Highlights:
- Metallurgical testing confirms excellent nickel recovery of 46%
and 51% from two locked cycle tests
- Conventional flowsheet employed with two stages of grinding,
desliming, flotation and magnetic separation processes
TORONTO, Dec. 23, 2020 /CNW/ - Canada Nickel Company Inc.
("Canada Nickel" or the "Company") (TSXV:CNC) (OTCQB:
CNIKF) is pleased to announce excellent results from metallurgical
testing on its 100% owned Crawford Nickel-Cobalt Sulphide
project.
This first phase of metallurgical testing was designed to
confirm initial flowsheet design, which uses a typical nickel
sulphide ultramafic flowsheet of two stages of grind-deslime-float
with magnetic separation to support recovery of magnetic
minerals. Subsequent testing during 2021 will continue to
optimize various flowsheet parameters towards a final flowsheet for
the feasibility study expected by year-end 2021.
"These metallurgical results are a critical step forward for
the Crawford project. The 46% and 51% recovery from samples which
bookend the grades in the higher-grade core compare very favourably
to similar projects. The Company is incredibly pleased to deliver
this excellent result in just six months, as a result of our team's
deep experience and the similarity of this deposit to other
projects," said Mark Selby,
Chair & CEO.
"Several lab tests yielded a portion of recovered nickel with
concentrate grades in excess of 30%. The next phases of work
will focus on continued flowsheet optimization and developing a
broad base of test samples. These are essential given the
wide range of mineralogy in these types of deposits which typically
results in nickel recoveries for a specific block ranging from
10-15% to as much as 60%."
The Crawford Nickel-Cobalt Sulphide Project is located in the
heart of the prolific Timmins-Cochrane mining camp in Ontario, Canada, and is adjacent to
well-established, major infrastructure associated with over 100
years of regional mining activity. Canada Nickel has launched
wholly-owned NetZero Metals Inc. with the aim to develop
zero-carbon production of nickel, cobalt, and iron at the Crawford
Project.
Table 1 – Metallurgy Test Results on Higher-Grade Core (HGC) samples for the Crawford
Nickel-Cobalt Sulphide Project, Ontario
Locked
Cycle Test
|
%
Nickel
Recovery
|
Concentrate Grades
% Ni
|
Split of Recovered
Nickel
|
High
Grade
|
Low
Grade
|
High
Grade
|
Low
Grade
|
HGC-High
|
51%
|
28%
|
8%
|
57%
|
43%
|
HGC-Low
|
46%
|
28%
|
13%
|
32%
|
68%
|
Figure 1, 2 – Comparison of Current Locked Cycle Test Samples
(Nickel and Sulphur Feed Grades) to Crawford Measured &
Indicated (M&I) Resource Grades
Table 2 – Iron Recovery Results for the Crawford
Nickel-Cobalt Sulphide Project, Ontario
|
Fe Recovery
%
|
Fe Concentrate
Grade %
|
Ratio of Recovered
Fe (in
Magnetite) to Recovered Ni
|
HGC-High
|
41%
|
55%
|
15
|
HGC-Low
|
53%
|
46%
|
32
|
Cobalt recovery was approximately 17% for both locked cycle
tests, which is expected given these samples contain primarily
heazlewoodite (rather than pentlandite) which contains little
cobalt. PGM assays are pending.
Phase I Metallurgy Testing
Metallurgical recovery testing has been ongoing at COREM in
Quebec City and XPS in
Sudbury. Test work to date has
been completed on multiple samples from the Crawford deposit
totalling 630 kg of mineralized material from several large
diameter holes drilled during 2020 and selected exploration drill
core samples. The two samples selected for this current
metallurgical work had nickel and sulphur grades which "bookended"
the nickel and sulphur grades from the 280 million tonnes of
Measured & Indicated resource in the Main Zone higher-grade
core, which is expected to provide the bulk of the feed during the
early mine life of the project. More importantly, the lower
grade sample also had nickel and sulphur grades which were similar
to the current overall Measured & Indicated Resource for the
606 million tonnes of the project.
The first phase of testing focused on confirming the overall
flowsheet design and leveraged work completed on several other
projects. The project is designed to deliver concentrates
which are expected to be used in local processing facilities which
would take advantage of the NetZero production potential of the
project. While the nickel concentrates could be utilized
across a wide range of applications, the higher nickel/lower iron
grade concentrate would be targeted at battery metal consumers,
while the lower nickel/higher iron concentrate could be utilized to
produce a 25-30% ferronickel product satisfying stainless steel
consumers. Given the ultramafic source of the material,
magnesium oxide ("MgO") contents of the concentrate are high.
