- Oops!Something went wrong.Please try again later.
Vancouver, British Columbia--(Newsfile Corp. - June 13, 2022) - Multi-Metal Development Ltd (TSXV: MLY) (OTC Pink: MLYCF) (formerly American Cumo Mining Corporation) is pleased to announce that it has completed the stage 2 ore-sorting analysis of the drill core at its CuMo project. The work completed involved the detailed visual analysis of all holes (37) drilled by the Company into the mineralized zone and is in addition to the stage 1 Ore-Sorting analysis reported in news release date June 2, 2017.
The Cumo Deposit is a vein stockwork deposit with the vast majority of the contained metals (Mo, Cu, Ag, Re and W) occurring within very thin veins and veinlets, irregularly spread throughout the deposit. This means that the largest part of potentially mined material will be waste, and a smaller portion will be mill feed. The Company intends to utilize and optimize industry-proven ore-sorting technology, which is designed to remove a large percentage of the waste before it enters a mill for further processing. Since a large part of the waste is being removed, ore sorting also substantially improves the grade of the material being fed to a mill. Importantly, the elimination and removal of significant percentages of waste material prior to processing provides the ability to utilize a smaller mill or concentrator than would be needed without ore sorting, which further translates into potentially material savings in capital and operating expenditures. Stage 1 ore sorting tests successfully established that X-ray Fluorescence (XRF) can be used to identify the grade of mined material and thereby eliminate and divert away from the mill significant portions of waste material.
The current work completed involves the detail visual analysis to determine the percentage of the material in the drill holes that contains the actual metals, expanding on the stage 1 testing. A total of 62,319 feet of core in 37 drill holes were separated into one of three geologic zones previously identified and examined based on the 50-foot bench composites used to calculate the current resources (see news release dated June 2, 2020, for current resource). Each 50-foot composite was broken down into 3-inch sections (75 mm). Visually, it was determined, if the individual piece contained any metal bearing veins/veinlets, the number and thus the total length of metal bearing material was determined. The results of the analysis show that overall, approximately 16% of the identified resource contains the largest part of the metals in the deposit. In the table below the mill feed feet represents the total footage of metal containing material identified.
To see examples of the visual sorting results on individual holes, please visit our interactive sorting page https://multimetdev.com/ore-sorting/
The results are extremely encouraging as they clearly show that by separating the metal bearing veins from the host rock, a large portion of waste can be eliminated immediately after mining, and the head grade of the metals in the material being fed to the mill will be substantially higher than the grade found in the resource.
The Preliminary Economic Analysis (PEA) completed in June 2020 by SRK, based on 10-foot sample intervals, assumed that ore sorting would remove 28% of the mined material as waste , meaning that 72% of mined material would pass through to the mill. The visual analysis indicates that with optimized ore sorting, a substantial improvement can be possibly achieved, where theoretically up to 84% of the mined material could be removed prior to mill processing.
Notes: The PEA is preliminary in nature. It includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized. Mineral resources that are not mineral reserves do not have demonstrated economic viability.
Ore-Sorting is an industry technical term only and does not imply that there are any disclosure of reserves/ore currently at the CuMo project.
The results of the analysis also show the potential grade enhancements that are possible should Ore-Sorting technology be able to produce the same results as the visual sorting. Stage 1 testing, using XRF has demonstrated that this is a realistic possibility. The results are presented as ranges based on the estimated metal loss than may be expected because of the visual sorting. The percentage metal loss covered ranges for 5% to 25%. The table below shows the potential grade enhancements that may be possible.
Table 2a Original grade of all composites
Table 2b Potential mill feed grades 25% and 5% metal loss to waste
Mill feed at 25% loss
mill feed at 5% loss
Notes: For the equivalent calculation recoveries and metal prices are the same ones used in the June 2022 PEA; metal prices were $3 Cu,$10 MoO3($15 Mo),$17.50 Ag.
