Update from MD&A Released today
Hellyer Tailings Reprocessing Project On February 18, 2022 the Company announced the execution of a binding, definitive agreement with Hellyer Gold Mines Pty Ltd (“Hellyer Gold Mines” or “HGM”) to reprocess the tailings owned by HGM at the Hellyer Gold Mine, Tasmania, Australia. On February 28, 2022 the Company announced 80+% gold recovery rate and 94% silver recovery rate demonstrated on the Hellyer Refractory Tailings with 634k oz gold, 22.9M oz silver and 419k tonnes copper-lead-zinc with grades of 2.60 g/t Au, 94 g/t Ag, 2.33% Zn, 3.01% Pb and 0.19% Cu contained in 6.37Mt of Measured & Indicated and 1.21Mt of Inferred Resources detailed in a 2020 JORC Historical Estimate. On April 26, 2022, the Company announced the execution of a memorandum of understanding with Sedgman Pty Limited (“Sedgman”), a leading provider of mineral processing and associated infrastructure solutions to the global resource industry providing engineering, project delivery and operations services. The Company expects to engage Sedgman to construct, commission metal production, and, subject to performance levels, operate the Company’s tailings reprocessing project in Australia. Within the quarter, there was ongoing metallurgical testing completed both at Core Resources and at the EnviroGold laboratory in Brisbane, Australia. These studies aimed at increasing the understanding of the recycling of catalysts used in the metal recovery process with a view to operational cost control and the production of metal concentrates. The METSIM model of the process was advanced to provide insight into the design of the flowsheet and to guide the design of the pilot plant that, subject to financing, should be processing tailings in Q4, 2022.