Magnetic pulls in strong gold recoveries over 91pc at Lady Julie project

Magnetic Resources reports recoveries over 91% at Lady Julie North 4 deposit
Builds on previous testwork to include deeper mineralisation found in recent drilling
The results will be included in the upcoming feasibility study

Special Report: Magnetic Resources has reported strong gold recoveries over 91% from metallurgical testwork at the Lady Julie North 4 (LJN4) deposit at its Lady Julie project in WA.

The testwork is one of the final components forming the feasibility study for the project which the company expects to release early next year.

This builds on previous metallurgical testing to include deeper mineralisation discovered in recent drilling.

Gravity gold recoveries ranged from 25.5% to 36.8% (mirroring earlier testwork) and overall gold recoveries ranged from 78.8% to 98.1%.

The average gold recovery across all seven composites was in excess of 91%.

The tests also confirmed that there is no evidence of preg-robbing in any of the seven composites. Pre-robbing material (typically organic carbons) within the ore can adsorb gold from solution, therefore hindering gold recoveries.

In addition, a decrease in grind size from 106µm and 90µm resulted in a negligible change in gold recovery and the tests demonstrated that a 4-8% boost in recovery was possible in the two composites with the highest sulphide grades.

Key component of upcoming feasibility study

The company says the tests have proved conclusively that high gold recoveries can be achieved from all the gold-bearing lithologies currently identified at LJN4 and can be achieved by conventional means of liberation.

Specifically, the results indicate the inclusion of a flotation circuit followed by ultrafine grinding of the concentrate is “crucial to liberate the non-free milling gold” within the Fresh South and the Fresh Core composite, which returned recoveries of 94.0% with a 0.12 g/t final tails grade and 85.1%, with a 0.25 g/t tailings grade respectively.

This all bodes well for inclusion in the company’s upcoming feasibility study for the project early next year.

“The results of this new metallurgical testwork are very encouraging with average gold recovery across all oxidation states in excess of 91%, which demonstrate once again that the LJN4 gold deposit is an excellent resource ready for development,” Magnetic Resources (ASX:MAU) Managing Director George Sakalidis said.

“These results are some of the final components forming the Feasibility Study, which we hope to release in the New Year.”

Looking forwards, further work is required below the Fresh Core composite area as the underground mineralisation now continues to 1km down dip.

This article was developed in collaboration with Magnetic Resources, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.