Altus completes strategic review on Bikoula iron project

Altus Strategies announced the completion of a strategic review on its 97%-owned high-grade Bikoula iron project in southern Cameroon on Wednesday.

The AIM-traded firm said the review, completed by Mining Plus UK, would be used to determine the next steps for the project’s development.

It said processing, product specification, development and shipment options were reviewed, adding that historical drilling included 30.8 metres at 57.9% iron from 3.8 metres.

Bikoula hosts a deposit with a historic independent JORC-compliant mineral resource estimate of 46 million tonnes at 44% iron, the company added, reporting that at least 75% of the 13 kilometre-long priority target area remained untested.

Prior metallurgical test-work had yielded 62.26% iron concentrate using gravity separation.

Altus said Bikoula is located about 350 kilometres by road from a recently-completed deep water port, adding that an environmental and social impact assessment study had also been completed.

“The project hosts a substantial colluvial iron weathered blanket, which rests above a primary iron deposit,” said chief executive officer Steven Poulton.

“The strategic review examined the processing, product specification and transportation options for Bikoula, and will assist the company in advancing the project through next stages of development.

“'As previously reported, preliminary metallurgical test-work on representative samples from Bikoula has yielded a high grade 62.26% iron concentrate, using gravity separation alone.”

Poulton said that, with just 25% of the 13 kilometre-long strike length of Bikoula tested to date, the company believed the project had “considerable” exploration upside potential.

“Recent infrastructure improvements in the region, including a containerised deep-water port at Kribi as well as significant road improvements, are expected to further enhance the economics of the project.

“The project's economics are supported by the price of iron ore, which has traded above $100 per tonne since June.”

At 1149 GMT, shares in Altus Strategies were up 2.75% at 82.2p.