Preliminary Metallurgical Testing Recovers 95.7pc of the Gold at Las Conchitas
(3 months ago)
VANCOUVER, Feb. 12: Golden Reign Resources Ltd. (TSX-V: GRR) (the "Company" or "Golden Reign") announces positive gold metallurgical results from Las Conchitas area of its wholly-owned San Albino-Murra Property (the "Property") in Nueva Segovia, Nicaragua.
The recent metallurgical test work was performed by Bureau Veritas Minerals - Metallurgical Division ("BV"), of Richmond, British Columbia, under the direction of John Fox. P. Eng., the Company's consulting metallurgist.
The recent metallurgical testing, consisting of combined gravity and cyanidation methods resulted in an average of:
•95.7% gold and 68.5% silver recovery, from composite samples grading in average 8.70 g/t gold and 20.10 g/t silver
The test work was conducted on three samples from the Mina Francisco (strike length ranges from 600 to > 1,000 metres), Cruz Grande (strike length 600 metres) and Las Dolores (strike length >1,000 metres) zones, respectively, collected during a recently completed trenching program in the Las Conchitas area. All zones remain open in all directions. The testing objectives were to confirm that the mineralization is amenable to standard metallurgical methods and to provide preliminary information for future economical evaluations of these zones.
The samples were composited for testing, based upon the grades and types of mineralization characteristic of the oxide portion of the zones. A quantitative visual analysis of the oxidized sample material revealed a composition of 70% quartz veins and 30% crumbly phyllite. Assays of the composite head samples ranged from 5.39 g/t gold to 11.30 g/t gold and from 9.2 g/t to 27.7 g/t silver.
Simple gravity concentration tests, following a 75µm grind and two stages of gravity concentration, returned gold recoveries in the range of 19.7% to 39.0%, averaging 30.3% recovery for the three composites. Gravity silver recoveries ranged between 18.5% and 27.1%.
The gravity tails were then leached by a cyanide solution for 48 hours using a carbon-in-pulp (CIL) test, with a cyanide concentration of 2.0g/L NaCN and an activated carbon concentration of 20g/L. These are preliminary results and no attempt has been made to optimize the test/leach conditions. All three composite samples responded similarly to CIL leaching, with gold leach extractions ranging from 57.8% to 72.9%, and silver extraction ranging from 38.6% to 52.5%.
The final results of the preliminary metallurgical testing, with gravity recovery followed by the cyanidation of gravity tailings, returned combined extractions ranging from 92.5% to 97.9% gold and 65.7% to 71.1% silver. These are excellent preliminary results and are comparable to those reported for the San Albino Gold Deposit (see news release March 27, 2014).
The positive results from this initial metallurgical test work is an important step in advancing the economics of the Las Conchitas project. The Company intends to continue with metallurgical studies of different lithological types of mineralized material within the Las Conchitas area with a goal to maximize concentrate grades and recoveries.
The southern Las Conchitas area hosts a number of high priority, clustered gold targets. Las Conchitas is situated 1.5 km south of the San Albino Gold Deposit at the southwest end of Corona de Oro Gold Belt which, at 3 kilometres wide and 20 kilometres long, spans the Company's landholdings.
Exploration activities by the Company have identified at least seven highly mineralized structures within the Las Conchitas area, with strike lengths ranging from 500 to over 1,000 metres, all located within a 2.5 square kilometre area. To date, Golden Reign has completed significant trenching, covering 4,300 metres in 134 trenches and exploration pits. A small number of the most prospective trenching results have been tested by 18 holes drilled for 3,040 metres.