14th Jan 2020 15:35
(Alliance News) - Mineral & Financial Investments Ltd on Tuesday reported results from a maiden preliminary economic assessment for the Lagoa Salgada VMS project.
Mineral & Financial Investments is interested in the project through its 75% stake in Redcorp Empreedimentos Mineiros Lda.
The AIM-listed investment company said the assessment is based on the mineral resource estimate for the north zone of the project, which outlines a "robust and compelling" economic assessment for Lagoa Salgada, as it assumes a two-stage underground mining development scenario.
Mineral & Financial Investments said it anticipates milling rates of 2,700 tonnes per day in a standard process circuit, with primary crushing, grinding, flotation and leaching of tailings to produce concentrates including lead, zinc, copper and tin, as well as a gold and silver dore.
Results from the preliminary economic assessment support Redcorp's investment thesis for acquiring the Lagoa Salgada project as it demonstrates a long-term economically viable project with the potential to generate significant increased value.
Looking ahead, Mineral & Financial Investments said Redcorp will perform additional metallurgical testing in parallel with its future exploration programmes.
"We are very pleased that our confidence and investment in the Lagoa Salgada project has been more than justified by the results of this maiden preliminary economic assessment," said Mineral & Financial Investments Chair Jacques Vaillancourt.
"Follow up drilling is intended to support our objective of identifying additional resources to support future studies," added Vaillancourt.
Mineral & Financial Investments shares were trading 8.4% higher in London on Tuesday at 11.92 pence each.
By Evelina Grecenko; [email protected]
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