The high MgO content is not a factor in use for feeds in the
stainless steel value chain in which all of the concentrate could
be utilized (only nickel value of concentrate realized in this
scenario – no cobalt or PGM credits). If the high grade
concentrate was processed in traditional sulphide concentrate
facilities, MgO penalties would be incurred but could be partially
or entirely offset by the relatively very high nickel grade of the
concentrate and potential cobalt and PGM credits.
The current flowsheet is primarily comprised of two stages of
grind-deslime-float. The first stage is a relatively coarse
grind of 135-150 microns and the second stage, which follows a
magnetic separation step which reduces the feed to 25-30% of the
initial plant feed, and is then ground to 45 microns. The
concentrates (making up less than 2% of the initial feed) is then
reground and floated to generate higher and lower grade nickel
concentrates. The magnetic tailings then undergo a
multi-stage magnetic cleaning to deliver a target 45-50% iron
magnetite concentrate (focus on maximizing recovery rather than
grade as magnetite is expected to be processed locally).
Phase II Metallurgy Testing
Metallurgy testing during 2021 will have two key areas of
focus. The first area of focus will be continued optimization
of both the recovery and concentrate grades and the amount of
grinding and reagents utilized to produce these concentrates.
The second area of focus will be continuing ongoing lab work which
has highlighted the improved recovery potential from using coarser
grind sizes and more aggressive desliming, to recover much of the
nickel into a very high grade (nickel > 30%) concentrate as well
as the potential to improve nickel recovery from the slimes portion
of the material produced.
Qualified Person and Data Verification
Stephen J. Balch P.Geo. (ON), VP
Exploration of Canada Nickel and a "qualified person" as such term
is defined by National Instrument 43-101, has verified the data
disclosed in this news release, and has otherwise reviewed and
approved the technical information in this news release on behalf
of Canada Nickel Company Inc.
About Canada Nickel Company
Canada Nickel Company Inc. is advancing the next generation of
nickel-cobalt sulphide projects to deliver nickel and cobalt
required to feed the high growth electric vehicle and stainless
steel markets. Canada Nickel Company has applied in multiple
jurisdictions to trademark the terms NetZero NickelTM,
NetZero CobaltTM, NetZero IronTM and is
pursuing the development of processes to allow the production of
net zero carbon nickel, cobalt, and iron products. Canada Nickel
provides investors with leverage to nickel and cobalt in low
political risk jurisdictions. Canada Nickel is currently anchored
by its 100% owned flagship Crawford Nickel-Cobalt Sulphide Project
in the heart of the prolific Timmins-Cochrane mining camp. For more
information, please visit www.canadanickel.com.
Cautionary Statement Concerning Forward-Looking
Statements
This press release contains certain information that may
constitute "forward-looking information" under applicable Canadian
securities legislation. Forward looking information includes, but
is not limited to, mineral resource estimates relating to the
Crawford Nickel-Cobalt Sulphide Project, the potential of the
Crawford Nickel-Cobalt Sulphide Project, strategic plans, including
future exploration and development results, and corporate and
technical objectives. Forward-looking information is necessarily
based upon a number of assumptions that, while considered
reasonable, are subject to known and unknown risks, uncertainties,
and other factors which may cause the actual results and future
events to differ materially from those expressed or implied by such
forward-looking information. Factors that could affect the outcome
include, among others: future prices and the supply of metals, the
future demand for metals, the results of drilling, inability
to raise the money necessary to incur the expenditures required to
retain and advance the property, environmental liabilities (known
and unknown), general business, economic, competitive, political
and social uncertainties, results of exploration programs, risks of
the mining industry, delays in obtaining governmental approvals,
and failure to obtain regulatory or shareholder approvals. There
can be no assurance that such information will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such information. Accordingly,
readers should not place undue reliance on forward-looking
information. All forward-looking information contained in this
press release is given as of the date hereof and is based upon the
opinions and estimates of management and information available to
management as at the date hereof. Canada Nickel disclaims any
intention or obligation to update or revise any forward-looking
information, whether as a result of new information, future events
or otherwise, except as required by law.
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SOURCE Canada Nickel Company Inc.