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'Excellent' met results prompt Diba PEA update

Africa-focused project and royalty company Altus Strategies says “simply excellent” metallurgical results are prompting a study update for its Diba gold project in Mali, to include higher recovery rates and the sulphide resource.
'Excellent' met results prompt Diba PEA update 'Excellent' met results prompt Diba PEA update 'Excellent' met results prompt Diba PEA update 'Excellent' met results prompt Diba PEA update 'Excellent' met results prompt Diba PEA update

Altus Strategies says met results from Diba in Mali were “simply excellent”

Staff reporter

The results showed heap leach amenability, with 95.8% gold recovery at a coarse crush size on an oxide sample, above the 80% modelled in a July preliminary economic assessment.

"More significantly, the testwork on fresh (sulphide) samples shows that CIL processing will likely be very effective, with 86.8 % gold recovery at attractive grind sizes," CEO Steven Poulton said.

He said Altus had commissioned Mining Plus UK to update Diba's PEA, using the higher oxide recoveries and broadening to model CIL processing, to incorporate the current sulphide resource of an indicated 33,600 ounces and 153,000oz inferred.

The July PEA had outlined initial capex of US$20 million and an after-tax NPV10 of $81.3 million and IRR of 469%, based on the oxide ounces alone.

"The significantly enhanced recoveries and addition of the sulphide resource should add considerable economic value to the project," Poulton said.

Privately-held La Mancha holds a cornerstone 35% interest in the company following a February investment.

Altus had £7.4 million (US$9.6 million) in cash, according to a presentation this month.

Its shares (AIM: ALS) closed up 14% yesterday to 61p, a three-fold increase on a year ago, capitalising it about £38 million (US$49 million).