Calidus Resources Produces Encouraging Metallurgical Results from Klondyke

THE DRILL SERGEANT: Calidus Resources (ASX: CAI) released results of metallurgical testing carried out at the Klondyke project located at the company’s Warrawoona gold project in the Pilbara of Western Australia.

Calidus Resources said the metallurgical testwork results are consistent with the company’s expectations as it continues to advance the Warrawoona project towards a pre‐feasibility study.

The testwork produced highlights, including:

Excellent gold recovery characteristics with similar testwork response from oxide and fresh ores;

Greater than 96 per cent cyanide leach recoveries at relatively coarse grind (80% passing 150 microns) and 24‐hour leach;

High gravity recoverable gold of 63 per cent;

Exceptionally low reagent consumption (average sodium cyanide 0.17 kilograms per tonne, lime 0.74kg/t); and

Ore characteristics well suited to conventional crushing and ball milling.

“These metallurgical results position Calidus very favourably as we progress towards the commencement of the pre‐ feasibility study to evaluate the development options for the Klondyke project,” Calidus Resources managing director Dave Reeves said in the company’s announcement to the Australian Securities Exchange.

“Attractive resource grade, geometry well suited to open pit mining and simple ore processing with high gold recoveries and low reagent consumption could underpin Klondyke as a low operating cost mine in Western Australia.”

The Klondyke deposit forms part of the Warrawoona Gold Belt, which was the initial focus for Calidus, and hosts a current JORC resource of 654,000 ounces at 2.06 grams per tonne gold and forms part of the global resource 712,000 ounces at 2.12g/t gold.