TORONTO, July 10, 2018 /CNW/ - Nickel Creek Platinum Corp.
("Nickel Creek" or the "Company") is pleased to report the final
results of its Phase II metallurgical program ("Phase II
Metallurgical Program") on the Nickel Shäw Project (the "Project")
located in the Yukon, Canada. The
Phase II Metallurgical Program succeeded in its primary objective
of separating bulk CuNi concentrate into separate saleable nickel
and copper concentrates, representing the most in-depth and
comprehensive metallurgical undertaking completed to date at the
Project.
Diane Garrett, President and CEO
commented: "This is a huge milestone for the Project. When we
produced a saleable bulk concentrate in 2017 as part of our Phase I
metallurgical program we soon realized the economic benefits that
could be achieved from separating the nickel and copper
concentrates. The Phase II program achieved good separation
into saleable concentrates. Producing two concentrates,
nickel and copper, not only provides the Company with additional
flexibility for selling its concentrates into the market but is
also expected to yield enhanced payable terms based on recent
discussions with smelters. During this Phase II program, the
Company also embarked on optimizing the flow sheet, and in addition
to the benefits of producing separate concentrates, the Company was
able to increase grinding size, thereby lowering energy consumption
as well as identifying potential opportunities for reducing capital
costs and processing costs. The results of this comprehensive
work will be used in the Preliminary Economic Assessment ("PEA")
which is currently underway."
The Metallurgical Program has been conducted in partnership with
XPS Expert Process Solutions ("XPS"), a Sudbury based technical consultancy firm that
is conducting the metallurgical testwork on behalf of Nickel Creek
and has extensive experience in flowsheet development and
nickel-copper separation. The Mini Pilot Plant ("MPP") utilized in
the Phase II Metallurgical Program is the property of XPS and
replicates, at a small scale, a commercial processing
flowsheet.
Key Highlights from the Phase II Metallurgical
Program:
- The MPP produced a bulk CuNi concentrate with grades of 6.1% Ni
and 3.1% Cu (total 9.1% Ni+Cu) at recoveries of: R% Ni = 53.3%, R%
Cu = 59.6%, R% Co = 57.0%, R% Pt = 47.9%, R% Pd = 53.9% and R% Au =
74.4%.
- Separate Ni/Cu concentrate grades based upon the observed metal
split factors from the CuNi separation locked cycle test and
adjusted for process scaleup include:
-
- Cu concentrate grading 18.0% containing 1.1% Ni, 4.7 g/t
Pt+Pd+Au
- Ni concentrate grading 6.7% containing 1.3% Cu, 0.36% Co, and
8.4 g/t Pt+Pd+Au
- Magnesium oxide (MgO), which at high levels is a common smelter
penalty charge, measured 5.6% in the bulk CuNi concentrate,
confirming that it and other potential deleterious elements,
inclusive of arsenic, are below threshold levels as advised by
nickel smelters
- Additional flowsheet benefits determined during the Phase II
Metallurgical Program include a coarser grind, reduced reagent
addition and retention times. These improvements have the potential
to reduce power requirement, capital outlay, and operating
costs.
- Batch scale variability testing from samples across the Life of
Mine of the deposit has indicated a high correlation between nickel
recovery and ore total sulphide content. This new understanding of
nickel recovery across the deposit in conjunction with the results
of the Phase II Metallurgical Program will be incorporated into a
new PEA to be completed this fall.
Summary of Phase II Metallurgy
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Ni
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Cu
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Cu+Ni
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Co
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Pd
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Pt
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Au
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MgO
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%
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%
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%
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%
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g/t
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g/t
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g/t
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%
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Mini Pilot
Plant
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Bulk
Concentrate
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6.08
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3.06
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9.13
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0.33
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4.48
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3.06
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0.50
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5.6
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Recoveries
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53.3%
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59.6%
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55.3%
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57.0%
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53.9%
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47.9%
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74.4%
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Ni/Cu
Separation -
Locked Cycle
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Cu
Concentrate
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1.1
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13.8
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14.9
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0.05
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3.2
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1.4
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1.2
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1.6
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Ni
Concentrate
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6.5
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1.8
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8.3
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0.36
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4.6
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3.3
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0.4
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7.6
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Ni/Cu Separation -
Commercial-Scale Model
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Cu
Concentrate
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1.1
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18.0
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19.1
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0.06
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2.6
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0.6
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1.5
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0.7
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Ni
Concentrate
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6.7
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1.3
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8.0
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0.36
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4.7
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3.3
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0.4
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6.1
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Phase II Metallurgy Background
The Company commenced its Phase II Metallurgical Program in
September 2017 with an initial focus
on flowsheet optimization and large batch scale testing to
determine the viability of split concentrate production (Phase IIA)
prior to advancing to MPP steady state testing (Phase IIB) (see
news releases dated January
22nd, 2018 and April
25th, 2018). The steps of Phase IIB included:
- MPP: The goal of the MPP was to build upon the technical
success in Phase IIA employing the flowsheet improvements in order
to produce a representative run-of-mine bulk concentrate sample of
sufficient size to perform closed circuit (or locked cycle) testing
of Cu/Ni separation.
