REG - Fulcrum Metals PLC - Teck-Hughes and Sylvanite gold tailings update

Fulcrum MetalsAnnouncement

18/12/2024 07:00

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RNS Number : 4813Q  Fulcrum Metals PLC  18 December 2024

Fulcrum Metals plc / EPIC: FMET / Market: AIM / Sector: Mining

 

18 December 2024

Fulcrum Metals plc

("Fulcrum" or the "Company" or the "Group")

 

Teck-Hughes and Sylvanite gold tailings update

 

Extrakt technology increases gold recovery at Sylvanite Gold tailings by up to
63%

 

 

Fulcrum Metals plc (LON: FMET), a company focused on mineral extraction and
exploration in Canada, is pleased to announce an exceptional increase in gold
recoveries of up to 63% in addition to a significant reduction of leach times
of up to 94% from the Phase 1 test work at the Sylvanite gold project
("Sylvanite") and the start of the Phase 2 conceptual study at the Teck-Hughes
gold project ("Teck-Hughes").

 

Fulcrum is currently testing Extrakt Process Solutions LLC's ("Extrakt")
processing technology through a four phased development programme, details of
which have been set out by the Company in prior announcements.

 

Highlights

·    Teck-Hughes Gold Tailings Project

o  Phase 2 conceptual study has commenced delivering operating plans and cost
estimates

o  16 site auger hole sampling near completion which will expand the data set
to facilitate a 43-101 technical report

·    Sylvanite Gold Tailings Project

o  Initial unoptimised phase 1 leach test work results with Extrakt's
non-toxic technology delivers significant improvements compared to 2008
cyanide-based test methods

o  Up to 63% increase in gold recoveries from 30% to 49%

o  94% reduction in leaching times from 48 hours to as little as 3 hours

o  Extrakt believes that these results indicate that higher gold recovery can
be achieved through an optimization program of the operational parameters

 

Ryan Mee, Chief Executive Officer of Fulcrum, commented:

 

"Unoptimised leach test work at Sylvanite has delivered remarkable results
increasing the gold recoveries by over 60% and materially cutting leach times
by over 90% compared to historic leach testing.

 

"Leaching is the key factor to unlocking the vast resource potential held
within mine waste that sits in tailings in Kirkland Lake, one of Canada's
great gold camps with over 40Moz of gold produced.

 

"The unoptimised leach test work at Sylvanite and Teck-Hughes earlier this
year is a significant step in proving the disruptive potential of Extrakt's
technology. The technology, which is being used by Fulcrum, places us at the
forefront in discovering lost resources from mine waste including from
difficult refractory ore.

 

Significant work at Teck-Hughes is advancing with the phase 2 conceptual study
starting alongside resource definition work that could support a 43-101
technical report."

 

Teck-Hughes Gold tailings project

The Company is nearing completion of its auger hole sampling campaign across
an additional 16 sites (shown in Figure 1 below) and reviewing further auger
sites for sampling. The results will be used by Fulcrum to further expand the
data set and will contribute data that is required for the completion of a
43-101 technical report including resource definition and feed into a wider
resource auger hole program in due course. Samples from the campaign, which
has identified silver and tellurium results at four newly sampled auger sites,
will be sent to Actlabs in Timmins to screen for gold, silver and tellurium
assay.

 

Figure 1 - Teck-Hughes historic and new auger holes with gold grades and depth
from surface and new auger hole sites underway

 

The Phase 2 Conceptual study has commenced and is designed to deliver all
aspects of design, process, flow diagrams, equipment requirements, costing and
trade off studies for operating and capital cost estimates.

Sylvanite Gold tailings project

The Phase 1 test work programme is designed to initially evaluate the
efficiency of Extrakt's processing technology in recovering gold from the
tailings at the Sylvanite Project. Sampling and analysis of the gold content
of the tailings produced composite samples for each of the selected seven
sites returned an average weighted grade of 0.60g/t Au. Unoptimised initial
leach tests using the Extrakt Technology has reported gold recovery rates of
up to 49% over leaching times as low as 3 hours using the as-received
composite sample with no re-grinding or treatment of the tailings material.

