Peel testwork returns strong copper recoveries from Wirlong

Peel has proven that its Wirlong deposit can complement the Mallee Bull deposit after metallurgical testwork achieved excellent recoveries and grades.

The testwork on material from Wirlong achieved recoveries of 96.9% to produce a concentrate grading 27.1% copper.

Peel Mining (ASX:PEX) is looking to establish critical mass through the definition of resources at each deposit within its South Cobar project in New South Wales with Wirlong and Mallee Bull both focused on the high-demand copper market.

“Whilst Peel’s South Cobar Copper Project comprises at least four deposits, we are focused on developing the Mallee Bull and Wirlong copper assets as a priority, notionally reducing the complexity of operation whilst focusing on our highest value minerals,” director of mining Jim Simpson said.

“By sequencing deposits with copper followed by lead and zinc, upfront capital is reduced in mine development and processing plant capital.

“The excellent drill results and metallurgical testwork from Wirlong are very encouraging and we believe this deposit will be a good complement to the Mallee Bull project.”

Permitting and pre-development studies are continuing for the South Cobar project with the concept study on track for delivery in the first quarter of 2022.

Other activity

Following on from successful ore-sorting testwork on the Mallee Bull and Southern Nights deposits in January 2021, the company has submitted new samples from the Mallee Bull and Wirlong deposits to undergo ore-sorting trials at the TOMRA sorting facility in Sydney.

Previous TOMRA testwork on Mallee Bull mineralisation achieved significant waste mass reductions while maintaining very high copper recoveries.

Results from the latest round of ore-sorting testwork are expected in the current quarter and will be included in the concept study.

Peel is also seeking regulatory approval to establish exploration declines at both Mallee Bull and Wirlong that will allow it to carry out underground resource definition drilling and exploration of the deeper portions of the deposit.

Successful underground exploration will potentially fast-track conversion to a full mining operation, with the benefit of established infrastructure and a streamlined regulatory approval process.

Resource drilling for both Wirlong and Mallee Bull is ongoing with the goals of adding to its current resource and upgrading inferred resources to the higher confidence indicated category.

This has already delivered notable results such as 28m grading 3.62% copper and 12 grams per tonne silver from a depth of 306m at Wirlong.

Mallee Bull currently hosts a total resource of 6.76 million tonnes at a copper equivalent grade of 2.6%, with 1.35Mt for 2.15%CuEq in the indicated column.

This article was developed in collaboration with Peel Mining, 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.