MOD Resources scores well in Mahumo Scoping Study

THE BOURSE WHISPERER: MOD Resources (ASX: MOD) has completed report scoping level metallurgical test work at the company’s Mahumo copper-silver project in South Africa.

The testwork was carried out using bornite copper sulphide ores from the project and have, according to the company, exceeded results it achieved from shallower chalcocite ores, which were announced in May 2015.

MOD said both Mahumo bornite and chalcocite ore types generated copper recoveries well above 90 per cent into high-grade copper-silver concentrates.

The company has further optimisation testwork planned, which is expected to be carried out during a proposed pre-feasibility study (PFS).

“First pass testwork on a relatively deep bornite rich composite (from 196.6m to 524m depth) has yielded an excellent response to flotation with copper and silver recoveries of 96.6 per cent and 85.9 per cent respectively into a low mass concentrate grading 38.5 per cent copper and 758 grams per tonne silver,” MOD Resources director and metallurgist Steve McGhee said in the company’s announcement to the Australian Securities Exchange.

“This complements the outstanding results already achieved with a shallower chalcocite rich composite.

“Future test work will aim to increase the silver recovery for bornite rich ores.”

MOD explained its Stage One underground scoping study is nearing completion adding that initial results from models based on the preliminary mine design and using costs from comparable mines in the region were positive, providing encouragement in the potential viability of the project.

MOD expects to be able to report detailed outcomes from the scoping study when cost estimates are confirmed by South African mining contractors.

The company also indicated it had made progress in negotiations with companies to assist with the potential development of the Mahumo project, including feasibility studies, which if positive, may continue through to project construction and operations.

Email: administrator@modresources.com.au

Website: www.modresources.com.au