Corazon Mining Ltd (ASX:CZN) has received positive metallurgical test results from its Mount Gilmore Cobalt-Copper-Gold Project in New South Wales.
Flotation tests on drill core samples from the Cobalt Ridge deposit recovered 93.6% cobalt and 98.4% copper.
Results from the phase II tests support the viability of simple processing options at the project.
They also support the successful phase I results earlier this year.
The Mt Gilmore project is 35 kilometres from Grafton in the state’s northeast.
One of the highest-grade cobalt deposits in Australia
Cobalt Ridge hosts one of the highest-grade cobalt deposits in Australia and as a pure cobalt play, represents a strong development opportunity.
The phase II tests have targeted lower grade material than that tested in the previous phase.
The sulphide mineralisation tested included what is considered to be the background grade for the main lode within the deposit.
Simple beneficiation process
The similar nature of the sulphide minerals has provided the opportunity for a simple beneficiation process and production of a bulk concentrate.
This is supported by the association with gold.
Ongoing tests will focus on defining down-stream concentrate processing options and detailed process engineering studies.
READ: Corazon Mining’s drilling continues to extend cobalt zone at Mt Gilmore
There has been very little modern exploration of the large Cobalt Ridge hydrothermal system.
Corazon is addressing this through drilling, which is supplying test samples, supporting resource definition work and testing new areas near Cobalt Ridge.
These include extensions to the Cobalt Ridge Main Lode and the historical workings at the Flintoff and Glamorgan prospects.
READ: Corazon Mining confirms high-grade cobalt potential with assays
Cobalt prices are being driven higher by expectations of increased demand from the rechargeable battery sector.
A deficit in global cobalt supply is looming and securing sources of ethically mined cobalt is a growing concern for battery makers.
Potential to provide quality cobalt product
Corazon believes Cobalt Ridge has the potential to provide a quality cobalt product for the emerging rechargeable lithium ion battery sector.
A subsidiary of China Hanking Holding (HKG:3788) agrees, and has invested in Corazon.
Next steps at Cobalt Ridge
Corazon is continuing drilling and also plans process engineering design work this month.
The company intends to undertake a scoping study during the first quarter of 2018.