Date: May 23, 2018
Australian Vanadium (ASX: AVL) could potentially add cobalt to its planned production at its flagship Gabanintha vanadium project in Western Australia after metallurgical test work produced up to 2.02% cobalt in a sulphide concentrate.
In light of the rocketing cobalt price, the company reviewed 2017 drill results from Gabanintha which had returned cobalt mineralisation along with nickel and copper.
“In March last year, Australian Vanadium reported significant cobalt assays from drilling in fresh rock containing vanadium in magnetite,” Australian Vanadium managing director Vincent Algar said.
“The company now reports successfully extracting a 30% sulphide concentrate containing up to 6% cobalt, nickel and copper from the non-magnetic tail produced when preparing its primary vanadium concentrate found in magnetite.”
Mr Algar noted the results were an opportunity to include another revenue stream at Gabanintha and place the project at the “lowest end” of the vanadium cost curve.
“Adding a high-value battery-focused metal to the potential product suite at Gabanintha is a significant outcome,” he said.
Samples from 99 drill holes in the 2017 program assayed at 0.02% cobalt, with the average grade 0.027% cobalt and maximum cobalt grade tipping 0.18%.
