The MRE at Panton has been substantially upgraded with improvements in grade, JORC classification and the inclusion of a chromite estimate. The total MRE at Panton is now 92.9Mt @ 1.5g/t PGM3E, 0.20% Ni, 2.7% Cr2O3 (2.0g/t PdEq) for contained metal of 4.5Moz PGM3E, 185kt Ni, 2.8Mt Cr2O3, (6.0Moz PdEq). The MRE has been reported across three separate units; the Reef, the High-Grade Dunite and the Bulk Dunite.
Mass |
|
PGM3E |
Ni |
Cr2O3 |
PdEq |
92.9 |
Grade |
1.5 |
0.20 |
2.7 |
2.0 |
|
PGM3E |
Ni |
Cr2O3 |
PdEq |
|
Contained Metal |
4.5 |
185 |
2.8 |
6.0 |
The Reef component has an MRE of 10.8Mt @ 5.6g/t PGM3E, 0.27% Ni, 14.6% Cr2O3 (7.0g/t PdEq) for contained metal of 2.0Moz PGM3E, 29kt Ni, 1.6Mt Cr2O3 (2.4Moz PdEq).
Mass |
|
PGM3E |
Ni |
Cr2O3 |
PdEq |
10.8 |
Grade |
5.6 |
0.27 |
14.6 |
7.0 |
|
PGM3E |
Ni |
Cr2O3 |
PdEq |
|
Contained Metal |
2.05 |
29 |
1.6 |
2.4 |
The High-Grade Dunite component has an MRE of 26.4Mt @ 1.3g/t PGM3E, 0.21% Ni (1.8g/t PdEq) for contained metal of 1.1Moz PGM3E, 54kt Ni (1.5Moz PdEq). The High-Grade Dunite is the mineralisation which sits parallel to the reef mineralisation at the footwall and hangingwall contacts.
Mass |
|
PGM3E |
Ni |
PdEq |
26.4 |
Grade |
1.3 |
0.21 |
1.8 |
|
PGM3E |
Ni |
PdEq |
|
Contained Metal |
1.0 |
54 |
1.5 |
The combined Reef and High-Grade Dunite mineralisation has an MRE of 37.2Mt @ 2.6g/t PGM3E, 0.22% Ni, 6.2% Cr2O3 (3.3g/t PdEq) for contained metal of 3..1Moz PGM3E, 83kt Ni, 2.2Mt Cr2O3 (3.9Moz PdEq).
Mass |
|
PGM3E |
Ni |
Cr2O3 |
PdEq |
37.2 |
Grade |
2.6 |
0.22 |
6.2 |
3.3 |
|
PGM3E |
Ni |
Cr2O3 |
PdEq |
|
Contained Metal |
3.1 |
83 |
2.2 |
3.9 |
The Bulk Dunite has an MRE of 55.7Mt @ 0.8g/t PGM3E, 0.18% Ni (1.2g/t PdEq) for contained metal of 1.4Moz PGM3E, 102kt Ni (2.1Moz PdEq). A detailed table for the Panton MRE is provided in Appendix One of Panton Resource Upgrade Delivers Opportunity for High-Grade, Long-Life Operation, released 26 October 2023.
The primary change between the previously reported MRE (reported 21 June 2022) and the upgraded MRE detailed in this announcement is more detailed geological modelling of the Reef mineralisation and the surrounding dunite into separate geological units. This detailed modelling was undertaken following breakthroughs in the Company’s metallurgical test work programmes as announced on 13 February 2023. Ore sorting has been demonstrated to be highly effective at separating the Reef from surrounding dunite mineralisation and waste material, and flotation test work has demonstrated the performance improvements of feeding separated material to the concentrator. The new MRE allows the Company to accurately model the volume and grade of different mineralisation types which can be mined and milled as part of the Scoping Study, which is focussed on the Reef and High Grade Dunite mineralisation.
