Sheffield Resources confirms marketability of Thunderbird products
THE BOURSE WHISPERER: Sheffield Resources (ASX: SFX) has received results from a review of the quality of planned products from the company’s Thunderbird Heavy Mineral Sand deposit located near Derby in the Canning Basin region of Western Australia.
Thunderbird deposit location plan. Source: Company announcement
The review was carried out by mineral sands specialist consultants TZ Minerals International (TZMI) and forms part of a Scoping Study Sheffield currently has underway on Thunderbird.
The Scoping Study is focusing on a coherent high-grade core to the Thunderbird deposit of 517 million tonnes at 10.1 per cent heavy minerals (HM) (Indicated and Inferred) containing 3.6 million tonnes of zircon, 0.8 million tonnes of rutile, 2.2 million tonnes of leucoxene and 15.2 million tonnes of ilmenite (at 7.5 per cent HM cut-off). This zone averages 20 metres thickness.
According to Sheffield TZMI’s Product Assessment has taken into consideration the specifications and scoping level volumes of Thunderbird products, in comparison with other competing products in the marketplace, while assessing likely target markets.
TZMI’s work follows development of processing flowsheets based on metallurgical testwork, and analysis of final products of zircon, primary and secondary ilmenite, rutile and high-titanium leucoxene. This work was conducted by consultants Robbins Metallurgical of Brisbane.
“TZMI’s confirmation of the marketability of the Thunderbird products is another key step for the Thunderbird deposit,” Sheffield Resources managing director Bruce McQuitty said in the company’s announcement to the Australian Securities Exchange.
“Thunderbird is one of the largest and highest grade mineral sands deposits to be discovered in the last decade and zircon and ilmenite are expected to be the most important products by value and volume, respectively.
“This confirmation by a leading mineral sands specialist consultant that the Thunderbird products will achieve wide acceptance in the broadest market sectors is extremely pleasing, and further underpins our confidence in the project.”
Sheffield indicated the Thunderbird Scoping Study to be progressing well.
The company said it would now be extended to incorporate a resource upgrade, aimed at increasing the component of the mineral resource in the Indicated category.
The Study is expected to be completed post the anticipated resource upgrade, which is scheduled for Q4 2013.
Sheffield did, however, explain that it is uncertain if further exploration will result in an increase in Indicated Resources.
The company’s current 2013 drilling program comprises infill and extension drilling at Thunderbird and an initial test of the Argo deposit, located 12 kilometres to the west.
A 15 tonne sample will be composited from the Thunderbird infill drilling for further enhancing metallurgical testwork and to obtain products for market soundings.
Level two environmental survey work to support the environmental approvals process is also in progress.