Xanadu Mines Ltd achieves milestone at copper-gold project

Economy | Mining
2016-09-01 17:01:23

Ulaanbaatar /MONTSAME/ Xanadu Mines Ltd (ASX:XAM) has successfully completed preliminary metallurgy work on samples from its Kharmagtai copper-gold project in Mongolia, writes Proactive Investors.

Strong results from the flotation test work saw copper recoveries of up to 95.3%, gold recoveries up to 95.4% and silver recoveries up to 89.9%.

Optimisation of the metallurgical performance will be achieved with additional test work.

Dr Andrew Stewart, CEO, commented: “These positive metallurgical test results provide more confidence with the drilling underway to expand the resource by targeting mineralisation in the tourmaline breccia. 

“The new results also complement the previous metallurgical studies undertaken on the shallow copper-gold stockwork zones of the orebody.”

Kharmagtai porphyry copper-gold project

The 79.5% owned Kharmagtai project is located in south Gobi (Umnugovi province), Mongolia. 

It is an advanced exploration project with a 66 square kilometre mining licence.

Kharmagtai contains a 203 million tonne JORC compliant resource containing 680,000 tonnes of copper and 2.2 million ounces of gold with significant exploration upside.

It is a large porphyry style deposit with multiple near-surface, gold-rich zones and mineralisation outcropping at surface.

The resource represents only a small portion of a potentially large mineral system.

Exploration is targeting a fourth shallow gold-porphyry centre to support at least a 5 million tonnes per annum operation for 10 years at 0.6% to 1.0% copper equivalent.

A new drilling program is planned to follow-up significant results from the recently completed program.