Corazon Mining Limited (ASX: CZN)

Corazon Mining is a base metals explorer exploring two projects, one in each global hemisphere.

Overseas it envelops the entire Lynn Lake nickel-copper-cobalt mining centre in Canada.

Domestically it has the Mt Gilmore project in New South Wales that hosts the Cobalt Ridge deposit.

Corazon owns 100 per cent of the Lynn Lake Mining Centre located in Manitoba – historically one of Canada’s most prolific nickel producing regions.

Lynn Lake is a historical mining centre that was mined continuously for 24 years prior to closure in 1976.

In 2015, Corazon consolidated the Lynn Lake mineral field for the first time since mine closure and in doing so created an important nickel-copper asset.

Corazon recently announced information and results from initial metallurgical testwork carried out at the Lynn Lake nickel copper-cobalt sulphide project in Canada.

The company has declared its initial results from a metallurgical testwork program at Lynn Lake as exceptional having, for the first time, delivered separate high-value nickel and copper concentrates.

The results include the production of a new nickel concentrate with a grade of 26 per cent nickel with recoveries of 71 per cent and a new copper concentrate with a grade of 27 per cent copper with recoveries of 77 per cent.

These results are yet to be fully optimised, however Corazon expects on-going work will deliver further improvements.

This technical breakthrough represents an important step forward in Corazon’s development pathway for Lynn Lake as it supports the production and dispatch of separate copper and nickel concentrates from site to smelters and removes the need for potentially costly secondary processing from a bulk (nickel-copper) concentrate onsite.

Operations and metallurgical testwork completed since the mine closed were unable to achieve the nickel grades observed in this current testwork, or produce separate nickel and copper concentrates with the purity of this testwork.

The company has testwork underway that is focused on ore characterisation, flotation and product definition for down-stream processing, and is designed to provide key data for future mining and development studies for the possible re-commencement of mining at Lynn Lake.

Corazon has approximately 500 kilograms of fresh broken, mineralised fist-sized pieces of rock sample transported from site to Australia for analysis.

The sample was delivered to ALS Metallurgy in Western Australia, and internationally recognised metallurgical consultants, METS Engineering, managed the testwork.

The testwork included an initial flotation process to concentrate the copper and a subsequent flotation process to concentrate the nickel and cobalt.

Modern advances in processing technologies and reagents have delivered substantial benefits and efficiencies with respect to metal recoveries and product quality, which may in turn deliver significant reductions in both operating and capital costs associated with any future development of Lynn Lake.

Corazon holds the right to earn up to 80 per cent of the Mount Gilmore cobalt-copper-gold project that hosts the rare, cobalt dominant sulphide Cobalt Ridge deposit, claimed by the company to be one of the highest-grade cobalt deposits in Australia.

The company recently announced the discovery of a major copper-cobalt-silver-gold trend at the Mt Gilmore project, after its exploration activities discovered multiple, large (plus-one kilometre) priority targets within a major copper-cobalt-silver-gold feature of more than 11 kilometres in strike length, which forms part of the currently defined 22 kilometre-long, mineralised Mt Gilmore Trend.

Corazon considers this newly identified Mt Gilmore geochemical trend to represent a district-scale exploration play for large intrusive-related copper-cobalt-gold deposits that provides the company with a unique early-stage copper-driven opportunity in eastern Australia.

The region has been subject to little or no modern exploration activities or drill testing within the priority areas Corazon has defined.

The geochemical anomalies were identified from surface sampling the company carried out at Mt Gilmore in 2018.

This was part of a program that also included 3,893 soil samples and 230 rock-chip samples.

The results provided compelling evidence of an extensive hydrothermal event within the project, containing metal associations indicative of large intrusive related copper-gold systems.

Rock chip and grab sampling within these soil anomalies has returned high tenor copper (up to 21.6 per cent), cobalt, silver and gold.

This sampling tested what Corazon has interpreted as being high-grade ‘leakage structures’ extending from much larger, concealed, copper sulphide-rich hydrothermal centres.

These structures, in isolation, also provide prospective targets for further exploration and drilling.

Corazon’s assessment that the numerous occurrences of copper-cobalt-gold mineralisation identified in late-1800s/early-1900s small scale mining operations may in fact be part of a much larger system, represents a great advancement for the project, substantially increasing it’s potential.



Directors: Clive Jones, Brett Smith, Jonathan Downes, Dr. Mark Yumin Qiu