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[Ferro-Alloys.com] The Coodamudgi resource could be quickly integrated into the mine plan once resource drilling is completed and metallurgy is confirmed.

Element 25 Ltd (ASX:E25) sub-sampling of the diamond core drilled into the Coodamudgi resource at Butcherbird Manganese Project has returned high-grade manganese values of up to 42.3% from surface with low impurity levels.

The Coodamudgi resource is entirely within granted mining lease M52/1074 meaning that it can be quickly integrated into the mine plan once resource drilling is completed and metallurgy is confirmed.

Potential for high product grades

Managing director Justin Brown said: “The grades achieved in the subsampling exercise at Coodamudgi are indicative of the potential to achieve a product grade in excess of the grades published in the pre-feasibility study (PFS) of 33% manganese.

“If this can be confirmed under full-scale test-work, this will have a positive impact on what are already excellent project economics.”

Methodology emulates full-scale processing

The sub-sampling methodology utilised is designed to emulate full-scale processing via the proposed beneficiation flowsheet for the project.

Additionally, the data indicates that the Coodamudgi resource, which is adjacent to the Yanneri Ridge resource that is the focus of the recently released PFS, has the potential to deliver a concentrate grade which is significantly higher than the grades used in the PFS assumptions.

Next steps

Higher concentrate grades deliver improved prices per tonne of concentrate shipped and can have a significantly positive impact on project revenues.

Based on this recent test work, Coodamudgi may represent an opportunity to identify material within the mining lease area which may yield higher-grade concentrates and further enhance the robust economics than the base case published in the PFS.

Further test work is planned to confirm these results.

• [Editor:tianyawei]