Viking Mines (ASX: VKA) Identifies Viable Pits at Canegrass After Positive Pit Optimisation Study

Highlights

• Viking Mines has received the results from the Pit Optimisation Study for the Canegrass Battery Minerals Project, Western Australia.
• MEC mining completed the POS on the Canegrass following a thorough industry standard process.
• Six pit optimisation scenarios were completed, assessing various revenue streams, with all six optimisations proving highly successfully, showcasing the robust nature of the project.
• The combination of current input cost parameters and commodity pricing and recent metallurgical results show outstanding potential for the project, says the firm.

Viking Mines Limited (ASX: VKA) has received the results from a Pit Optimisation Study for the Canegrass Battery Minerals Project, Western Australia. The POS was conducted on the Canegrass by MEC Mining following a thorough industry standard process.

As per the outcomes of the POS, the three deposits of the project have returned several pit shells reflecting the potential for positive economic viability under the set assumptions. The combination of current input cost parameters and commodity pricing and recent metallurgical results show outstanding potential for the project, says the firm.

The Company has selected the Base Case scenario at a 0.7% V₂O₅ processing cut-off for ongoing further evaluation of the Project. This delivers a substantial pit constrained high-grade, low strip-ratio Inferred category JORC (2012) MRE of 61Mt at 0.81% V₂O₅, 35.9% Fe, 7.6% TiO₂, 714ppm Cu, 687ppm Ni & 177ppm Co.

The results support advancement towards the strategic objectives of the company of building an operation with a >15 years mine life at 1.5-2.0Mtpa and with an average in-situ grade of 0.81% V₂O₅.

Future course of action
Post successful completion of the POS, Viking is geared up to progress towards conducting a Scoping Study for the Project. The company intends to raise the Mineral Resource to Indicated+ category under JORC 2012.

Alongside, VKA will connect with industry consultants and seek their advice and inputs on diverse elements of the Scoping Study.

Viking will perform further testwork to explore how to generate a sulphide concentrate. Also, the firm will initiate work to find out if an ilmenite concentrate can be obtained at the magnetic separation stage, so as to potentially build a new revenue stream for the Project.

VKA shares last traded at AU$0.010 apiece on 18 March 2024.