Busy Time Ahead For ConsZinc

Hi all here is an article from Mining News.Net on ConsZinc on 5th Jan 17. We have Heard most of it before in ANN etc., but I thought the most interesting part was Will Dix saying the pilot plant was a good Plan B Option for the company?

"Plomosas has an indicated and inferred resource of 568,000 tonnes at 16.9% zinc and lead (12.6% zinc and 4.3% lead), as well as 28.4 grams per tonne silver, for 96,000 tonnes of zinc and lead metal, or 71,000t zinc, 25,000t lead and 519,000 ounces of silver.
Drilling since the cut-off date for the resource has continued to intersect sulphides.
ConsZinc managing director Will Dix told MNN that drilling would likely continue up until April or May, after which an updated resource estimate would be prepared.
“Off the back of that, we hope to do a detailed scoping study,” he said.
Dix said the company had been doing some metallurgical work in the background, but given the mine was a former producer, it had a lot of historical data to work from that showed the metallurgy was straightforward.
Plomosas was mined between 1945 and 1974, producing more than 2Mt of ore at 22% zinc and lead and 80gpt silver.
The project has the potential for early production via a pilot plant onsite, which was built by Trafigura in 2006.
The plant has a throughput rate of 120t per day, but can be upgraded to 200tpd for around $US1 million.
Dix described the pilot plant as a good “plan B” option for the company.
This week, the company closed its one-for-five non-renounceable rights issue, raising $A943,101 or 36% of the shares on offer.
The shortfall can be placed within two months.
Funds raised will also be put towards regional exploration, with multiple undrilled, walk-up targets identified along the mine corridor.
Shares in ConsZinc were up by 7% today to 3c.


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