Akora Resources (ASX:AKO) has increased the total direct shipping ore (DSO) mineral resource for its Bekisopa Southern Zone in Madagascar to 5.54 million tonnes (Mt) at 60.35% iron ore (Fe).
The $15.19 million market capitalisation company says this upgrade includes both the indicated and inferred resource categories. At just an indicated level, the resource sits at 4.42Mt DSO grading of 60.86% Fe.
Meanwhile, Akora also reports further work has identified an updated ‘Green Steel’ resource for the Bekisopa Project of 34Mt at a 36% Fe cut-off grade.
Commenting on the resource upgrade, Akora Resources Chief Executive Officer (CEO) and Managing Director Paul Bibby says: “It is very encouraging to report upgraded DSO tonnes and grade from last year’s infill drilling campaign.
These 5.54 million tonnes will be the mined tonnes for a lower processing capital and operating cost DSO startup. Beneath the weathered DSO eastern zone is a high-grade magnetite iron mineralised zone of 34 million tonnes at 45.3% iron that could become the focus of an economical Green Steel concentrate production startup.”
“It is very encouraging to report upgraded DSO tonnes and grade from last year’s infill drilling campaign”
A Green Steel resource is the term Wardell Armstrong International (WAI) has given to a section of ‘very high-grade’ fresh rock iron mineralisation that has demonstrated it can be readily upgraded to produce a ‘high-grade’ concentrate ideal for direct reduced iron pellets for green steel production.
Following the completion of the resource upgrade at Bekisopa, Akora is preparing for an additional 800m of DSO infill drilling across the project’s northern and central zones to further expand start-up DSO tonnage.
All of the company’s previous infill drilling assays during 2020, 2021, and 2022 were incorporated to deliver the updated Southern Zone DSO Mineral Resource Estimate (MRE), which was conducted by WAI.
Akora says that WAI considered that the Bekisopa Southern Zone had been sufficiently explored to assign an indicated resource and an inferred mineral resource, as defined by the JORC Code (2012). WAI recommends that a geological and structural model for the deposit should now be developed as assistance in defining a higher category MRE.
The MRE was carried out with a 3D block modelling approach to define the mineralisation envelopes and based on a nominal cut-off grade of 58% Fe for DSO material.
Akora Resources is a Melbourne-based mineral exploration company engaged in the exploration and development of the Bekisopa, Tratramarina, and the Ambodilafa projects, located in Madagascar.
As of 31 March 2023, the company had $485,000 cash and cash equivalents at hand, according to its latest quarterly report published on 28 April 2023.
Write to Aaliyah Rogan at Mining.com.au
Images: Akora Resources Ltd