- Locked cycle Cu/Ni separation: The primary prerequisite for
success in locked cycle Cu/Ni separation is the demonstration of
meaningful quantitative separation of copper versus nickel
- Scaling of locked cycle results to commercial prediction:
The locked cycle Cu/Ni results are modelled into a prediction
of commercial performance using the metal split factors observed in
the locked cycle test.
MPP for Bulk Concentrate
The XPS MPP processed 1,100 kg of Run of Mine (ROM) ore with a
head grade of 0.33% Ni, 0.15% Cu, 0.018% Co, 0.23 gpt Pt, 0.29 gpt
Pd, and 0.04 gpt Au. The processing circuit incorporated
conditioning with sulphuric acid @ pH 5.7 followed by rougher
flotation and magnetic scavenging of the rougher tailings (Figure
1). The rougher and magnetic concentrates were individually
reground and floated at neutral pH in a closed-circuit three-stage
cleaner to yield a bulk CuNi concentrate. The MPP returned a bulk
CuNi concentrate with grades of 6.1% Ni and 3.1% Cu (total 9.1%
Ni+Cu) at recoveries of R% Ni = 53.3%, R% Cu = 59.6%, R% Co =
57.0%, R% Pt = 47.9%, R% Pd = 53.9% and R% Au = 74.4%. The
MgO level of the bulk CuNi concentrate was 5.6%. The MPP used
a coarser primary grind P80 of 105µm and with reduced reagent
addition and retention time relative to earlier flowsheet
development, confirming the process opportunities and economic
benefits anticipated in the press release of April 25, 2018.
Cu/Ni Separation in Locked Cycle Testing
The MPP pilot run provided approximately 25kg of stable-state
concentrate suitable for development and evaluation of Cu/Ni
separation. The flowsheet for Cu/Ni separation employed high-pH
(lime) and aerative conditioning in the presence of sodium
metabisulfite and activated carbon followed by five stages of
sequential cleaning. The final Cu/Ni separation flowsheet was
assessed in locked cycle flotation testing and the Cu/Ni locked
cycle test demonstrated substantial copper / nickel separability.
An extended 10-cycle test showed good stability within three
cycles, allowing reliable metal split factors to be collected over
seven test cycles. The test produced a Cu concentrate assaying
13.8% Cu, which contained 52.2% of the Cu (bulk concentrate basis),
with only 2.5% of the bulk concentrate Ni. The nickel concentrate
assayed 6.5% Ni, 1.8% Cu, 0.36% Co and 8.3 g/t (Pt+Pd+Au) and
contained 7.6% MgO. Metal recoveries to the Ni concentrate (on
the bulk concentrate basis) were R% Ni = 97.5%, R% Cu = 46.8%, R%
Co = 98.1%, R% Pt = 94.2%, R% Pd = 90.7%, R% Au = 68.6%.
Scaling Locked Cycle Testing to Commercial
It is well recognized that the mechanics of pilot scale cleaner
flotation equipment cannot perfectly duplicate the superior
mechanics of zero-entrainment commercial scale cleaning cells, such
that pilot demonstration results need to be modelled/scaled from
locked cycle performance to commercial scale circuit prediction.
Based upon the observed metal split factors from the locked cycle
test, process scaleup projected that the commercial copper split
from bulk concentrate to copper concentrate is anticipated to reach
18.0% Cu with approximately 1.1% Ni grade containing 62% of the
copper (bulk concentrate basis) with <2% of the bulk concentrate
nickel. Under such conditions, the corresponding nickel concentrate
will contain 6.7% Ni, 1.3% Cu, 0.36% Co, 8.4 g/t Pt+Pd+Au and
approximately 6.1% MgO. The recovery (bulk concentrate basis) are
estimated to be R% Ni = 98, R% Cu = 38%, R% Co = 98%, R% Pt = 98 %,
R% Pd = 94%, R% Au = 68%. On a whole ore basis, 37.0% of the
ROM copper units are expected to report to the copper concentrate,
along with 1.0% of the nickel units. The corresponding nickel
concentrate contains 52.3% of the ROM nickel, 22.6% of the copper,
56.0% of the cobalt, 46.9% of the platinum, 50.6% of the palladium,
and 50.8% of the gold. The commercial flowsheet will employ
low-entrainment cleaners (fewer stages at higher separation
efficiency per stage) as per Figure 2.
The separate nickel and copper concentrate grades, while on the
lower end of industry comparables, are within the current global
range for marketability. The de-risking of the metallurgy meshes
advantageously with the Project's proximity to infrastructure,
favourable geopolitical location, and the growing global smelter
demand for nickel-cobalt and copper sulphide concentrates.
