Direct Nickel Limited, Regency Mines’ (LON:RGM) partner on the Mambare nickel project in Papua New Guinea, has claimed another milestone for its novel nickel processing process.
The test plant has produced its first marketable nickel/cobalt concentrate in the form of a Mixed Hydroxide Product (MHP) from a mixed feed of 25% limonite and 75% saprolite ore.
Direct Nickel, which is 7.5% owned by Regency, added that the plant is also recovering nitric acid for reuse in the process, as well as magnesium oxide (MgO) as saleable wby-prduct of the waste stream.
Production of the concentrate marked the completion of the full flow sheet of the DNi process, the company said, with the focus now shifting from activation to optimisation of the process.
The overall test programme is expected by DNi to complete by the end of 2013.
DNi added it was a significant milestone in the test plant technical program and a large step forward towards generating the data needed to design an initial commercial plant, commencing in 2014.
Shares in Regency rose by 3% to 0.397p.