Fulcrum Metals to acquire Sylvanite Gold Tailings Project

Sylvanite, an ex-producing mine, is strategically located 3 km from Fulcrum's Teck-Hughes Gold Tailings project, the Company’s first tailings investment and significantly expands its footprint in the Kirkland Lake Gold Camp, one of the most productive gold camps in Canada.

Highlights:

• Option to acquire 100% of the Sylvanite Gold Tailings Project.
• Fourth largest gold producing mine in the Kirkland Lake gold camp, having milled 4.58 million t of ore and produced 1.67 million oz between 1927 – 1961.
• Historic tailings resource estimate of up to 67 051 oz of gold which cannot be currently classified in accordance with NI 43-101.
• Based on recovery test work undertaken in 2008, it was suggested that a combination of gravity, grinding, and flotation techniques might be able to boost the recovery of gold from tailings to 70%.
• Larger scale pilot plant tests were performed in 2010 and 2012 using up to 850 kg of sample material which recovered approximately 65 – 72% of gold to a rougher concentrate.
• Based on these results, the October 2012 continuous pilot plant campaign (undertaken by Advanced Reclaim Inc) was considered successful with the primary objectives of:
• Demonstrating a viable and scalable non-chemical mineral processing approach to recovering a saleable gold concentrate.
• Leaving reprocessed tailings with properties suitable for use as a subsoil when restoring vegetation cover on the former tailings area.
• Sylvanite is less than 3 km from the Teck-Hughes Gold tailings project which represents an opportunity for Fulcrum to optimise resources and leverage synergies across both projects.
• Sylvanite and Teck-Hughes provide Fulcrum with the potential to become cash generative using Extrakt's proven tailings technology.

Ryan Mee, Chief Executive Office of Fulcrum Metals plc, commented:

“We are thrilled to sign our second gold tailings agreement and add Sylvanite to our project portfolio. Sylvanite is less than 3 km from our first gold tailings investment, Teck-Hughes. This not only enhances our presence in the Kirkland Lake gold camp, one of the most productive gold camps in Canada, but provides us with an opportunity to create a tailings hub and, therefore, economies of scale.

“Historic results confirm that Sylvanite has the potential to become a viable project, particularly in light of the current gold spot price hovering around US$$2200/oz, whilst our estimated acquisition cost is less than US$$3.80/oz. Investing in these tailings projects presents an exciting opportunity for Fulcrum as it brings low discovery risk assets in established mining camps into our portfolio which are less capital-intensive to advance to production and cash flow. This approach not only conserves cash resources but offers significant upside potential to Fulcrum shareholders.

“Sampling at Sylvanite and test work with Extrakt Process Solutions will follow once the current test work programme at Teck-Hughes is completed. I look forward to updating the market on our progress as we seek to evolve into a significant exploration and development company.”

Read the article online at: https://www.globalminingreview.com/mining/15042024/fulcrum-metals-to-acquire-sylvanite-gold-tailings-project/