Syndicated Metals (ASX:SMD) has released its anticipated updated resource estimate at its Barbara copper project in North Queensland, Australia. The total resource estimate (in the indicated and inferred categories) now stands at 166 million pounds of copper, almost 23,000 ounces of gold and 400,000 ounces of silver, as well as 3.2 million pounds of cobalt.
The average grade is good – as expected- but the total resource tonnage is slightly disappointing and it will be interesting to see the economics of a small project like this. Metallurgical test work is currently being conducted to fine tune the flow sheet at Barbara, and the recovery rates of the by-products might be very important here, as the rock value of the by-products (at 100% recovery) is over $17/t and this could have a very decent impact on the cash cost per pound of copper.
> Click here to read the press release
Disclosure: The author holds no position in Syndicated Metals. Please see our disclaimer for current positions.
