OD6 Metals (ASX:OD6) has started phase-four metallurgical testwork at its Splinter Rock Rare Earths Project which is key to the completion of the Scoping Study due out before the end of the year.
The metallurgical testwork comes on the back of a doubling of the Splinter Rock resource to 682 million tonnes @ 1,338 parts per million total rare earths oxides (TREO) for 910 kilo-tonnes of contained TREO.
The resource also includes a higher confidence indicated component of 119 million tonnes @ 1,632ppm TREO. The high-value magnet rare earths oxides represent around 23% of the TREO grade, for about 205 kilo-tonnes of contained magnet rare earth oxides.
Previous testwork on 60 new samples has shown recoveries of up to 90% of magnet rare earth elements (MagREE) in multiple prospect areas.
OD6 has achieved an average recovery of 60% MagREE, with equivalent recoveries across all magnet rare earth oxides including neodymium, praseodymium, dysprosium and terbium.
Managing Director Brett Hazelden says the Inside Centre Prospect will be the basis of the company’s phase-four metallurgical test program being conducted at the Australian Nuclear Science and Technology Organisation.
He says the goal will be to produce a mixed rare earth carbonate, which will form the basis of the Scoping Study.
Simple beneficiation has been shown to lower acid consumption and costs at Splinter Rock, OD6 says.
The removal of coarse material, greater than 75 microns, improves TREO grades by up to 224% and an average of 157%.
Metallurgical testing of screened material, meanwhile, delivered up to a 79% reduction in hydrochloric acid consumption – or an average of 35% – to about 10kg per tonne of total screened ore.
During the June quarter, OD6 secured a $180,000 grant under the Western Australian Government’s Exploration Incentive Scheme, which offers up to a 50% rebate for innovative exploration drilling projects.
OD6 plans to use the funding to undertake drilling at the Tighthead and Loosehead prospects.
The junior explorer, which has a market capitalisation of $5.3 million, ended the June quarter with $2.3 million cash in the bank.
The Splinter Rock Project comprises 2,579 km2 of granted exploration licences and is located about 150km northeast of Esperance in Western Australia.
Write to Angela East at Mining.com.au
Images: OD6 Metals
