Berkley Resources Limited (ASX:BKY), has announced that at the company’s 100 per cent owned Salamanca project in Western Spain, metallurgical test work results have confirmed that the Zona 7 ore is amenable to low coast heap leaching through the proposed processing facilities.
Berkeley Resources Limited is an Australian minerals company with uranium assets in Spain. The Company’s most advanced asset is the Salamanca Project, where indicated resources of 34.4million tonnes (mt) and inferred resources of 31mt have been delineated.
Test work on the representative samples across a range of ore types has indicated that recoveries of over 86 per cent can be expected with low acid consumptions and at a coarse crush size. The ore is easy to crush and has a low abrasion index. It also exhibits good geotechnical properties, suitable for high lifts on the heap leach pads.
The high recoveries were achieved very rapidly in less than thirty days of leaching with virtually 100 per cent of the soluble uranium going into solution and therefore readily recoverable in the proposed processing facilities.
The Zona 7 deposit is located within 10 kilometres of the approved location of the proposed processing plant and currently hosts an inferred Mineral Resource Estimate of 23.2 million tonnes of Triuranium Octoxide.
Recently announced infill drill results have confirmed the broad thickness and high grade of the shallow deposit. The final infill drill results and an upgraded Mineral Resource Estimate are due to be reported in September.
The metallurgical test work results are important as they enhance the economic significance of the Zona 7 deposit and support the Board’s decision to rapidly incorporate the deposit into the overall development plans of the Salamanca Project.
Since Wise-Owl recommend BKY in April 2014 at a price of $0.30, the company’s stock price has gained 22 per cent to $0.385. Following the promising test results at the Salamanca Project, we do expect positive reactions from investors and will likely see some growth in BKY’s share price in the coming days.
Author: Ben Visser
Sep 08, 2015
Ben is a Wise-owl equity analyst focusing on ASX blue-chips stocks. Ben has a Bachelor of Business in Finance majoring in property valuations and management. In his role at Wise-owl Ben conducts in-depth fundamental and technical analysis which helps him to find profitable investment opportunities on the ASX and abroad.