Black Canyon's Breakthrough in Manganese Concentrate Upgrades
BCA (BCA) Share Update September 2024 Tuesday 24th
Black Canyon Announces 35% Manganese Feedstock Concentrate Achievement
Black Canyon Limited (ASX: BCA), an Australian manganese explorer and developer, has announced significant advancements in their metallurgical testwork, achieving a 35% manganese feedstock concentrate from their KR1 deposit.
Instant Summary:
- Stage two density-based beneficiation upgrades manganese feedstock from 30% Mn to 35% Mn.
- Potential for high purity manganese sulphate (HPMSM) processing and manganese alloy smelters.
- Important step in extracting further value from large shale-hosted manganese deposits.
- Continued improvements in metallurgical understanding and product grade.
Testwork Achievements
Black Canyon Limited has reported that their stage two heavy liquid separation (HLS) testwork on samples from the KR1 deposit has successfully upgraded manganese feedstock from approximately 30% Mn to 35% Mn. This achievement marks a significant milestone in the company's efforts to enhance the value of their manganese assets.
The higher-grade 35% manganese product has potential applications as a downstream feedstock for high purity manganese sulphate (HPMSM) processing. Additionally, subject to particle agglomeration, it could be used as a concentrate feed into manganese alloy smelters. This development builds on the stage one dense media separation (DMS) testwork, which produced manganese concentrates with grades of 32% Mn from the KR1 deposit.
Metallurgical Insights
Black Canyon's Managing Director, Brendan Cummins, emphasized the importance of this testwork in understanding the liberation and recovery properties of shale-hosted manganese ores. The company is confident in delivering a consistent 32% Mn product using standard industry-based processing equipment. Leveraging this success, they have now demonstrated that additional secondary gravity-based processing can produce a higher grade 35% Mn product suitable for HPMSM downstream processing and potentially for manganese alloys.
The metallurgical results are a crucial step in developing and advancing flowsheet design to maximize the value extracted from Black Canyon's manganese assets. The company will continue to review the testwork completed to date and consider further gravity-based work to improve product grades.
Sample Preparation and Testing
The metallurgical sample preparation involved 400kg of RC drill chip samples collected from the KR1 and KR2 Mineral Resource Estimate (MRE) areas. These samples were selected from five holes across each MRE area to depths of 10m. The initial sample preparation program aimed to produce a beneficiated manganese concentrate feedstock for upscaled hydrometallurgical testwork to develop and optimize the HPMSM flowsheet.
The samples underwent wet screening at 0.5mm to produce fines (<0.5mm) and a coarser fraction (>0.5mm). The coarser fraction was then screened at 3.35mm, and the +3.35mm material was crushed and added back to the coarse fraction, resulting in an overall material range between 0.5mm and 3.35mm. The insitu feed grades of the KR1 and KR2 samples were 12.8% Mn and 13.6% Mn, respectively.
Results and Future Work
The stage one DMS testwork, using a dense media SG of 3.0, produced manganese concentrates with grades of 31.8% Mn and 31.3% Mn for the KR1 and KR2 samples, respectively. A subset of the lower 2.8 SG material from KR1, with a grade of 29.9% Mn, was milled to -1.0mm and subjected to stage two HLS, achieving a grade of 34.8% Mn.
These results are a promising indication of the potential to produce higher-grade manganese products. Black Canyon will continue to explore further gravity-based work to enhance product grades and advance their flowsheet design.
The successful upgrade of manganese concentrate to 35% Mn is a significant development for Black Canyon. This advancement not only enhances the value of their manganese assets but also positions the company favorably in the market for high purity manganese sulphate (HPMSM) and manganese alloys. The potential applications of the higher-grade product could attract interest from downstream processors and alloy smelters, potentially boosting the company's stock value.
Investor Reaction:
Analysts are likely to view this announcement positively, given the potential for increased product value and market applications. The successful testwork demonstrates Black Canyon's capability to enhance their manganese assets, which could lead to increased investor confidence and interest in the company's stock.
Conclusion:
Investors should keep an eye on Black Canyon's continued metallurgical advancements and potential market applications for their higher-grade manganese products. The company's strategic efforts to maximize the value of their manganese assets could result in significant long-term benefits for shareholders.