Aug 13 2013
Flinders Resources Limited ("Flinders") is pleased to provide an update on the preliminary economic analysis ("PEA") of the Woxna Graphite Project in Sweden. Based on recent test work, the process flow sheet and mass balance calculations have now been completed.
Processing has been considerably simplified with much of the existing plant and equipment used, delivering increased volumes of flake graphite at higher purity and larger flake size.
Highlights:
- 155,000 tonnes per annum of graphite mineralised rock at an average head grade of 10.3% is planned to be processed, well above historic levels.
- Using the results of the metallurgical test work, 96% of the graphite is expected to be recovered, yielding 16,710 tonnes per annum of graphite at full capacity.
- The graphite produced is expected to far exceed historical production in quantity, purity and flake size distribution including:
- 3,070 tonnes/year of extra-large or jumbo flake graphite (+250 µm or +60 mesh) at 95% purity. This high value product was never historically commercialised at Woxna;
- 3,580 tonnes/year of large flake (+180-250 µm or -60+80 mesh) at 94% purity, elevating this product into a higher price category;
- 4,730 tonnes/year of medium flake graphite (+100-180 µm or -80+140 mesh) at 92% purity; and
- 5,330 tonnes/year of fine flake graphite (-100 µm or -140 mesh) at 88 % purity
- Potential exists to further increase graphite production volumes by utilising surplus milling capacity already available at Woxna;
- Results from the PEA are expected to be issued later this month.
Mr Martin McFarlane, Flinders President and CEO, states, "Our investments in metallurgy and engineering have resulted in simplification of the process flow sheet, which together with elimination of past bottlenecks in the circuit is expected to deliver Flinders a considerable lift in graphite output in addition to the improvements in product grade and flake size previously announced. Importantly, our marketing studies also show the proposed production profile from Woxna will complement anticipated European graphite demand."
"We await the last few outstanding supplier costs which will enable us to finalise the preliminary economic assessment of Woxna and issue the results later this month."
Chris Stinton, BSc (Hons) (Minerals Engineering), CEng MIMMM, Senior Metallurgist with GBM Minerals Engineering Consultants of the United Kingdom, an independent consultant to the Company, is the qualified person as defined under National Instrument NI 43-10 and has reviewed and verified the metallurgical results referenced within this release.
On behalf of the Board
"Martin McFarlane"
Martin McFarlane, President and CEO
Source: http://www.flindersresources.com/