Newcore Gold (NCAU.V) released the results from five additional column tests it completed as part of its metallurgical test program on its fully owned Enchi gold project in Ghana. The recovery rates in these tests ranged from 88.% to 95.6% with an average recovery rate of 91.7%, with a relatively modest cyanide consumption level of approximately 1.2 kilograms per tonne. The test work was based on representative samples from the Sewum and Boin deposits, which make up almost three quarters of the total resource at Enchi.
According to the company, it should be possible to further optimize the processing options ahead of a bench scale test which should be completed by the end of this year. The data from the metallurgical test program will then be used in the updated PEA which will be released in the first semester of next year. We are looking forward to seeing an updated NPV and IRR calculation for the project which currently contains almost 745,000 ounces of gold in the indicated resource category and almost 1 million ounces of gold in the inferred resource category at an average grade of respectively 0.55 g/t and 0.65 g/t.
Disclosure: The author has a long position in Newcore Gold. Please read the disclaimer.
