Core Process Engineering continues flowsheet development work utilising the Albion Process to improve site gold and silver recoveries. Additional samples are being tested to confirm initial test results and to permit the development of engineering parameters and a preliminary construction budget.

View the announcement here or read the summary below:

The announcement details significant advancements in Northern Star Resources Limited’s Ashburton Gold Project in Western Australia, aiming to establish a standalone 100,000-ounce-per-annum operation. Key developments include improved gold recovery rates from metallurgical testing and promising high-grade drilling results at the Mt Olympus deposit.

Improved Metallurgical Recoveries

Initial metallurgical tests indicated an 80% total gold recovery using bacterial oxidation. Subsequent benchmarking of alternative processes, such as Pressure Oxidation and the Albion Process, demonstrated improved recoveries of up to 85%. These methods involve producing a bulk pyrite concentrate with gold recovery exceeding 90% through established sulphide flotation techniques. Further cyanidation of the concentrate yielded gold recoveries greater than 90%, suggesting more efficient extraction methods.

High-Grade Drilling Results at Mt Olympus

Recent reverse circulation (RC) and diamond drilling at the Mt Olympus deposit yielded substantial high-grade intersections, reinforcing the geological model and suggesting a potential increase in the current 1 million-ounce resource. Notable results include:

• 8.0 metres at 13.3 grams per tonne (g/t) gold, including 3.0 metres at 29.6 g/t
• 2.0 metres at 17.7 g/t gold
• 29.0 metres at 4.3 g/t gold
• 31.0 metres at 3.1 g/t gold, including 6.0 metres at 6.5 g/t
• 13.0 metres at 4.1 g/t gold, including 3.5 metres at 8.8 g/t
• 14.0 metres at 3.2 g/t gold
• 14.0 metres at 3.1 g/t gold, including 1.5 metres at 7.0 g/t
• 12.0 metres at 3.0 g/t gold, including 1.7 metres at 7.3 g/t
• 18.0 metres at 3.0 g/t gold
• 9.0 metres at 5.4 g/t gold

These results confirm the robustness of the Mt Olympus resource and highlight the potential for resource expansion and classification upgrades, paving the way for reserve estimation.

Strategic Development and Future Plans

The Ashburton Project encompasses the Mt Olympus deposit, serving as a central hub surrounded by several high-grade satellite prospects, including Peake, Waugh, Sparta, Electric Dingo, and Cheela. These findings underscore the project’s potential to enhance Northern Star’s production profile, complementing existing operations at the nearby Paulsens Project, which is undergoing expansion to exceed 100,000 ounces per annum.

Infill drilling at Mt Olympus is nearing completion, setting the stage for a comprehensive scoping study. This study will evaluate the feasibility of the proposed standalone operation, incorporating the latest metallurgical and drilling data to inform development strategies.

Conclusion

Northern Star Resources’ recent advancements at the Ashburton Gold Project, marked by improved metallurgical recoveries and high-grade drilling outcomes, significantly bolster the company’s objective of establishing a substantial standalone gold operation. These developments enhance the project’s economic viability and contribute to the long-term growth and sustainability of Northern Star’s gold production portfolio.

Note: This summary is based on the announcement titled “Fresh drilling and metallurgical results advance plan to establish 100,000ozpa operation at Ashburton Project” by Northern Star Resources Limited, dated 10 September 2012.