Akora Resources closes in on release of Bekisopa scoping study
Akora Resources (ASX: AKO) is confident it is on target to release a scoping study for a first stage, high-grade, direct shipping ore (DSO) iron ore mine development in Madagascar by next month.
The scoping study being prepared by specialist consultancy WAI will include data related to a 2022 DSO indicated mineral resource of 4.4 million tonnes at a grade of 61% iron which will enable the development of a low capital cost start-up operation.
The current plan is for the DSO material to be mined and processed through a simple crushing and screening plant to produce conventional lump and fines products over the first five years of operation.
The company is also investigating the potential to extend that to 8 to 10 years with extra tonnage added through additional exploration.
Akora will then move to the processing of massive and coarse disseminated fresh iron mineralisation to produce a fines concentrate.
This has been assessed to offer the opportunity for a relatively low processing capital cost requirement, which may generate quick cashflow to help fund the more detailed studies and testwork required for the main processing options to follow once the DSO material has been exhausted.
New DSO scenario
WAI and Akora are also investigating an additional DSO scenario under which a minimal capital cost start-up will utilise “fit for purpose” funding.
Under this conventional fixed crushing and screening process plant design, the companies are investigating the use of mobile crushing and screening plants to reduce initial capital costs and deliver operational flexibility.
The utilisation of contractor equipment and operators rather than the company acting as owner operators is also being considered as a cost reduction option, along with an Akora dedicated port stockpiling area using a third-party for transhipping and ship loading.
These alternate scenarios will be progressed as part of the planned pre-feasibility study (PFS) which is expected to get underway later this year.
Productive September quarter
The progress towards the release of the scoping study comes on the back of a successful September quarter, which included the completion of 65 drill pads on a 50-metre by 50-metre grid in the Northern and Central zones of the Bekisopa iron ore project’s 6 kilometre strike length.
This led to the completion of new drill campaigns undertaken to better define the DSO tonnage and grade to aid production planning.
Around 905 metres on infill diamond drilling was completed in October, with Akora subsequently reporting significant iron mineralisation intercepts after completing this fourth drilling campaign.
The new drilling intercepts averaged around 18.0m along a 6km strike in the north, and 9.2m in the central tenement.
Shallow drill holes
Nine additional shallow drill holes were also successfully drilled below outcropping iron ore rock formations in the southern zone in an area to the east of where a 2022 drilling campaign was undertaken to test for a possible mineralisation extension in that area.
All geological field logging has now been completed, and the iron ore mineralisation interval samples have been delivered to a laboratory for preparation into assay pulps.
The assay pulps are being delivered to the ALS Iron Ore Technical Centre in Perth in three batches during October and November, with the results expected to be reported in late January 2024 and an updated mineral resource estimate completed in Q1 2024.
Source: https://smallcaps.com.au/akora-resources-approaches-release-bekisopa-scoping-study/