 

The results of the phase 1 testing show significant improvement of up to 63%
in gold recovery and 94% reduction in leaching times when compared to
traditional cyanide leaching tests in 2008 which achieved on average c.30%
gold recovery over leaching times of 48 hours.

 

Whilst the initial leach test results are significant, additional leach tests
will be conducted to optimise the parameters with the aim of further
increasing the gold recoveries and overall efficiency.

 

Background

Update on licensing discussions with Extrakt

 

The Company announced mining option agreements to acquire the Teck-Hughes
tailings project on 30 November 2023 and the Sylvanite tailings project on 10
April 2024, both located in Kirkland Lake, Ontario. On 24 January 2024,
Fulcrum entered into a phased development programmes with Extrakt for the
Teck-Hughes tailings project, and on 12 June 2024 for the Sylvanite Tailings
Project.

 

Fulcrum are developing these assets with Extrakt and their sustainable
technology which uses separation technology to extract metals from tailings
without the use of cyanide. Licensing terms of the technology are usually
agreed following the completion of the phased development program which
utilises the data compiled for an effective mechanism.

 

Since the announcement on 30 November 2023, Fulcrum has been advancing
discussions with Extrakt about the possible exclusive licensing of its
proprietary technology. Non-binding terms have been agreed with Extrakt and
their associates for exclusivity of Extrakt's gold leaching technology for
legacy mine waste sites for the mining regions of Timmins and Kirkland Lake in
Ontario. These are two of Canada's biggest gold camps with over 110Moz of gold
produced and over 70 documented legacy mine waste sites. All parties are now
focussed on documentation to close out the terms in a definitive Master
Licencing Agreement (MLA).

 

About Extrakt

 

Extrakt Process Solutions is a technology company that is focused on
separation technologies for recovering precious mineral recovery, hydrocarbon
separation as well as dewatering of mine waste and other related processes
without the use of cyanide. The company has a global patent portfolio and
continues to develop new processes and technologies. See www.extraktps.com
(https://www.extraktps.com/)

 

About Bechtel

 

Bechtel is a trusted engineering, construction and project management partner
to industry and government. Differentiated by the quality of our people and
our relentless drive to deliver the most successful outcomes, we align our
capabilities to our customers' objectives to create a lasting positive impact.
Since 1898, we have helped customers complete more than 25,000 projects in 160
countries on all seven continents that have created jobs, grown economies,
improved the resiliency of the world's infrastructure, increased access to
energy, resources, and vital services, and made the world a safer, cleaner
place. Bechtel serves the Infrastructure; Nuclear, Security &
Environmental; Energy; Mining & Metals; and Manufacturing & Technology
markets. Our services span from initial planning and investment, through
start-up and operations. See www.bechtel.com
(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.bechtel.com%2F&esheet=54164232&newsitemid=20241210300061&lan=en-US&anchor=www.bechtel.com&index=2&md5=0882499bb33a4d564aec4011418bfcf5)

 

Extrakt Process Solutions, LLC (Extrakt) and Bechtel Energy Technologies &
Solutions, Inc. (BETS) have formed a strategic global technology alliance, to
commercialize Extrakt's novel, leaching technology and solid-liquid separation
technology, known as TNS™. TNS addresses the difficult challenges of mine
tailings, dewatering, and product recovery in a sustainable, effective manner.
Click here
(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fen.prnasia.com%2Freleases%2Fapac%2Fextrakt-and-bechtel-partner-to-commercialize-groundbreaking-solid-liquid-separation-technology-437122.shtml&esheet=54164232&newsitemid=20241210300061&lan=en-US&anchor=here&index=1&md5=b45e3f287d370b8ad4d40844f8ddfffd)
 to read about the strategic alliance press release.

 

Teck-Hughes Gold Tailings Project

 

Historic sampling and auger drilling campaigns were initially conducted at the
Project in 1980 and most recently between 2018 and 2022, which produced a
non-complaint resource estimate.

