GWA Group Ltd V.GWA

Refractory Ore...

[digger144]

One very distinct charactistic of the Frankfield Deposit that is very different from the "rest" of the Timmins Camp is the composition of the ore body, namely it is a Refractory Ore Deposit.

We must better understand this fact...it is more than likely the reason why potential partners and investment bankers are hesitant to participate in this venture.   However, this is  not a stand alone deposit and other well known miners have been successful exploiting such deposits...let us take a better look.

I took this from the Newmont website:

Alternative Ore Processing

We use alternative gold recovery methods in some processing plants to accommodate different ore characteristics or other requirements. For example, ore that has a high level of sulfide minerals or carbon (or both) is called refractory ore. Refractory ore resists normal processing methods as the high sulfide minerals trap gold particles, making it difficult for the cyanide to reach the gold and leach it.

Heating

To leach gold from refractory ore, it must be subjected to high temperature, high pressure and/or oxygen. Newmont treats refractory ore in two ways: by using an autoclave or a roaster.

An autoclave is used before leaching occurs. First, the slurry is heated and fed into an autoclave, where high-pressure steam, water and oxygen are applied to oxidize the sulfide material by a chemical reaction. The slurry is then cooled and sent back into the process to be leached.

An alternative to an autoclave is a roaster, a very high temperature oven that is often used instead of an autoclave if the ore to process contains a large amount of organic carbon. Roasting uses heat and air to burn the organic carbon into fuel and to burn the sulfur off ore, which we heat to 932 to 1,202 degrees

The Horne Smelter in Rouyn Noranda, Quebec as previously mentioned in a prior post has the facilities necessary to carry out this process...again...the Glencore-Xstrata (Kidd Mill) deal is vital in terms of bringing the Frankfield Property into production....completing this deal should attract potential partners and further de-risk the operation accordingly.  The Mill is only one part of the equation, namely processing the ore and getting it to a  90 g/t + concentrate the next step is the Autoclave (Roaster) process...Glencore Xstrata once again has the answer.

Greg Taylor , Investor Relations did mention the Autoclave  which adds a cost of between 40-45 million.  I believe the deal with Glencore Xstrata will buy them time to expand the Frankfield Deposit accordingly and in turn make the investment of the Autoclave that much more appealing...on otherwords, justify their own processing plant which includes an autoclave.

https://www.newmont.com/mining/exploration/alternative-ore-processing

Barrick's Goldstrike Mine has been around for 30 years and treats similar refractory ore as the Frankfield Deposit...very successful operation...30 years and counting!

https://www.metsoc.org/virtualtour/processes/gold.asp

There is always a story behind the story...study, analysis, knowledge and comprehension plays a significant role in order to mitigate risk....we must dig and dig and then...dig some more!

Management's new direction is key...this is vital in terms of moving forward and proving the worth of the Frankfield Deposit to the investment community.

Digger144

P.S.  Reducing the project capital costs by 107 million should attract attention.