36% and may require a lime boil pre-treatment process.
Risks
- Further investigation is needed to determine the optimum precipitation chemistry and marketing terms for intermediate products.
- The company needs to improve silver and gold recovery and saleable product pathways.
- Ore variability testing is required.
Future Outlook
An ASX update on the concept engineering study results should be available in the next quarter.
Management Comments
- Aeris Executive Chairman, Andre Labuschagne said These latest metallurgical testwork results validate our view that the Albion Process has the potential to significantly enhance the overall economics of the Stockman Project.
Industry Context
The use of Albion Process for refractory ores is becoming more common in the mining industry to improve metal recoveries from complex ore bodies. This approach can potentially make previously uneconomic deposits viable.
Comparison to Industry Standards
- The Albion Process is a known technology developed by Glencore Technology and used in several operations globally.
- Other companies using similar leaching technologies for complex base metal ores include companies like Nyrstar and Trevali Mining.
- The reported copper and zinc recoveries of >90% are competitive with other Albion Process operations.
Stakeholder Impact
- Shareholders: Potential for increased project value and returns.
- Employees: Possible job creation related to the project development.
- Customers: Potential for a reliable supply of copper and zinc concentrates.
- Community: Reduced environmental impact due to a smaller plant footprint.
- Suppliers: Opportunities for supplying reagents and equipment to the project.
Next Steps
- Complete concept engineering studies for both the flotation plant and Albion Process plant design.
- Select intermediate copper and zinc products and marketing payability estimates; test further product refinement paths and value.
- Improve silver and gold recovery and saleable product pathways.
- Conduct ore variability testing.
- Explore potential economic recovery of sulphur through the production of elemental sulphur or sulphuric acid.
Key Dates
- 1970s: Stockman area identified as prospective for base metals by WMC.
- 1977: Wilga deposit discovered in drilling by a WMC/BP Minerals JV.
- 1979: Currawong deposit discovered by drilling.
- 1998: Denehurst went into receivership.
- 2023: Diamond drilling program provided new drill core for metallurgy testing purposes.
- 04 July 2024: ASX/Media Release Date
Keywords
Stockman Project, Albion Process, Metallurgical Testwork, Flotation, Copper, Zinc, Gold, Silver, Metal Recovery
AIS
Aeris Resources Limited
ASX
Sector: Materials
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Missing type for ID: 3564
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Better than expected
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