Rec(??) are the metal recoveries for each zone as per PEA.
%Cu Equiv. = (%Cu x 20 x $(Cu) x Rec(Cu) + %MoS2 x 20 x $(MoO3) x (1.5/1.6681) x Rec(Mo) +
Ag x $(Ag) x Rec(Ag)) / ($(Cu) x Rec(Cu) x 20)
%MoS2 Equiv. = (%Cu x 20 x $(Cu) x Rec(Cu) + %MoS2 x 20 x $(MoO3) x (1.5/1.6681) x Rec(Mo) +
Ag x $(Ag) x Rec(Ag)) / ($(MoO3) x Rec(Mo) x 20 x 1.5/1.6681)
Overall, the results are as follows
From 0.058% MoS2, visual sorting indicates a mill feed grade between 0.379% and 0.480%
From 0.08% Cu visual sorting indicates a mill feed grade between 0.86% and 1.09%.
From 2.3 g/t Ag, visual sorting indicates a mill feed grade between 26.2 g/t % and 33.1 g/t.
From 0.071 MoS2 Equivalent, visual sorting indicates a mill feed grade between 0.444 % and 0.562%.
From 0.354% Cu Equivalent, visual sorting indicates a mill feed grade between 2.42 % and 2.80%.
In addition to the grade effect due to the reduction in volume, the corresponding mill size can be much smaller. The SRK PEA identified a mill of 150,000 tons per day. The Company believes that a mill designed at 30,000 to 45,000 tons per day, using the enhanced mill feed grade, could produce similar amounts of metals as projected by SRK. This could also lead to a significant reduction in capital and overall operating costs.
The targets and the potential grade enhancements are conceptual in nature as there has been insufficient work done to confirm the target values as defined by NI 43-101 and it is uncertain that further work would result in establishing these targets.
The Company, subject to financing and other conditions, intends to proceed with stage 3 ore sorting analysis which will involve testing using existing scanners and additional technology, at various scales from bulk sorting to particle sorting in order to determine the most optimum scanning techniques that can produce results similar to the visual sorting. The visual results will be used to confirm that the machines are performing optimally.
Mr. Shaun M. Dykes, M.Sc. (Eng), P.Geo., President and CEO of the Company is the designated qualified person for the CuMo Project, and prepared the technical information contained in this news release.
About Multi-Metal Development Ltd ("MultiMet")
MultiMet is focused on advancing the CuMo Project owned by its subsidiary International CuMo Mining Corp. towards feasibility and working on its Bleiberg project in Austria. Management is continuing to build an even stronger foundation from which to move the Company and its projects forward. For more information, please visit www.multimetdev.com.
For further information, please contact:
Multi-Metal Development Ltd
Shaun Dykes, President and Chief Executive Officer
Tel: (604) 689-7902
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this new release.
Cautionary statement regarding forward‐looking information
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation including, but not limited to, statements that address activities, events or developments that the Company expects or anticipates will or may occur in the future, such the Company's ability to move its CuMo Project to feasibility and production, and to become one of the largest and lowest-cost molybdenum producers in the world as well as a significant producer of copper and silver. Forward-looking information is based on a number of material factors and assumptions, including the result of exploration activities, the ability of the Company to raise the financing for a feasibility study and to put the CuMo project into production, that no labour shortages or delays are experienced, that plant and equipment function as specified that the Court will not intervene with the Company's proposed exploration activities at the CuMo Project, and the ability of the Company to obtain all requisite permits and licenses to advance the CuMo Project and eventually bring it into production. Forward-looking information involves known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future prediction, projection or forecast expressed or implied by the forward-looking information. Such factors include, among others, the interpretation and actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of molybdenum, silver and copper; possible variations in grade or recovery rates; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing, as well as those factors disclosed in the Company's publicly filed documents, including the Company's Management's Discussion and Analysis for the period ended March 31, 2022. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/127587