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Highlights
- Akora Resources explores expansion at Bekisopa with high-grade assays.
- Drilling reveals potential for direct shipping ore with iron grades up to 67%.
- Pre-feasibility study aims to enhance resource estimates and project financials.
Akora Resources (ASX:AKO) has announced encouraging results from its latest drilling campaign at the Bekisopa iron ore project in Madagascar. The exploration effort revealed high-grade mineralisation suitable for a direct shipping ore (DSO) operation, signaling a significant step forward for the project.
The fifth drilling campaign consisted of 61 holes totaling 508 metres and aimed to explore the eastern and western limbs of the southern zone. This initiative focuses on expanding the indicated resource of 4.4 million tonnes grading 60.9% iron. Notably, assays returned grades as high as 67%, with mineralisation observed from the surface to a maximum depth of 12 metres.
A significant portion of the campaign targeted weathered mineralisation in the southern zone, using a 50m by 50m drilling pattern. Thirty-five holes intersected higher-grade potential DSO material, providing a foundation for further resource expansion.
Focus on Resource Expansion
The recent drilling results are pivotal for Akora Resources (ASX:AKO), as they align with the company’s goal of increasing the Bekisopa southern zone’s indicated resource. According to company reports, these assays are now under review by consultants, who will update the project’s mineral resource estimate.
The company’s managing director highlighted the importance of these developments for enhancing the upcoming pre-feasibility study. The updated resource is expected to add mine life and improve project economics, creating a stronger financial base for the proposed low-capital DSO start-up operation.
Scoping Study Insights
Earlier assessments provided a robust foundation for Bekisopa’s future. A scoping study, published in late 2023, outlined the potential to scale up production to two million tonnes annually over an initial five-year period. This start-up phase would focus on producing lump and fines with iron grades exceeding 60%, specifically targeting steelmakers.
Akora Resources (ASX:AKO) also emphasized the advantages of a DSO-focused operation. By leveraging the project’s at-surface weathered mineralisation, the company aims to minimize time, resources, and capital needed to bring the product to market.
Next Steps
Looking ahead, Akora Resources (ASX:AKO) has initiated plans for a pre-feasibility study to further explore low-capital expenditure opportunities. These efforts, supported by the southern zone’s growing resource base, are expected to strengthen the project’s financial outlook and operational efficiency.
With high-grade assays and ongoing resource updates, Akora Resources (ASX:AKO) continues to advance its Bekisopa project, paving the way for future development and market delivery.
