URU Metals Limited Acid Leach Test Work Results at Zebediela (4649V)

TIDMURU

RNS Number : 4649V

URU Metals Limited

03 November 2017

3 November 2017

URU Metals Limited

("URU Metals" or "the Company")

Successful Acid Leach Test Work Results at Zebediela

Initial metallurgical test work results reported 80% nickel dissolution

URU Metals is pleased to announce the results of the nickel leach test work programme on the Zebediela Nickel and PGE Project, located in Limpopo, South Africa. Fresh material from the recent drilling programme was submitted for acid leach test work to assess the amenability of the Zebediela material to percolation leaching with respect to nickel recovery and acid consumption.

Fresh material from diamond drill hole Z017 was submitted to Mintek laboratory in Johannesburg, South Africa. Approximately 100 kg of the material was combined and all crushed to pass through 75 micron for iso-pH tests, agitated tank leach amenability tests and chemical head and solid residue assays. Chemical assays where performed by ICP-OES.

The oxidative acidic leach test work resulted in a dissolution of 80% nickel after 26 days at a pH of 1.8 and the acid consumption reached 447 kg/t. There will be a secondary process to recover the nickel from the acid leach.

Figure 1 in the attached pdf file (please click on the below link) illustrates the rate of nickel dissolution in the sample over a period of days; Figure 2 illustrates the corresponding rate of acid consumption over the same period.

http://www.rns-pdf.londonstockexchange.com/rns/4649V_1-2017-11-2.pdf

The dissolution of 80% nickel is extremely positive for the Project as it highlights the potential for acid leaching as a processing method that could save on both capital and operational costs. The Company intends to investigate this further, including the recovery of the nickel from the acid leach.

Based on this result, the Company will proceed with the next phase of metallurgical test work to investigate ways to reduce the acid consumption further and demonstrate the feasibility of leaching on mineralisation from the Zebediela Project.

John Zorbas, CEO of URU Metals, commented:

"The Company is delighted to report these acid leaching results. We are encouraged by the high nickel dissolution that was achieved in the first phase of the test work programme. Combined with the increasing price of nickel, we look forward to the potentially positive effect that the nickel leaching could have on the project economics.

Due to nickel successfully dissolving in the solution, we are now considering it as potentially a lower cost alternative to building a flotation plant. The development of a leaching facility could see a reduction in project capital expenditure. Our team will continue to evaluate feasible project design options, and additional leaching test work will continue to assess cost-efficient leaching alternatives to improve dissolution."

This announcement contains inside information.

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For further information, please contact:

 
URU Metals Limited 
 John Zorbas 
 (Chief Executive Officer)              [phone] 
Northland Capital Partners Limited 
 (Nominated Adviser and Joint Broker) 
 Edward Hutton / Matthew Johnson        + 44 (0) 203 861 6625 
Beaufort Securities 
 Limited 
 (Joint Broker) 
 Jonathan Belliss                       + 44 (0) 207 382 8300 
SVS Securities Plc 
 (Joint Broker) 
 Tom Curran                             [phone] 
 

The information in this release has been compiled and reviewed by Richard Montjoie, the Exploration Manager for the Zebediela Project. Mr. Montjoie holds a B.Sc. Honours in Geology from the University of Witwatersrand, South Africa, and is fellow of the Geological Society of South Africa (GSSA), a member of the Society of Economic Geologists, and a registered member of the South African Council for Natural Scientific Professions (SACNASP). He has over 14 years' experience in mineral project development globally. Richard has been involved in several exploration programmes in South Africa and Northern Canada, including various Ni-PGE, diamond, coal, coal bed methane and gold exploration and mining projects. Richard provides sound geoscientific input in development planning to ensure effective data acquisition, management, and project execution. Richard successfully acted as Project Manager for a 39 Moz platinum feasibility study, advancing the project from exploration stage to a completed bankable feasibility study with proven and probable reserves, on time and under budget, managing all aspects of the programme, from exploration programme design to various licensing applications. Mr. Montjoie is a Qualified Person for the purposes of the AIM Note for Mining and Oil & Gas Companies.

This information is provided by RNS

The company news service from the London Stock Exchange

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November 03, 2017 03:00 ET (07:00 GMT)