Classic showcases gold processing capability

After a pilot test run to assess the suitability of its plant to process ore from the company’s premier Kat Gap deposit, Classic Minerals’ Gekko processing plant has outperformed its expectations. The low-cost modular plant delivered more than 95 per cent of the liberated gold through a simple gravity process.

After receiving approval for a tailings storage facility the company will now move to assemble its plant before commencing the processing of ore and finally the production of long awaited gold.

The pilot plant used was capable of processing 10 tonnes of feed per hour, however was run at 1 to 2 tonnes per hour during the initial test in order to focus on understanding and optimising process dynamics rather than throughput rate.

The company is currently awaiting assays to reconcile the gold grade and recovery. Once fully commissioned onsite, the plant is expected to produce gold in line with previous test work that demonstrated a recovery of up to 70 per cent of the gold in the feed.

Classic has some room to grow with its plant capacity. The jig used in the pilot plant itself — an IPJ 1000— is actually capable of processing up to 30 tonnes per hour whilst the company already possesses extra Gekko components that will permit a processing capacity in excess of 100 tonnes per hour at Kat Gap.

The innovative Gekko plant represents a cost-effective entry to onsite processing of ore and is ideally suited to the free-milling ores found in the Kat Gap deposit. Classic’s current unit also has the advantage of scalability and can be augmented with further Gekko gear to reach a throughput of more than 250 tonnes per hour - more than ample capacity to process the open pit and potential underground ores from the deposit.

Classic Minerals Chairman, John Lester said: “Today we have had our decision to purchase the Gekko plant and equipment for Kat Gap ore vindicated with the test results for the pilot plant.”

The Kat Gap deposit near Southern Cross in WA hosts almost 93,000 ounces of gold in an inferred mineral resource of 975,722 tonnes of ore grading 2.96 grams per tonne. Notably, it is the highest-grade contributor to the company’s total gold inventory of 403,906 ounces.

The price of gold appears to have reclaimed some territory this week, after the most actively traded gold futures contract on COMEX climbed back to US$1661 per ounce after bottoming out on a low of US$1622 on Wednesday in the US. Notably, Wednesday was the lowest point for the precious yellow metal contract since falling from its graceful high of US$2091 on March 8.

Interestingly according to the World Gold Council, about half of all gold mined today is made into jewellery — representing the single largest use for the metal.

Is your ASX-listed company doing something interesting? Contact: matt.birney@businessnews.com.au