Highlights:
- New metallurgical testing confirms excellent nickel recovery of
52%
- Nickel equally split between high grade concentrate of 37%
nickel and standard grade concentrate of 13% nickel
TORONTO, Jan. 25, 2021 /CNW/ - Canada Nickel Company
Inc. ("Canada Nickel" or the "Company") (TSX-V: CNC)
(OTCQB: CNIKF) is pleased to announce excellent results from its
latest metallurgical testing on its 100% owned Crawford
Nickel-Cobalt Sulphide project.
"The 52% recovery from a higher-grade core sample marks
another excellent step forward for the Crawford project. Half
of the recovered nickel is in a high grade concentrate at 37%; this
result and other testwork demonstrates our ability to deliver
40-50% of the recovered nickel into a 35% nickel concentrate, which
would be the highest grade nickel sulphide concentrate in the
world, according to Wood Mackenzie. The standard grade concentrate
delivered concentrate grade of 13%, in line with typical grades for
most nickel sulphide projects. Given the wide range of
mineralogy in these types of deposits, the next phases of work will
focus on continued flowsheet optimization and developing a broad
base of test samples." said Mark
Selby, Chair & CEO.
The locked cycle test ("LCT") conducted at XPS Expert Process
Solutions, a Glencore Company ("XPS") was the third successful LCT.
The results of the first two LCTs were previously announced in
Canada Nickel press release dated
December 23, 2020. 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.
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.
The Crawford Nickel-Cobalt Sulphide Project is expected to
produce among the highest-grade nickel sulphide concentrates in the
world, providing maximum flexibility for potential partners and
offtake parties, including the battery and stainless steel
markets.
Table 1 – Metallurgy Test Results on Higher-Grade Core (HGC) sample for the Crawford
Nickel-Cobalt Sulphide Project, Ontario
Locked
Cycle Test
|
%
Nickel
Recovery
|
Concentrate Grades
% Ni
|
Split of Recovered
Nickel
|
High
Grade
|
Standard
Grade
|
High
Grade
|
Standard
Grade
|
HGC-3
|
52%
|
37%
|
13%
|
46%
|
54%
|
Cobalt recovery was approximately 35% for this locked cycle test
from sample consisting of heazlewoodite and pentlandite. PGM
assays are pending.
Fe and MgO content of the High Grade concentrate was 18% and 7%
respectively; Fe and MgO content of the Standard Grade concentrate
was 27% and 19%.
Magnetite recovery was not optimized in this test but still
yielded 44% Fe recovery to a 45% Fe concentrate.
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 over 700 kg of mineralized material from several large
diameter holes drilled during 2020 and selected exploration drill
core samples.
The current flowsheet is primarily comprised of two stages of
grind-deslime-float. This locked cycle test utilized a
coarser primary grind of 150 microns versus 135 microns utilized in
the first tests. Other testwork indicates additional ability
for further optimization to continue to improve recovery and
concentrated grades.
The sample (nickel 0.36%, sulphur 0.21%) selected for this
current metallurgical work had nickel and sulphur grades
approximately 10% higher than the nickel and sulphur grades 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.
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 High Grade concentrate
with low Fe and MgO content 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. 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). The MgO content in the High Grade concentrate is at
a level which would not incur penalties if processed in traditional
sulphide concentrate facilities.
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 > 35%) concentrate as well
as the potential to improve nickel recovery from the slimes portion
of the material produced which these latest testwork results
clearly demonstrate. A broad base of test samples will be
developed, which 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%.
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, drill results relating to the Crawford
Nickel-Cobalt Sulphide Project, the potential of the Crawford
Nickel-Cobalt Sulphide Project, timing of economic studies and
resource estimates, 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, failure to
obtain regulatory or shareholder approvals, and the impact of
COVID-19 related disruptions in relation to the Company's business
operations including upon its employees, suppliers, facilities and
other stakeholders. 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.