Another key change to the MRE is the inclusion of a chromite (Cr2O3) estimate. This follows numerous successful metallurgical test work programmes demonstrating that a saleable chromite concentrate can be produced from the tails of the PGM flotation where the Ni-PGM concentrate is produced. The composition of Panton’s PdEq grade and its basket price where chromite provides a material contribution is shown below.
Isometric view of high-grade Panton with drill traces and resource blocks coloured by Resource classification
The proportion of mineralisation classified as Indicated has also increased with approximately 30% of the total MRE (and 41% of the Reef) now in the Indicated category compared to 6% in the previous MRE. This follows the inclusion of a number of recently completed drill holes which weren’t previously included, and improved metallurgical understanding and performance of the dunite mineralisation.
The Reef has been geologically constrained based on logging, PGM3E and Cr grades. The Bulk Dunite is reported at a cut-off grade of 0.9g/t PdEq and estimated down to a vertical depth of just ~150m (300mRL). The High-Grade Dunite has been reported below this depth, at a cut-off grade of 1.4g/t PdEq. This mineralisation occurs along the hangingwall and footwall contact with the reefs and has been reported down to the same depth as the Reef.
The new MRE was prepared independently by International Resource Solutions Pty Ltd and reported in accordance with the JORC Code (2012).
Breakdown of palladium equivalent and basket price per PGM3E ounce
Cut-off grades
A cut-off grade of 1.4g/t PdEq2 has been applied to the high-grade dunite estimate. A cutoff grade of 0.9g/t PdEq2 has been applied to the bulk dunite estimate. No differentiation between oxide and fresh rock has been made. No cutoff grade has been applied to the chromitite reefs.
Palladium metal equivalents
Based on metallurgical test work completed on Panton samples, all quoted elements included in the metal equivalent calculation (palladium, platinum, gold, nickel and chromite) have a reasonable potential of being ultimately recovered and sold.
No metallurgical test work has been undertaken on recovering a chromite concentrate from dunite and this has been excluded from equivalent calculations for the High Grade Dunite and Bulk Dunite. The Company has not included copper or cobalt in its PdEq calculations however continued optimisation of metallurgical performance may warrant their inclusion in subsequent MRE updates. Similarly, the Company’s MRE does not include rhodium, iridium or osmium due to paucity of assay data however flotation test work has demonstrated the recovery of these valuable metals. The Company will examine whether resampling of existing drill core for these elements is warranted as it progresses the Project.
Metal recoveries used in the palladium equivalent (PdEq) calculations for each element are based on metallurgical test work undertaken to date at Panton. It should be noted that palladium, platinum and chromite grades reported in this announcement are lower than the palladium and platinum grades of samples that were subject to metallurgical test work (grades of other elements are similar).
Metal prices used are based on consensus forecasts of analysts estimates. The chromite concentrate price used is a conservative estimate based on historical pricing of South African chrome ore (40-42%, CIF China).
Metal recoveries used in the palladium equivalent (PdEq) calculations are shown below:
Assumed metal prices used are also shown below:
Metal equivalents were calculated according to the follow formulae:
Metallurgical methods and parameters
As announced on 13 February 2023 ‘Mining and Processing Breakthrough at Panton’ and in the announcement on 11 July 2023 ‘Step Change in PGM Recovery – Improved to 86%’ the Company has successfully demonstrated the ability to produce a high-grade Ni-PGM concentrate with consistent PGM3E flotation recovery of ~80% to concentrate grades over 250g/t PGM3E. Recoveries for Ni have ranged from 37 – 45%. Recent test work by the Company has shown chromite recoveries of 70% to a concentrate grading between 40-42% Cr2O3 through flotation and magnetic separation on a composite of flotation tails. Flotation test work on dunite mineralisation has demonstrated recoveries in line with those stated in the Palladium metal equivalents section above.
The Company believes these results can be further optimised however they do support the development of a scoping level flow sheet. Further optimisation and variability test work will be undertaken as the Company progresses the Project past a scoping stage.
