TNG's (ASX: TNG) initial scoping study at Mount Peake Vanadium Project in the Northern Territory has demonstrated positive project viability.
The initial independent study by Snowden considered the viability of an open pit mining operation study using a marginal cut-off of 0.22 % vanadium pentoxide (V2O5), conservative V2O5 price of US$8/lb, and processing of 5mt per year, with an estimated capital cost of between $400 – 500m.
Despite the high capital cost, the results demonstrated viable project economics given the parameters and assumptions of this initial study.
Metallurgical cost and recovery estimates for the Study were supplied by Mineral Engineering Technical Services (METS), who are carrying out metallurgical testwork to optimise recovery and grade on the Mount Peake ore.
The capital cost has been estimated based on information supplied by METS who are undertaking the metallurgical test work. This work is ongoing and the final processing route not yet been established.
TNG said is was encouraged by the results of the initial Scoping Study, particularly as this optimisation has been based on TNG’s maiden Inferred Mineral Resource of 107 million tonnes at a grade of 0.32% V2O5, 5.9% TiO2, 29% Fe, estimated from its first round of drilling on the project.
A significant portion of the Mount Peake magnetic anomaly remains untested and offers the potential to increase the initial resource and further enhance the project’s economics.
TNG is pleased will now consider the optimum route to progress the Mount Peake Project to the next phase, including the possibility of introducing a joint venture partner to fund ongoing resource drilling and project feasibility work.
www.proactiveinvestors.com.au
No comments:
Post a Comment