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Metalicity confirms Admiral Bay's potential for low-cost, long-life operation

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Metalicity confirms Admiral Bay's potential for low-cost, long-life operation

Metalicity Ltd. completed the first stage of the pre-feasibility study for its Admiral Bay zinc project in Western Australia, confirming the project's potential to support a long life and low-cost zinc-lead-silver operation.

The study indicated that a stand-alone direct shipping ore, or DSO, operation would be feasible for the project, utilizing ore sorting technology to increase the metal content in the ore to a commercial DSO product.

In the pre-feasibility study's second stage, the company will conduct additional resource drilling for both the DSO conversion upgrade and the larger orebody to support expansion, evaluate a staged expansion from a 0.5 million tonnes per annum operation up to a 3 Mtpa operation, and evaluate the feasibility of a concentrator plant to increase the available tonnage to be mined post-DSO.

Metalicity also received positive results from preliminary test work for an ore-sorting technology, which allows a separation of waste material from ore material through sensors.

The company intends to re-estimate the mineral resources at Admiral Bay using updated geological models and mineralization domains to better define higher-grade zones to target for future drill planning.

Metalicity said Oct. 10 it will undertake the second stage of the pre-feasibility study with a joint venture partner, and is already in discussions with multiple parties.

In mid-July, the company signed a memorandum of understanding with a China Minmetals Corp. subsidiary for the future output of zinc, lead and silver from the Admiral Bay project.