Exploration and mining company, King River Resources Limited (ASX: KRR) recently released its activities report for 2019 March quarter. During the March quarter, the company made significant progress in the development of its Speewah Specialty Metals (SSM) Project and reported high-grade gold intersections at the Mt Remarkable Gold project, both located in the East Kimberley of Western Australia and 100% owned by King River.
From its SSM project, the company is eying to produce vanadium pentoxide (V2O5), titanium dioxide (TiO2) and iron (Fe2O3) products, along with other potential high-value products like high purity alumina (4N HPA) and magnesium oxide products. And in order to do so, King River has been conducting sulphuric acid (H2SO4) flooded vat leach and agitated leach tests on coarse magnetite gabbro lumps and magnetite-ilmenite concentrate, from the high-grade zone of the Central Vanadium deposit.
Heated Agitated Tank Leach and Heated Flooded Vat Leach testwork on magnetite-ilmenite concentrate and coarse lump material have delivered positive results which are successfully demonstrating excellent metal extractions from both lump and concentrates in sulphuric acid. The company is aiming to focus more on testwork to recover the targeted metals from the leach solutions. Over the coming month, the company’s emphasis will be on the precipitation of iron (Fe) as ferrous sulphate and the oxidation of the ferrous sulphate to produce an iron oxide product and recover sulphur dioxide.
Recently the company released the Capital Expenditure (CAPEX) estimate for the Beneficiation, Leach and Metal Recovery Processing Facility and the Acid Contact and Regeneration Plants required for on-site sulphuric acid production.
Source: Company’s ASX announcement on 2 April’19- Quarterly Activities Report 31 March 2019
The estimates are currently at the lower range of KRR’s initial target of US$650-750 Million. The company is going to examine the lowest project (capital and operating) cost options and will report on the outcomes in a completed Prefeasibility Study (PFS) expected in the 3rd quarter of 2019.
Drilling at Mt Remarkable in 2018 is complete and final assays are received. In total, the company drilled 167 holes for 10,074m, with 18 RC holes for 1,500m as part of the latest phase.
The final batch of assays produced some notable results which include –
- 4m @ 19.88g/t Au including 1m @ 69.30g/t Au from 21m in KMRC194.
- 3m @ 4.29g/t Au including 1m @ 6.7g/t Au from 27m in KMRC195.
- 2m @ 10.47g/t Au from 33m in KMRC196.
The intersection of 4m @ 19.88g/t Au including 1m @ 69.30g/t Au was returned from a new, very high-grade gold zone at the eastern most edge of the Trudi grid drilling, confirming the company’s belief that multiple high-grade shoots exist at Trudi and are yet to be discovered.
The company is expecting some of its application licenses to be granted this year opening exploration opportunities, along 200km of under-explored Whitewater Volcanics, for new high-grade gold deposits.
Recently on 1st April 2019, the company provided amended resource estimate for its wholly owned Speewah Specialty Metals Project.
At the time of writing, i.e., on 4th April 2019 AEST 2:30 PM, the stock of the company was trading 3.85% up at a price of A$0.027 with the market capitalisation of ~A$32.2 million.