Next Steps
Batch scale variability testing from samples across the Life of
Mine of the deposit has indicated a high correlation between nickel
recovery and ore total sulphide content. This new understanding of
nickel recovery across the deposit, in conjunction with the results
of the Phase II Metallurgical Program, will be incorporated into a
new PEA to be released in the fall.
Nickel Shäw is a significant North American polymetallic project
with Measured and Indicated resources of 2.1 BBlbs Ni, 1.1 BBlbs
Cu, 121 MMlbs Co, and 6.0 MMoz PGE's (Pt+Pd+Au)1,2. The
Company has commenced its 2018 exploration program to build upon
the substantial endowment potential within the Nickel Shäw Project
area. The current resource area spans a 2.2 km strike length along
an 18 km trend of potential host lithologies within the 146
km2 land package held by the Company (Figure
3). Following up on the 2017 mapping program, the Company has
initiated a geophysics program this year to test several of the
highly prospective yet underexplored targets, including: the
western extension of the deposit, as well as Arch, North Arm, Trove
and Quill. The program will incorporate a comprehensive induced
polarization/resistivity ("IP") survey to potentially locate
additional disseminated sulphides. Through this work, the Company
aims to identify additional drill targets along the strike length
of the system to determine whether the already large resource is
part of an even larger, district scale system.
About Nickel Creek Platinum Corp.
Nickel Creek Platinum Corp. (TSX: NCP) (OTCQX: NCPCF) is
a Canadian mining exploration and development company focused on
advancing its 100%-owned Nickel Shäw Project with a view to
creating Canada's next world-class
nickel sulphide mine. The Project has exceptional access to
infrastructure, located three hours west of Whitehorse via the paved Alaska Highway, which further offers
year-round access to deep-sea shipping ports in southern
Alaska.
The Company is led by a management team with a proven track
record of successful discovery, development, financing and
operation of large-scale projects. Our vision is to create value
for our stakeholders through development of the Nickel Shäw Project
into a leading North American nickel, copper, cobalt and PGM
producer.
Qualified Person
The scientific and technical information disclosed in this news
release in relation to metallurgical testing, including with
respect to the Phase II Metallurgical Program, was reviewed and
approved by Gordon Marrs, P. Eng.,
who is a "Qualified Person" as defined in NI 43-101 – Standards of
Disclosure for Mineral Projects ("NI 43-101"), and an independent
consultant to the Company. The technical information disclosed in
this news release in relation to the Nickel Shäw resource was
reviewed and approved by John Marek
of IMC. Mr. Marek is a "Qualified Person" as defined in National
Instrument 43-101 – Standards of Disclosure for Mineral Projects,
and an independent consultant to the Company. All other
scientific and technical information disclosed in this news release
was reviewed and approved by James
Berry, Nickel Creek's Chief Geologist and a "Qualified
Person" as defined in NI 43-101. Please see the technical report
dated June 26, 2017, filed under the
Company's profile at www.sedar.com, for a description of the
Company's data verification and QA/QC procedures.
Cautionary Note Regarding Forward-Looking Information:
This news release includes certain information that may be deemed
"forward-looking information". Forward-looking information can
generally be identified by the use of forward-looking terminology
such as "may", "will", "expect", "intend", "believe", "continue",
"plans" or similar terminology, or negative connotations thereof.
All information in this release, other than information of
historical facts, including, without limitation, regarding the
results of the Phase II Metallurgical Program, MPP and other
technical test work, the potential for favourable impacts to the
Project capital requirements and operating costs, the potential to
advance the Project to production, the potential to identify
additional mineralization beyond the known resource, timing of
releasing test results as well as completing a PEA, future demand
for nickel and copper concentrates, and general future plans and
objectives for the Company and the Project, are forward-looking
information that involve various risks and uncertainties. Although
the Company believes that the expectations expressed in such
forward-looking information are based on reasonable assumptions,
such expectations are not guarantees of future performance and
actual results or developments may differ materially from those in
the forward-looking information. For more information on the
Company and the key assumptions, risks and challenges with respect
to the forward-looking information discussed herein, and about our
business in general, investors should review the Company's most
recently filed annual information form, and other continuous
disclosure filings which are available at www.sedar.com. Readers
are cautioned not to place undue reliance on forward-looking
information. The Company does not undertake to update any
forward-looking information, except in accordance with applicable
securities laws.
______________________
1 Total Measured + Indicated Resource: 362.0 MMT
containing 0.26% Ni, 0.14% Cu, 0.231 g/t Pt, 0.244 g/t Pd, 0.04 g/t
Au, and 150 ppm Co.
2 Stated Measured + Indicated Resource does not
incorporate Phase II metallurgical results. Refer to technical
report dated June 26, 2017, filed
under the Company's profile at www.sedar.com, for additional
details.
SOURCE Nickel Creek Platinum Corp.