Aphrodite Gold has options aplenty for the development of 1m ounce Aphrodite deposit

Aphrodite Gold (ASX: AQQ) has commenced a Scoping Study following positive metallurgical test work of plus 90% gold recoveries from the 1.03 million gold ounce Aphrodite deposit.

The study will examine the staged development of the deposit by initial open pit mining followed by underground development of higher grade resources.

Also to be examined, the study will investigate the practicalities of utilising available nearby infrastructure close to the Deposit, including processing plants.

One of the major benefits already of the Aphrodite deposit, is the strategic location 75 kilometres north of Kalgoorlie.

Leon Reisgys, exploration and development director, commented “The path to production from the Aphrodite Gold Project is proceeding better than originally planned, and shareholders may expect continuing positive announcements on a regular basis.”


METS to examine processing options

Aphrodite Gold has selected Mineral Engineering Technical Services (METS) to examine processing options for the oxide, transitional and primary ores that will be mined from the deposit.

There are several options already for the company, with METS to investigate toll treatment, as well as on site processing of the ore to at least the production of a high grade concentrate.

Importantly, METS is already familiar with the company's operations, having recently completed the metallurgical testwork program on the deposit.

Engineering consultants Tetra Tech will focus on the mining of the deposit including mining methods, production rates, development and production schedules, and equipment, along with examining geotechnical, environmental and heritage issues.

The Scoping Study is expected to take 3 to 4 months to complete, following which a decision to proceed to a Feasibility Study will be made.


Test work shows plus 90% gold recoveries

The Scoping Study announcement comes hot on the heels of the very positive test work of plus 90% gold recoveries announced earlier in the week from the Aphrodite deposit.

The recoveries were from bulk flotation tests on primary ore, which also has the possibility of opening up options for treating the ore with a major gold producer.

Producing a high gold grade, low mass concentrate would greatly reduce transport and processing costs of the concentrate as well as opening up a range of options for the processing or sale of concentrate.


Analysis

Commencement of a Scoping Study places Aphrodite Gold ahead of schedule at the Aphrodite Gold deposit.

Given the likely interest from major gold miners in the ore potentially mined from Aphrodite Gold, as well as from China - most gold produced there is from refractory ore - the news keeps on getting better for Aphrodite Gold.

In addition, the EV/Resource ounce for Aphrodite Gold ranking versus its peers is relatively low, Aphrodite Gold must rank as one of the lower valued on the ASX at present - a clarion call for investors.

Originally published at: http://www.proactiveinvestors.com.au/companies/news/19709/aphrodite-gold-has-options-aplenty-for-the-development-of-1m-ounce-aphrodite-deposit-19709.html