 

As part of the most recent campaign, a total of 95 auger samples were
collected and assayed at Actlabs in Timmins. The highest sample assayed
1.73g/t Au with 72 of the 95 samples assaying between 0.5 to 0.8 g/t Au. The
average was 0.66g/t Au.

 

Based on the data from this sampling, along with that of the drill program
from 1980, an estimate of the tonnage was calculated over the north, west and
northeast arm of the tailings. This totalled 6,531,300 tonnes of material at
0.66g/tonne Au for 138,460 ounces contained Au*.

 

Sylvanite Gold Mine Tailings Project

 

A 1986 report filed on the property estimated a tailings resource of 4.52
million tons (4.14 million tonnes) grading 0.015 oz/ton Au (0.47g/t Au)
containing 67,051 ounces of gold*.

 

In 2008 a 30m x 25m sampling grid was established with drilling to base of
tailings to obtain samples for assay and recovery test work - 1.22m sample
length in 149 holes totalling 926.6m - with a maximum tailings thickness of
12.2m reported. An average grade of 0.541g/t Au was reported in the 20 holes
fully sampled and assayed. In addition to this cyanide leaching tests achieved
on average c.30% gold recovery which, when combined with a roasting process
improved gold recovery to c.60%. Thiosulfate leaching achieved c.25% gold
recovery rates.

 

In 2012 metallurgical work and a pilot plant campaign work by Advanced Reclaim
International demonstrated a viable and scalable mineral processing approach
to recover saleable gold containing concentrate and leaving reprocessed
tailings with properties suitable for use as a subsoil when restoring
vegetation cover on the former tailings area. The cleaner concentrate achieved
21.5g/t gold, 14.1g/t silver and 152g/t Tellurium.

 

*The historic non-compliant resource estimates cited in this release have not
been verified by Fulcrum and the tailings bodies require detailed follow-up
sampling along with appropriate QAQC and estimation by an independent
qualified resource geologist for Fulcrum to be able to report resources
compliant with established resource codes.

 

Qualified Person Statement

The technical information in this announcement has been reviewed by Edward
(Ed) Slowey, BSc, PGeo, technical advisor to Fulcrum Metals Plc. Mr Slowey is
a graduate geologist with more than 40 years' relevant experience in mineral
exploration and mining and a founder member of the Institute of Geologists of
Ireland. Mr Slowey has sufficient experience relevant to the style of
mineralisation and type of deposit under consideration and to the activity
which has been undertaken to qualify as a "Qualified Person" in accordance
with the AIM Rules Guidance Note for Mining and Oil & Gas Companies. Mr
Slowey consents to the inclusion in the announcement of the matters based on
their information in the form and context in which it appears.

Glossary

 

 Item    Definition

 "Au"    Gold

 "g/t"   Grams per metric tonne

 "QAQC"  Quality assurance and quality control

 

For further information please visit https://fulcrummetals.com/
(https://fulcrummetals.com/) or contact:

 Fulcrum Metals PLC
 Ryan Mee (Chief Executive Officer)           Via St Brides Partners Limited

 Allenby Capital Limited (Nominated adviser)
 Nick Athanas / George Payne                  Tel: +44 (0) 203 328 5656

 Clear Capital Markets Limited (Broker)
 Bob Roberts                                  Tel: +44 (0) 203 869 6081

 St Brides Partners Ltd (Financial PR)
 Ana Ribeiro / Paul Dulieu                    Tel: +44 (0) 20 7236 1177

 

 

Notes to Editors

 

About Fulcrum Metals PLC

 

Fulcrum Metals PLC (AIM: FMET) is an AIM quoted exploration and extraction
company which finances and manages resource projects.

 

Fulcrum are technology driven in developing mineral extraction opportunities
using disruptive non-toxic technology to unlock lost resources from historic
mine waste (tailings) in a more sustainable manner that is capable of low
cost, near-term cash flow.

 

Fulcrum has a portfolio of highly prospective gold exploration assets in
Ontario to either develop or seek disposal/partner opportunities. Fulcrum
successfully optioned out a portfolio of Saskatchewan Uranium projects (see
RNS 30 July 2024) to Terra Balcanica Resources (TSXV:TERA).

 

 

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